Basic SCOM Challenges

Name: Basic SCOM Challenges
Author: Debra Foland

Learn how to navigate supply chain and operations management processes

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Course: On-Demand

Supply chain and operations management, or SCOM for short, is a dynamic company process with many of its own challenges. Here, we'll analyze key SCOM challenges, that if not managed effectively can negatively impact a company's financial viability in the marketplace. Let's talk about value creation, starting with value chains. A value chain is a series of processes which add value to the company's products and deliverables. A supply chain is an integral factor in a successful value chain. Value chains start at the customer and work upstream all the way to the supplier. Supply chains own the processes within the value stream, such as planning, inventory management, supplier communication, and logistics. A supply chain contributes to the overall value chain by effectively and efficiently managing its processes. For example, if the logistics department doesn't meet its transportation budget due to excessive, expedited shipments from suppliers, it creates negative value for the company. Expedited shipping costs directly impact the calculation of total cost of goods sold, which reduces the expected profit of the product or service being sold. Value is also created through a supplier managing raw material inventory. Basic value would be having raw material available at the right time in the right quantity at the point of use. Extra value would be the raw material supplier managing the inventory on the customer's behalf. There's also competitive advantage to consider. Since supply chains don't build anything, how can they contribute to a company's competitive advantage? Two key factors can create a competitive advantage for a company: technology and continuous process improvement. Both factors, if managed effectively, will drive cost reduction while increasing effectiveness in both communication and waste reduction. Supply chains are heavily reliant on technology to manage inventories, communicate with suppliers and customers, and interface with other functions within the company. So much transactional data is processed through supply chain tasks, that information systems must provide solutions to eliminate human data entry, which reduces data errors while increasing real-time data availability. If the amount of time it takes to process data and ensure data quality is reduced, time and money are saved. Continuous process improvement also drives cost reductions, which increases the supply chain's contributions to the company. It's important to look at ways to reduce waste in areas of equipment, non-value added operations or material movement, and conditions such as hidden factories.

Intermediate Provider : Debra Foland 7 Lessons · 24m in Arabic, German, English, Spanish, French, Portuguese, Chinese

Course Description

Supply chain and operations management, or SCOM, is a dynamic company process with many challenges. If these challenges aren’t managed, they can negatively impact a company’s financial viability. In many companies, SCOM is the foundation for improving and identifying problems. By assessing your supply chain, you can also create value and gain a competitive advantage. Supply chain sustainability is also important for ensuring a holistic approach to its environmental, legal, social, and economic impacts. So, how do supply chains contribute to competitive advantage? How can you assess your supply chains?

In this course, you will learn about value chains and value creation and how to assess your supply chain for value to gain a competitive advantage. You will also learn about the value stream mapping process and how it differs from supply chain mapping. You’ll apply problem-solving methodologies, like PDCA, to resolve issues within your supply chain. By the end of this course, you’ll have the knowledge to overcome challenges and build an effective SCOM strategy.

What You'll Learn

Explain how value chains and value creation impact a company's products and deliverables
Assess your supply chain for value to gain a competitive advantage
Apply problem-solving methodologies, such as Plan-Do-Check-Act (PDCA), to resolve supply chain issues
Distinguish the value stream mapping process from supply chain mapping
Identify sustainability factors that impact supply chain and operations management
Recognize the importance of cybersecurity and risk management to SCOM

Key Takeaways

Supply chain and operations management (SCOM) is a dynamic company process with many challenges that, if unmanaged, can negatively impact a company's financial viability.
Assessing your supply chain can create value and provide a competitive advantage.
Supply chain sustainability supports a holistic approach to environmental, legal, social, and economic impacts.
Value stream mapping is a distinct process that differs from supply chain mapping.
Applying problem-solving methodologies like PDCA helps resolve issues within the supply chain and build an effective SCOM strategy.

Frequently Asked Questions

What is this course about?

Basic SCOM Challenges covers value chains and value creation, how to assess your supply chain for value to gain a competitive advantage, the difference between value stream mapping and supply chain mapping, and applying problem-solving methodologies like PDCA to resolve supply chain issues.

What problem-solving methodology does the course teach?

The course teaches you to apply problem-solving methodologies such as Plan-Do-Check-Act (PDCA) to resolve issues within your supply chain.

What topics are covered in the lessons?

Lessons cover Value Creation, Value Creation and Competitive Advantage, Problem-Solving and Process Improvement, Strategy and Sustainability, Risk Management, Cybersecurity, and Strategic Workforce Planning, Recruitment, and Talent Retention.

What will I be able to do by the end of the course?

By the end of the course, you'll have the knowledge to overcome challenges and build an effective SCOM strategy, including understanding value chains, applying PDCA, identifying sustainability factors, and recognizing the importance of cybersecurity to SCOM.