{"id":438,"date":"2016-07-13T12:57:50","date_gmt":"2016-07-13T17:57:50","guid":{"rendered":"http:\/\/blogs.uww.edu\/prasad\/?page_id=438"},"modified":"2016-07-13T12:57:50","modified_gmt":"2016-07-13T17:57:50","slug":"collaborative-planning-supporting-automated-replenishment-programs","status":"publish","type":"page","link":"https:\/\/blogs.uww.edu\/prasad\/teaching\/independent-study\/collaborative-planning-supporting-automated-replenishment-programs\/","title":{"rendered":"Collaborative planning: supporting automated replenishment programs"},"content":{"rendered":"

Theodore P. Stank, Patricia J. Daugherty and Chad W. Autry<\/p>\n

Business Process Management Journal<\/h2>\n

1999, Vol. 4, No. 2, p. 75-85<\/p>\n

 <\/p>\n

1)\u00a0\u00a0\u00a0\u00a0\u00a0 Introduction<\/p>\n

    \n
  1. a) ARP<\/li>\n
  2. i) Inventory restocking is triggered by actual needs<\/li>\n
  3. b) Collaborative forecasting<\/li>\n
  4. i) Better match supply and demand<\/li>\n
  5. ii) Better preparation for market changes<\/li>\n<\/ol>\n

    iii)\u00a0\u00a0\u00a0\u00a0 Long term forecasts are continually updated based on actual demand<\/p>\n

    2)\u00a0\u00a0\u00a0\u00a0\u00a0 Collaborative planning, forecasting and replenishment<\/p>\n

      \n
    1. a) Difficulties in forecasting<\/li>\n
    2. i) Influence of promotions<\/li>\n
    3. ii) Changing demand patterns<\/li>\n<\/ol>\n

      iii)\u00a0\u00a0\u00a0\u00a0 Competitive pressures<\/p>\n

        \n
      1. b) Solutions to uncertainty<\/li>\n
      2. i) Inventory: an expensive method of avoidance<\/li>\n
      3. ii) Cooperative panning between trading partners<\/li>\n
      4. c) What is CPFR<\/li>\n
      5. i) Elimination of multiple forecasts through detailed exchange of information<\/li>\n
      6. ii) Internal coordination and information sharing<\/li>\n<\/ol>\n

        iii)\u00a0\u00a0\u00a0\u00a0 Coordinating multiple forecasts and various information into a single forecast<\/p>\n

          \n
        1. d) Benefits<\/li>\n
        2. i) More effective inventory management<\/li>\n
        3. ii) Improved customer service<\/li>\n<\/ol>\n

          iii)\u00a0\u00a0\u00a0\u00a0 Improved profitability<\/p>\n

            \n
          1. e) Nine-step Model<\/li>\n<\/ol>\n

            (1)\u00a0\u00a0 Develop a front-end agreement<\/p>\n

            (2)\u00a0\u00a0 Create a joint business plan<\/p>\n

            (3)\u00a0\u00a0 Create a sales forecast<\/p>\n

            (4)\u00a0\u00a0 Identify exceptions for sales forecast<\/p>\n

            (5)\u00a0\u00a0 Resolve\/collaborate on exception items<\/p>\n

            (6)\u00a0\u00a0 Create an Order forecast<\/p>\n

            (7)\u00a0\u00a0 Identify exceptions for order forecast<\/p>\n

            (8)\u00a0\u00a0 Resolve\/collaborate on exception items<\/p>\n

            (9)\u00a0\u00a0 Order generation<\/p>\n

            3)\u00a0\u00a0\u00a0\u00a0\u00a0 Impact of CPFR<\/p>\n

              \n
            1. a) Reported results<\/li>\n
            2. i) Improved in-stock positions<\/li>\n
            3. ii) Achieved significant inventory reduction<\/li>\n<\/ol>\n

              iii)\u00a0\u00a0\u00a0\u00a0 Better asset utilization<\/p>\n

                \n
              1. iv) Reduced risk<\/li>\n
              2. v) Improved day-to-day management<\/li>\n
              3. b) Limitations<\/li>\n
              4. i) Business must have significant volume to justify investment<\/li>\n
              5. ii) Requires significant technological support<\/li>\n<\/ol>\n

                4)\u00a0\u00a0\u00a0\u00a0\u00a0 Research results<\/p>\n

                  \n
                1. a) A positive relationship between CPFR and process inputs, performance outcomes and IS tools used for implementation<\/li>\n
                2. i) Demand fluctuations are smoothed by greater information sharing<\/li>\n
                3. ii) Some reluctance to operate with low\/no inventory<\/li>\n
                4. b) A strong positive relationship between firms demonstrating high levels of CPFR and implementation of operating process changes<\/li>\n
                5. c) There is little difference on performance goal attainment associated with high or low levels of CPFR implementation<\/li>\n
                6. d) A positive association between CPFR implementation and IS capabilities<\/li>\n<\/ol>\n

                  5)\u00a0\u00a0\u00a0\u00a0\u00a0 Conclusions<\/p>\n

                    \n
                  1. a) There are relatively high levels of process change, achievement of performance goals and IS capabilities among firms using ARP<\/li>\n
                  2. b) There is an association between IS capabilities and the implementation of CPFR<\/li>\n
                  3. c) True benefits are realized when collaborative plans are linked to operational change<\/li>\n
                  4. d) Accurate demand planning enables manufacturing to postpone the production of anticipatory stock<\/li>\n
                  5. e) Changes to processes are not easy or cheap<\/li>\n
                  6. f) Limitations of research<\/li>\n
                  7. i) Fails to verify broad based performance enhancements related to CPFR<\/li>\n
                  8. ii) Fails to consider potential differences in manufacturer and retailer perceptions of the impact of APR and CPFR<\/li>\n<\/ol>\n","protected":false},"excerpt":{"rendered":"

                    Theodore P. Stank, Patricia J. Daugherty and Chad W. Autry Business Process Management Journal 1999, Vol. 4, No. 2, p. 75-85   1)\u00a0\u00a0\u00a0\u00a0\u00a0 Introduction a) ARP i) Inventory restocking is triggered by actual needs b) Collaborative forecasting i) Better match supply and demand ii) Better preparation for market changes iii)\u00a0\u00a0\u00a0\u00a0 Long term forecasts are continually […]<\/p>\n","protected":false},"author":3916,"featured_media":0,"parent":118,"menu_order":0,"comment_status":"open","ping_status":"open","template":"","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"class_list":["post-438","page","type-page","status-publish","hentry"],"_links":{"self":[{"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/pages\/438","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/users\/3916"}],"replies":[{"embeddable":true,"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/comments?post=438"}],"version-history":[{"count":1,"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/pages\/438\/revisions"}],"predecessor-version":[{"id":439,"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/pages\/438\/revisions\/439"}],"up":[{"embeddable":true,"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/pages\/118"}],"wp:attachment":[{"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/media?parent=438"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}