The Effect Of Supply Chain Management In Governance: Public Sector Perspectives
Nontuthuko S. Nkwanyana, Albert T. Agbenyegah
Received: 12 Feb. 2020 Accepted: 03 May 2020 14 July 2020
Copyright: © 2020. The Author. Licensee: AOSIS.This is an Open Access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution,and reproduction in any medium, provided the original work is properly cited.
The performance model of supply chain management.
Why does supply chain management matter?
Theories underpinning supply chain management
Supply chain management model
As the public sector adopted SCM reforms, the following elements were adopted as a means to operate within the new system. These include demand management, acquisition management, logistic management and performance and risk management processes. These were reported to be means for segregation of duties, giving assurance of oversight roles in the process and thereby minimising risks. As shown by the National Treasury Regulations , the idea of this model was to separate functions into the following: if identification and specification of need occurs this will inform the purchasing of goods and services thereafter transportation and inventory decisions and finally, getting rid of items no longer required . Figure 2 depicts the various elements of SCM processes as adopted by the government of RSA.
|FIGURE 2: Supply chain management model.|
Supply chain management in the public sector perspective
Research method and design
Determine The Right Implementation Approach
Whether a waterfall, agile, or iterative approach, rolling out any system demands choosing the right implementation approach at the outset. The approach you choose is based on three factors:
- The solution you procure will dictate how you implement.
For example, implementers of an open-source solution like OpenLMIS might choose an open-source development methodology characterized by increased intra-team collaboration, continuous integration and testing, and greater end-user involvement.
However, implementers of an enterprise resource planning system might choose an agile prototyping approach because it helps the team review a broader set of configured functionalities and offers users an opportunity to provide inputs. In Rwanda, an agile approach made it easier to configure the LMIS and build a solution that addressed end-user needs while remaining within the limit of project timelines.
- The timeframe youre under will dictate your implementation.
For example, if timelines are short, you may implement incrementally and focus on achieving quick wins to establish quick buy in and leverage that as a foundation for the preceding phases. If timelines are long, you may decide to adopt a phased approach for early benefits realization, but you must consider constraints like integration between new system and the legacy system during the interim period.
- Existing resources in a country will determine how you implement the project solution.
Supply Chain Management Professionals Make Business Better
Below are some frequently asked questions regarding careers in SCM. This information will help you to learn more about a career in SCM and understand the opportunities such a career may have in store for you.
What kinds of people pursue SCM degrees?
The profiles of SCM professionals are varied, but in general, such individuals possess many of the following traits:
- good problem solving skills
- ability to effectively manage time and resources
- a clear vision of the big picture as well as the small details
- a desire to work closely with other people
- excellent communication skills
- ability to think strategically about technology
- a desire to take responsibility for developing and implementing their own ideas
What are typical career options for SCM professionals?
- Supply/Demand Planner
Why should I choose to major in Supply Chain Management?
- Job satisfaction
- You can have an impact!
What is an average salary for an SCM professional?
Supply Chain Management majors have among the highest average starting salaries of the undergraduate degree programs at Mays Business School. The average starting salary for Supply Chain Management graduates was $58,000 in 2014 with top students commanding salaries as high as $72,500.
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Theoretical Background And Literature Review
A supply chain is generally conceptualized as a network of companies from suppliers to end-users, which have the intention of integrating supply/demand via coordinated company efforts . Supply chains are complex and linked socialecological systems of people and institutions. The concept of resilience in supply chains combines these previous tenets with studies of supply chain vulnerability, defined by Svensson as “unexpected deviations from the norm and their negative consequences.” Vulnerability can be measured and expressed in numeric terms as risk, a combination of the likelihood of an event and its potential severity . Both these definitions have foundations in traditional risk management techniques and are expanded by other authors .
Supply Chain Sustainability: Tradeoffs
Consideration to the concept of sustainability is increasingly found in the management literature. An increase in publishing frequency of about 3/1000 to 15/1000 articles, over the period under consideration. . Sustainability, in essence, entails the maintenance of the productive base of an economy relative to its population . Supply chain sustainability is a dynamic state influenced by two dichotomies: the supply chain versus the determinants of individual firm wellbeing, and current versus sustainable wellbeing . Accordingly, sustainability involves both a cross-sectional dimension and a temporal dimension. A supply chain enjoys sustainability if and only if: relative to its firms, its inclusive wealth does not decline , and , the supply chain could sustain its wellbeing across business generations .
