Preface 5
Preface to the Fourth Edition 5
Preface to the Third Edition 6
Preface to the Second Edition 7
Preface to the First Edition 8
Contents 11
Introduction 18
References 22
Basics of Supply Chain Management 24
1 Supply Chain Management – An Overview 25
1.1 Definitions 25
1.2 Building Blocks 27
1.3 Origins 40
References 49
2 Supply Chain Analysis 53
2.1 Motivation and Goals 53
2.2 Process Modeling 55
2.3 Performance Measurement 64
2.4 Inventory Analysis 72
References 78
3 Types of Supply Chains 80
3.1 Motivation and Basics 80
3.2 Functional Attributes 81
3.3 Structural Attributes 84
3.4 Example for the Consumer Goods Industry 86
3.5 Example for Computer Assembly 90
References 95
4 Advanced Planning 96
4.1 What Is Planning? 96
4.2 Planning Tasks Along the Supply Chain 101
4.3 Examples of Type-Speci.c Planning Tasks and Planning Concepts 107
References 121
Concepts of Advanced Planning Systems 122
5 Structure of Advanced Planning Systems 123
References 129
6 Strategic Network Design 130
6.1 The Planning Environment 130
6.2 Strategic Network Design Models 133
6.3 Implementation 139
6.4 Review of Models in the Literature 140
6.5 Strategic Network Design Modules in APS Systems 142
6.6 Conclusions 143
References 144
7 Demand Planning 146
7.1 A Demand Planning Framework 146
7.2 Demand Planning Structures 148
7.3 Demand Planning Process 154
7.4 Statistical Forecasting Techniques 157
7.5 Demand Planning Controlling 162
7.6 Additional Features 167
References 172
8 Master Planning 174
8.1 The Decision Situation 175
8.2 Model Building 181
8.3 Generating a Plan 189
References 192
9 Demand Ful.lment and ATP 193
9.1 Available-to-Promise (ATP) 194
9.2 Structuring of ATP by Product 196
9.3 Structuring of ATP by Time 200
9.4 Structuring of ATP by Customer 200
9.5 Order Promising 206
References 210
10 Production Planning and Scheduling 211
10.1 Description of the Decision Situation 211
10.2 How to Proceed from a Model to a Production Schedule 212
10.3 Model Building 215
10.4 Updating Production Schedules 221
10.5 Number of Planning Levels and Limitations 223
References 227
11 Purchasing and Material Requirements Planning 229
11.1 Basics of Material Requirements Planning 229
11.2 Generation and Timing of Uncritical Orders 231
11.3 Quantity Discounts and Supplier Selection 236
References 240
12 Distribution and Transport Planning 242
12.1 Planning Situations 242
12.2 Models 248
References 256
13 Coordination and Integration 258
13.1 Coordination of APS Modules 259
13.2 Integration of APS 262
13.3 Supply Chain Event Management 271
References 272
14 Collaborative Planning 273
14.1 Introduction 274
14.2 Types of Collaborations 277
14.3 A Generic Collaboration and Collaborative Planning Process 285
14.4 Software Support 291
References 292
Implementing Advanced Planning Systems 295
15 The De.nition of a Supply Chain Project 296
15.1 Supply Chain Evaluation 298
15.2 Supply Chain Potential Analysis 306
15.3 Project Roadmap 312
References 315
16 The Selection Process 317
16.1 Creation of a Short List 318
16.2 APS Requirements 324
16.3 Implementation and Integration 326
16.4 Post-implementation E.ort and Support Model 329
References 331
17 The Implementation Process 332
17.1 The APS Implementation Project 332
17.2 Modelling Phases of an APS-Project 348
References 353
Actual APS and Case Studies 354
18 Architecture of Selected APS 355
18.1 AspenTech – aspenONE 355
18.2 i2 Technologies – i2 Six.Two 359
18.3 Oracle – JDEdwards EnterpriseOne Supply Chain Planning 364
18.4 SAP – SCM 368
References 372
19 Strategic Network Design in the Chemical Industry 373
19.1 Case Description 373
19.2 Objectives of the Project 375
19.3 Framework for Strategic Network Design 376
19.4 Setting Up the Baseline Model 380
19.5 Alternative Scenarios 384
19.6 Results and Lessons Learned 386
20 Computer Assembly 387
20.1 Description of the Computer Assembly Case 387
20.2 Scope and Objectives 391
20.3 Planning Processes in Detail 393
20.4 Results and Lessons Learned 403
References 404
21 Oil Industry 405
21.1 Supply Chain Description and Typology 405
21.2 Requirements for Planning 407
21.3 Description of the (Ideal) Planning System 408
21.4 Modeling and Implementation of APS 412
21.5 Modules in Detail 414
21.6 Results and Lessons Learned 420
22 SCM in a Pharmaceutical Company 421
22.1 Case Description 421
22.2 Objectives of Project 424
22.3 Planning Processes 427
22.4 Results and Lessons Learned 435
23 Demand Planning of Styrene Plastics 437
23.1 Description of the Supply Chain 437
23.2 The Architecture of the Planning System 438
23.3 Model Building with SAP APO Demand Planning 440
23.4 The Demand Planning Process of the Styrene Plastics Division 445
23.5 Results and Lessons Learned 449
References 450
24 Food and Beverages 451
24.1 Case Description 451
24.2 Aim of the Project 457
24.3 Model Building in Oracle’s Strategic Network Optimization 457
24.4 Implementing the Master Planning Model 461
24.5 Results and Lessons Learned 467
References 468
25 Scheduling of Synthetic Granulate 469
25.1 Case Description 469
25.2 Objectives 471
25.3 Modelling the Production Process in APO PP/ DS 471
25.4 Planning Process 482
25.5 Results and Lessons Learned 483
26 Event-Based Planning for Standard Polymer Products 486
26.1 Current Situation and De.nition of Problem 486
26.2 Solution Concept 488
26.3 Results and Lessons Learned 499
Conclusions and Outlook 500
27 Conclusions and Outlook 501
27.1 Summary of Advanced Planning 501
27.2 Further Developments of APS 502
27.3 Management of Change Aspects 504
27.4 Scope of Supply Chain Management 505
References 506
Supplement 507
28 Forecast Methods 508
28.1 Forecasting for Seasonality and Trend 508
28.2 Initialization of Trend and Seasonal Coe.cients 514
References 518
29 Linear and Mixed Integer Programming 520
29.1 Linear Programming 520
29.2 Pure Integer and Mixed Integer Programming 524
29.3 Remarks and Recommendations 528
References 530
30 Genetic Algorithms 531
30.1 General Idea 531
30.2 Populations and Individuals 532
30.3 Evaluation and Selection of Individuals 534
30.4 Recombination and Mutation 536
30.5 Conclusions 537
References 538
31 Constraint Programming 539
31.1 Overview and General Idea 539
31.2 Constraint Satisfaction Problems 540
31.3 Constraint Propagation 541
31.4 Search Algorithms 543
31.5 Concluding Remarks 544
References 545
Index 547
About Contributors 555