Unit 4: Coordination and emerging concepts
Supply Chain & Logistic Management notes · PTU syllabus (MBA 953-18)
On this page
Unit summary
Coordination through information, technology and lean thinking makes supply chains work as one. This unit covers the role of IT in the supply chain, e-CRM, SRM, the e-business framework, reverse logistics, RFID and bar codes, lean supply chains, Six Sigma implementation and the role of blockchain.
After this unit you can
- Explain the role of IT, e-CRM and SRM in supply chains
- Explain the e-business framework and reverse logistics
- Explain RFID and bar codes
- Explain lean supply chains, Six Sigma and blockchain
PTU syllabus topics
- Role of IT in the supply chain
- E-CRM
- SRM
- E-business framework
- reverse logistics
- RFID systems and bar codes
- lean supply chains
- Six Sigma implementation
- role of blockchain in supply chain
RFID and bar codes
Real-time tracking
Reverse logistics
Returns, recycling
Lean supply chain
Eliminate waste
Blockchain
Traceability and trust
E-CRM and SRM
Customer and supplier relationships
Topic 1
Role of IT in the supply chain
- Functions: visibility across stages, forecasting and planning, execution (orders, warehouses, transport), collaboration, analytics.
ERP
Integrated transactions
Advanced planning and scheduling (APS)
Demand and supply planning
Warehouse management system (WMS)
Transport management system (TMS)
Control towers
End-to-end real-time visibility
Collaboration
CPFR, supplier portals, EDI
- Countering the bullwhip effect: share point-of-sale data, VMI, CPFR (collaborative planning, forecasting and replenishment), everyday low pricing, shorter lead times.
Topic 2
E-CRM and SRM
- E-CRM: online systems to manage customer interactions — order capture, order tracking, self-service, personalised marketing, service.
- SRM: managing supplier interactions — sourcing, negotiation, collaboration, performance scorecards, supplier development, risk monitoring.
Topic 3
The e-business framework
- E-business in supply chains: e-procurement, online marketplaces (B2B exchanges), e-fulfilment, digital payments, online customer service.
- Benefits: lower transaction costs, faster cycles, wider reach, real-time information; challenges: integration, trust, cybersecurity.
Topic 4
Reverse logistics
- Reverse logistics: moving goods from customers back for return, repair, reuse, recycling or disposal.
- 1Gatekeeping
Decide what returns to accept
- 2Collection
- 3Sorting and inspection
- 4Disposition
Restock, refurbish, remanufacture, recycle, dispose
- 5Redistribution or resale
- Drivers: e-commerce returns, warranties, extended producer responsibility (E-Waste Management Rules 2022, Plastic Waste Rules), circular economy.
Topic 5
RFID and bar codes
Reading
Line of sight, one at a time
No line of sight, many tags at once
Data
Fixed identification
Can store and update more data
Cost
Very low
Higher (passive tags falling in price)
Uses
Retail POS, warehouses (GS1 standards)
Pallet tracking, FASTag tolls, apparel inventory
- Benefits: accurate inventory, faster receiving and checkout, reduced shrinkage, traceability.
Topic 6
Lean supply chains
- Lean: eliminate waste across the chain — pull replenishment, small lots, level scheduling, supplier partnerships, value stream mapping.
- Agile vs lean: lean suits stable, high-volume demand; agile suits volatile demand; leagile combines them with a decoupling point.
Topic 7
Six Sigma implementation in supply chains
- Apply DMAIC to supply chain problems — delivery delays, order errors, inventory inaccuracy, forecast error.
- Lean Six Sigma combines waste removal with variation reduction; roles — champions, black belts, green belts.
Topic 8
Role of blockchain in the supply chain
- Blockchain: shared, tamper-resistant ledger recording transactions among participants.
- Uses: traceability and provenance (food, pharmaceuticals), authenticity against counterfeits, smart contracts for automatic payments, trade finance documentation, carbon tracking.
- Challenges: integration, data entry accuracy ("garbage in"), scalability, governance among partners.
Key terms
- Control tower
- Real-time end-to-end supply chain visibility hub
- CPFR
- Collaborative planning, forecasting and replenishment
- Reverse logistics
- Flow of goods back from customers
- RFID
- Radio-frequency identification of items
- Leagile
- Combination of lean and agile supply chains
Quick revision
- IT systems: ERP, APS, WMS, TMS, control towers; bullwhip remedies.
- E-CRM and SRM; e-business framework.
- Reverse logistics process; EPR rules.
- Bar codes vs RFID.
- Lean, agile, leagile; Lean Six Sigma; blockchain uses and limits.
Important exam questions
Practice questions written to the PTU exam pattern for this unit's syllabus: short answers (Section A style) and long answers (Sections B and C style).
Short-answer questions
- Q1.State two roles of IT in the supply chain.
- Q2.What is CPFR?
- Q3.Distinguish e-CRM and SRM.
- Q4.What is reverse logistics?
- Q5.Distinguish bar codes and RFID.
- Q6.State two uses of blockchain in supply chains.
Long-answer questions
- Q1.Explain the role of IT, e-CRM and SRM in supply chain coordination.
- Q2.Discuss reverse logistics and its drivers.
- Q3.Compare bar codes and RFID and explain their supply chain applications.
- Q4.Discuss lean supply chains, Six Sigma and blockchain applications.
Stuck on this unit?
Message SBS on WhatsApp for help with Supply Chain & Logistic Management, or to ask about studying MBA at Synetic.