Supply management literature largely defines sustainability as the tripartite pursuit of economic, environmental, and social performance, which is also referred to as the triple bottom line of the organization . In essence to be truly sustainable a supply chain would at worst do no net harm
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Supply Chain Management Center Brings Government Leaders And Top Execs Together To Solve Supply Chain Challenges
Supply chain and logistics management is much more than getting manufactured goods from factories in China to shelves in suburban America in time for holiday shopping. For some supply chains, careful management can be a matter of life and death. Take, for example, the risks in moving fuel and supplies to troops in landlocked Afghanistan. For every 24 fuel convoys that set out, one soldier or civilian engaged in the transport is killed, according to an Army study cited by the New York Times.
These are the extreme risks involved in managing one very important supply chain and an example of the type of risk logistics managers deal with daily in the nations capital. Senior officials and supply chain managers from federal agencies, defense contractors, corporations and organizations joined together at an Oct. 5, 2010 roundtable discussion hosted by the Supply Chain Management Center at the Robert H. Smith School of Business. Participants talked about the supply chains within their own organizations and discussed the volatility they deal with in their current operating environment. They talked about what their organizations are doing differently than before to address volatility, and the emerging challenges they anticipate.
The participants hope to continue meeting through additional sessions working group with the Supply Chain Management Center and CSCMP.
Supply Chain Management In The Government Sector
- CLEAR International Journal of Research in Commerce & Management . Apr2016, Vol. 7 Issue 4, p59-64. 6p.
- ACHARYA, SOPNAMAYEE
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What Is Supply Chain Management
Supply Chain Management includes all the activities that must take place to get the right product into the right consumers hands in the right quantity and at the right time from raw materials extraction to consumer purchase. SCM focuses on planning and forecasting, purchasing, product assembly, moving, storage, distribution, sales and customer service. SCM professionals are involved in every facet of the business process as they strive to achieve a sustainable competitive advantage by building and delivering products better, faster and cheaper.
Supply chain management professionals play a role in all kinds of organizations manufacturers, retailers, transportation companies, third party logistics firms, government agencies and service firms. Firms from around the world in all sectors of the economy recruit SCM graduates. As a supply chain professional, an individual could work in a variety of areas including purchasing, logistics, new product development, global sourcing and procurement, quality management, inventory control or traffic analysis, operations and supplier relationship management. Competitive pressures and sophisticated customers who demand innovative and speedy solutions characterize todays global business environment. Understanding and optimizing business processes is a cornerstone of success, and for this reason, supply chain professionals are in strong demand.
Five Steps To Better Government Supply Chain Technology
The five elements below are essential to addressing information systems implementation challenges in developing countries. By incorporating these elements, donors, implementers, and local governments can more successfully implement information systems to increase data visibility and in so doing optimize supply chains, reduce costs, and, ultimately, save lives.
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Yes Governments Have A Role To Play In Supply Chains
Governments need to collaborate with the private sector to understand the dynamics of domestic, regional, and global supply chains and how they are interconnected. Industrial policy and trade policy need to incorporate this view, and governments need to monitor the performance and risks to respond efficiently with regulations and investments .
The World Post-Covid will be different and is likely that in the following years we will witness some structural changes in regional and global supply chains. Governments must be proactive toward making that happen in a way that it translates to more economic development, jobs and quality of life for their citizens. IDB will be here to help them.
Supply Chain Leaders from Vizient, UC Health Tell Senators Hurdles Abound in Securing Pandemic Supplies. Accessed August 2, 2020..
Marketplace. New Supply-Chain Crisis during Pandemic: Not Enough Cans for Food, July 24, 2020..
A Close Look at a Fashion Supply Chain Is Not Pretty The New York Times. Accessed August 2, 2020..
S To Better Government Supply Chain Technology
Automated information systems are now widely used to manage the data that flows throughout a supply chain, from procuring a commodity, to manufacturing it, and, finally, to distributing it to a consumer. For example, modern retailers like Amazon can track a product from the point of manufacture to the customers door.
However, in the developing world, there are a variety of pressures and limitations that affect the adoption and implementation of a more efficient supply chain information solution. When governments do get supply chain management right, the impact on public services are tremendous.
They can optimize value chains by providing decision-makers with accurate and timely information about the cost of commodities managed in the system. Most importantly, they can allow for crucial visibility into the number of citizens they reach with needed supplies.
