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Harmonic number and unified code worldwide for SCS speed up purchase, logistics and distribution
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SUPPLY CHAIN SERVICES Objectives and Milestones • Harmonizing Number Designating • Unit cost at Factory Doors (Origin Denominating) • Currier Cost (size coefficient x volume coefficient x distance) • Unit / Item detailed description (isometric drawing) • Equipment associated to the Unit / Item • Required Operating Personnel (ROP) • Unit / Item associated Material Handling • Unit / Item associated Services • Unit / Item Total Indirect Costs / Hidden Costs
SUPPLY CHAIN SERVICES SUPPLY CHAIN SERVICES HARMONIZING NUMBER • Created in US for products importing today used worldwide. • Essential for financial and accounting controlling purposes • Essential on Following up delivery costs, and location origin denominating, and value added services (post-sales, complementary gear, supplementary gear.) • Strategically important in benchmarking product cost, quality, warranty, value added packages
SUPPLY CHAIN SERVICES SUPPLY CHAIN SERVICES UNIT COSTS @ FACTORY DOORS ADVANTAGES • Home vs. foreign costs analyzes (products & tech) • Domestic Cost vs. Global competition • Other business and social environmental issues of high impact: • Sweat shop • Child labor • Under wages • Environmental issues (Pollution) • Developed countries unaccepted practices • Management of Logistics at will PICKUP / CONSOLIDATESHIPMENTS CLEARCUSTOMS DECONSOLIDATESHIPMENTS FINALDELIVERY FULL VISIBILITY: End-to-end tracking provided throughout the supply chain.
SUPPLY CHAIN SERVICES SUPPLY CHAIN SERVICES CURRIER COSTS & STRATEGIC PLANNING • Using curriers costs tables (size, weight, distance) • Strategic Purchasing • Purchasing portfolio management • Strategic Negotiating • Global sources allocating and financing • Playground for Strategic Alliances, M&A, and other business tools. • Prevent local monopolies, • Ensure quality delivery.
Logistics and Distribution Services Transportation and Freight Services Financial Services Specialized Mail Services Consulting Services Package Delivery Retail Services SUPPLY CHAIN SERVICES Currier Cost & Strategic Sourcing SCS Local TPS vs International TPS A SINGLE SOURCE Package or LTL Transportation Warehousing Manufacturer Warehousing Manufacturer Pick upShipment OceanFreight ClearCustoms Manufacturer 1 5 8-20* 2 1 1-6 18-35 Days
SUPPLY CHAIN SERVICES Item Detailed Description (Isometric Drawing) • Item detailed description and parts • Dadoes and tooling • Components with relative HN • Isometric Drawing of the part with components • Description of the part • Associated pieces • Detailed number of pieces as when design for constructing
SUPPLY CHAIN SERVICES SUPPLY CHAIN SERVICES • Associated Equipment • Supplementary Equipment • (Required enhance equipment utility) • Complementary Equipment • (Required to diversify equipment utility.) Solids Controls & CERO Disposal
SUPPLY CHAIN SERVICES SUPPLY CHAIN SERVICES Required Operating Personnel (ROP) Every Equipment has a ROP. The ROP can be separated in 4 parts of 2 sections Operating Personnel Leader Worker(s) Helper(s) Supporting Personnel Leader Worker(s) Helper(s)
SUPPLY CHAIN SERVICES SUPPLY CHAIN SERVICES Solids Controls & CERO Disposal Associated Material Handling This are the Raw Materials, usually fluids required for appropriately operating the Unit / Item whenever purchased or rented for services. Usually parts and equipments are required of it and easy-to-replace parts which are not included but become part of the necessary inventory of the item. Disregarding this RM increase hidden costs while increasing operating expenses and NPT.
Labor Labor M.H. M.H. SUPPLY CHAIN SERVICES SUPPLY CHAIN SERVICES ASSOCIATED COSTS OF OPERATING Item Preventive Maintenance • Cost of Maintenance • Preventive Maintenance • Corrective Maintenance • Cost of Repairs • Parts from TPS • Parts from other manufacturer Corrective Maintenance TPS Parts COST OF SPARE PART Compatible Parts ASOCIATED HIDDEN COST BY OPERATING
SUPPLY CHAIN SERVICES SUPPLY CHAIN SERVICES TOTAL HIDDEN COST • Total Hidden or Total Indirect Costs are considered in SLB RED MONEY and Red numbers for not being part of the initial planning strategy. Options such as SLB doing the maintenance or buy the spare parts only can be executable if TPS declares there are not associated costs to the Items or services sold.
SUPPLY CHAIN SERVICES SUPPLY CHAIN SERVICES CONCLUSIONS • With the information stated above as part of our SWPS • throught the HARMONIC NUMBER • SLB can catalog the product and its cumplementary equipment according to US Customization Office • PTS gears and required sub-items for operating will be either included or excluded • SLB as buyer will have the oportunity to either negotiate after-sales products and gears from TPS, or negotiate cheaper local maintenance. • In case of monopoly, SLB can negotiate Local supplier vs. International TPS for the after-sales products and gears.
SUPPLY CHAIN SERVICES SUPPLY CHAIN SERVICES Thank you! By Iker Acedo Galea