Index

Accountability, 76

Alaska Communications (ACS), 3, 61–62

Auto replenishment systems, 22–26

Change management quadrant, 94

Community partnerships

job creation and labor reduction, 41–43

low-skilled labor, 47

offshore

advantages, 43–44

challenges, 44

social responsibility

K-12 school systems, 39

professional skills training program, 39–40

Tillamook Country Smoker company, 40–41

supply chain strategy, 46

total cost of ownership

equation for, 46

posttransaction costs, 45–46

pretransaction costs, 45

transaction costs, 45

transportation system, 46

Customer partnerships

allocation process, 31

e-mail and video conferencing, 33

feedback loops, 29

foster good communication, 32

kinds of information, 31–32

need for speed, 29

operational perspective, 29–30

perfect order, 30

point of sale (POS) information, 30

profitability and growth, 31

supplier-managed delivery, 35–37

vendor-managed inventory, 33–34

Day-to-day level S&OP team, 73

Employee partnerships

benefits and pay scales, 79–80

company’s financial performance, 79

compliance, 77

culture of commitment, 78

employee caring, 78–79

empowered team

internal partners, 80–81

management’s duties, 82

managers, 81

team leader, 81

high-compliance culture, 77–78

interview questions, 82

levels of assembly, 86–87

materials margin, 84

objectives, 82

performance measures, 83

regular all-hands meetings, 85

sense of trust and relationship, 80

trust, 82

win/win relationships, 85–86

World Class transformation, 79

Engineering and operations

Alaska Communications, 61–62

design improvement, 62–63

inventory management system, 61

lockboxes control, 60

materials shortages, 59

product designing, 60

ramp-up/ramp-down process, 63–64

supplier partner, 65–66

supply chain, 59

trade-offs, 60

warehouse people, 61

Executive S&OP team, 71–72

Ground-level S&OP team, 73

Inventory management, 69–70

Joint venture (JV) agreement, 27–28

Just-in-time (JIT) principle, 90

Memo of understanding (MOU)

confidentiality, 99

customer service, 99

delivery, 99

forecasts and purchase orders, 97–98

modifications and product changes, 99–100

nonconformance, 98

pricing and terms, 98

quality, 98

Partnerships

advantages, 1

Alaska Communications, 3

close relationships, 1–2

community (see Community partnerships)

conceptual agreement, 2

culture, 5

customer (see Customer partnerships)

employee (see Employee partnerships)

engineering and operations (see Engineering and operations)

external relationship, 3–4

implementation

agreement development, 93

change management, 94

clear vision establishment, 91–92

competitive advantage, 96

execution, 93–94

five-minute stand-up, 95

need for speed, 90

partnership strategy creation, 89

pilot project, 90

potential partners, 92

pull/push approach, 89

trust and relationship development, 92–93

internal relationship, 4

performance measurement (see Performance measurement)

positive impact, 4–5

sales and operations planning (see Sales and operations planning)

supplier (see Supplier partnerships)

Supra Products, 2–3

trust, 2

Performance measurement

accounting measures, 56

cost-accounting system, 55

cost reduction, 53

customer service and responsiveness, 53

delivery, 53

design engineering measures, 56

executive level measures, 55

face-to-face meetings, 54

financial statements, 55

forecasts, 54–55

materials cost, 56–57

objectives setting

medical supply company, 51

medical supply item, 50–51

residential lawn sprinkler system, 51

suppliers, 50

operating expense, 57

operations discipline, 52

operations/supply chain measures, 55–56

quality measures, 53

sales measures, 55

supplier self-inspection program, 53–54

Planning-level S&OP meeting, 73

Posttransaction costs, 45–46

Prenuptial agreement, 14–15

Pretransaction costs, 45

Printed circuit board assemblies, 19

Quick Response Manufacturing (QRM), 75

Ramp-up/ramp-down process, 63–64, 69

Requests for proposals (RFPs), 10

Sales and operations planning (S&OP)

accountability, 76

accurate forecasting, 68

activities planning, 75

building blocks, 68

business impact, 76

context switching, 74

critical path, 74

data analytics, 70–71

follow up, 76

interrupted orders, 74

inventory management, 69–70

meeting structure

architectural issues, 71

day-to-day level, 73

executive level, 71–72

planning-level S&OP meeting, 73

strategic issues, 71

three-tiered, 72

priorities, 76

process and productivity improvement, 74–75

process discipline, 75

product management, 69

ramp-up/ramp-down process, 69

speed, 75

supply chain management, 68–69

Supplier partnerships

air force fly-off, 20–22

Apple and GT Advanced Technologies, 9–10

auto replenishment systems, 22–26

blanket PO, 26–27

collaboration, 9

cost reduction, 19, 20

electronics industry, 12

executive sponsors, 16

international partnerships, 27–28

multiple suppliers, 12

new product development, 15–16

prenuptial agreement, 14–15

printed circuit board assemblies, 19

purchase order tracking system, 10–11

relationship pricing, 26

requests for proposals, 10

supplier analysis sample, 11

supplier selection, 13–14

Supra products, 8–9

Supplier self-inspection program, 53–54

Supply chain management, 68–69

Total cost of ownership (TCO), 42

equation for, 46

posttransaction costs, 45–46

pretransaction costs, 45

transaction costs, 45

Transaction costs, 45

Vendor-managed inventory (VMI), 33–34

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