Still, from governance to sustainability and beyond, there are a number of hurdles to overcome before governments in developing countries can truly use information systems and supply chain data for decision-making.
Fortunately, by addressing the current gaps and following the best practices below, we can ensure information systems are effective not only in developed countries but across the globe.
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What Is Supply Chain Risk Management
One way to address potential vulnerabilities around supply chain cybersecurity is through a risk management approach.
Risk management is about assessing the risk of all the companies in that supply chain, says Daniel Gonzales, a senior scientist at Rand. That includes knowing who the companies are, who owns the company, where they are based, where they develop software and where they source hardware components.
All that data helps federal agencies to determine the potential risk associated with any given element within the supply chain.
Ismael Valenzuela Senior Principal Engineer, McAfee
The risk management approach then looks at the downstream effects, considering the possible impact of supply chain cyberattacks. You need to ask, whats the potential consequence? says Center for Internet Security CEO John Gilligan. If I am looking at software that is of modest importance in an agency, that may be less risky than a system that is critical to the fundamental mission, or one that deals with sensitive information.
In a risk management methodology, the first step is to identify, Coleman says. Its about knowing what you have in the supply chain. Then, you divide and separate: You can have batches of most important, very important, less important. Its about prioritizing the most valuable resources.
Do Global Supply Chains Are Resilient What Role Governments Play In Making Them More Resilient And Sustainable Can We Learn Something From This Pandemic
I used to work as a supply chain manager in a big tech company about a decade ago, my role was to define the best sourcing and manufacturing strategy to bring our products to market, including, for example, establishing factories in China and warehouses in Mexico to sell products in Brazil. The concept of supply chain management was at its apex, but we realized there were risks that had to be managed. Since then, supply chains evolved to become even more global, but apparently risk management practices did not follow.
Keith Oliver, the father of the Supply Chain concept, outlined recently in an article the three key risks any supply chain faces: internal risks, like workers going on strike external risk such as a trade war that boosts tariffs and acts of nature like a pandemic. Many of these risks have been materialized in 2020 and companies realized they were not ready.
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More Accurate Supply Chain Planning And Forecasting
Supply chain management professionals are under constant pressure to reduce costs and improve margins. Unfortunately, many lack access to comprehensive data and rely on manual planning tools. With demand volatility on the rise, supply chain leaders will need to upgrade to a continuous integrated planning approach to gain real-time visibility into the disparate data that drives operational efficiency and actionable insights.
With IBM Planning Analytics with Watson it’s easy to create and adjust plans as needed by leveraging deep insights to understand what is driving demand and your business. Streamline the planning process across the entire enterprise to create supply chain plans that are smooth, synchronized, responsive and resilient.
Role Of Supply Chain Management In Government Settings
Supply chain and logistics management skills are transferable from industry to industry, private or public. The Fitchburg State University Master of Business Administration in Supply Chain Management online program is designed for those pursuing a career in business or government.
The curriculum trains students for careers in transportation, logistics and distribution management within supply chain operations. It also helps students utilize geographic information systems for effective decision-making and learn the widely used professional GIS software, ArcGIS.
Bluevoyant Acquires 202 Group To Deliver The Most Comprehensive Supply Chain Risk Management Solution For Us Government Entities
BlueVoyant, the makers of the industrys only end-to-end internal and external cyber defense platform, today announced that it has acquired 202 Group, a leading provider of data-driven supply chain risk management solutions to the U.S. federal government. This acquisition will combine the capabilities of BlueVoyants powerful cloud-native, third-party cyber risk management solution with 202 Groups supply chain risk management solution to create a new offering, BlueVoyant Supply Chain Command.
BlueVoyant Supply Chain Command is the most comprehensive supply chain risk management solution in the market with capabilities designed to manage strategic, cyber, operational, tactical, financial, and compliance risks including:
Simply put, there is nothing like this on the market, said Jim Rosenthal, CEO of BlueVoyant. The U.S. federal government has implemented policies and procedures to ensure the security of its myriad supply chains. We are proud to join in this effort by delivering advanced technology solutions backed by elite experts with the knowledge needed to help reduce risk to government entities and their mission-critical programs.
Arun Sankaran, Cofounder and CEO of 202 Group, added: As a team, we bring decades of experience helping government entities identify and manage risk in their supply chain. We are excited to join forces with BlueVoyant and its amazing team of cybersecurity professionals to take government supply chain risk management to the next level.
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