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Volume  12            Number  4        April  2014    

Center  for  Supply  Chain  Management   John  Cook  School  of  Business   Saint  Louis  University   NEWSLETTER    

INSIDE  THIS  ISSUE   Center Ranks 13th in the U.S. April Professional Development Programs Save The Dates Center News Photo Gallery Center Organization and Board Members Center for Supply Chain Office

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The  Center  Ranks  #13  in  the  Country     The   U.S.   News   &   World   Report   published   the   rankings   of   supply   chain   management   programs  in  the  country.  The  Center  for  Supply  Chain  Management  Studies  (CSCMS)  at   Saint   Louis   University   is   ranked   No.   13   (moved   from   #16   in   2013).   Faculty,   Advisory   Board,   alumni   of   the   various   programs,   and   staff   at   the   Center   work   tirelessly   in   improving  the  quality  of  the  programs  (academic  as  well  as  training  programs)  last  13   years.   Student’s   inputs   have   been   immediately   reflected   to   our   strategic   plan   and   implemented  making  our  students  feel  relevant  and  important  agents  of  our  program.       Our  goal  is  to  push  our  program  to  top  10  in  the  country.  Such  target  is  very  ambitious   goal  for  organization  which  has  only  15  years  of  history.  However,  the  Advisory  Board   is   committed   to   make   our   programs   relevant   and   timely.   Furthermore,   they   also   committed   to   help   us   to   place   every   graduate   from   the   programs   find   challenging   positions  with  6  months  period  upon  their  graduation.               According   to   U.S.   News   &   World   Report,   the   following   weights   were   used   in   ranking   the  supply  chain  management  programs  in  this  country:     • Quality  of  program  (40%)   • Placement  success  (35%)   • Student  selectivity  (25%)  

  April  Professional  Development  Courses     Title:  Sales  &  Operations  Planning   Date:  April  4,  2014   Instructor:  Tony  Handiz-­‐Smith   Brief  Description: Sales  and  operations  planning  (S&OP)  is  an  integrated  business  management   process  developed  in  the  1980s  by  Oliver  Wight  through  which  the  executive/leadership  team   continually  achieves  focus,  alignment  and  synchronization  among  all  functions  of  the  organization.  

Cost:  $560   Where:  The  John  Cook  School  of  Business,  Cook  Hall  classroom  CK  230     Title:  Transportation  and  Warehouse  Management   Date:  April  10  &  11,  2014   Instructor:  Tom  Goldsby,  Ph.D.  Ohio  University   2

Brief  Description: Transportation  is  the  movement  of  and  goods  from  one  location  to  another.   Modes  of  transport  include  air,  rail,  road,  water,  cable,  pipeline  and  space.  The  field  can  be  divided   into  infrastructure,  vehicles  and  operations.    Warehouse  management  involves  the  receipt,  storage   and  movement  of  goods,  (normally  finished  goods),  to  intermediate  storage  locations  or  to  a  final   customer  

Cost:  $1,120   Where:  The  John  Cook  School  of  Business,  Cook  Hall  classroom  CK  230     Title:  Certificate  in  Product  Safety  Management   Date:  April  22  &  23,  2014   Instructors:  Team  Based   Brief  Description:  The  Certificate  in  Product  Safety  Management  is  a  four  month  course  divided  

into  three  phases.      Phase  I:  The  course  opens  at  the  Cook  School  of  Business  with  a  two  day  workshop  that  provides   students  with  insights  into  the  elements  that  make  up  a  robust  product  safety  program  within  a   company,  including  compliance,  risk  assessment,  hazard  analysis,  supply  chain  management,  and   government  regulatory  relationships.       Phase  II:  Bi-­‐weekly  webinars  are  held  on  the  programs  distance  learning  platform.    Different  topics   presented  by  experts  in  the  field  include:  international  product  safety  management,  product  safety  in   retailing,  forensic  analysis  of  defective  products,  product  recall  management,  and  issues  and  trends  in   product  safety.   Phase  III:  The  course  closing  workshop  takes  place  August  5  &  6.  Students  have  each  developed  a  case   study  relevant  to  product  safety  within  their  company  over  the  four  month  period  of  the  course.  Each   student  presents  their  case  study  to  the  class  and  gets  feedback.  This  case  study  serves  as  the  "final   exam"  for  the  course.    The  program  concludes  with  a  senior  official  of  the  U.S.  Consumer  Product   Safety  Commission  joining  us  for  an  update  of  the  agency,  and  to  help  present  certificates  to  our   graduates.   Instructors:   Attorneys   instructing   on   compliance   include   Michael   Brown   of   the   Gidding   Law   Firm,   and  Belinda  May  of  Dentons.    Former  Commissioner  Nancy  Nord  of  the  U.S.  Consumer  Product  Safety   Commission  (CPSC)  will  discuss  her  tenure  with  the  federal  agency  that  has  responsibility  for  assuring   product   safety   in   over   15,000   consumer   products.   Carol   Kraege,   who   coordinates   the   Washington   State   Toxin   Policy   program   will   speak   on   chemical   regulation   at   the   state   level.   Dennis   Blasius,   director   of   field   operations   for   the   CPSC,   explains   how   the   agency   conducts   field   investigations   of   potentially   defective   products.       Sue   DeRagon   of   UL   will   address   risk   assessment.   Center   faculty   member  Bob  Drury  will  address  Supply  Chain  Management  and  Product  Safety.  

Cost:  $4,500  for  entire  workshop  (four-­‐day  class  engagement  and  eight  bi-­‐weekly   webinars)   Where:  The  John  Cook  School  of  Business,  Cook  Hall  classroom  L27  

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Title:  Reducing  and  Mitigating  Variability  in  the  Supply  Chain   Date:  April  25,  2014   Instructor:  Justin  Goodson,  Ph.D.  Saint  Louis  University   Brief  Description: Variability  is  the  underlying  source  of  many  challenges  in  supply  chain   operations.    From  daily  fluctuations  in  demand  to  large-­‐scale  supply  chain  disruptions,  variability  is   the  dominant  cause  of  mismatches  between  supply  and  demand.    In  this  course,  we  examine  the   influence  of  variability  throughout  the  supply  chain,  from  its  impact  on  simple  processes  to  its  effect   on  complex  networks  

Cost:  $560   Where:  The  John  Cook  School  of  Business,  Cook  Hall  classroom  CK  230     *Member  organizations  receive  10-­‐30  percent  tuition  discount.     Online  registration  link:  

Save-­‐the-­‐Dates       •   •  

May16,  2014:  Research  Project  Review  and  Presentation     May  22,  2014:  Integrated  Supply  Chain  Management  Fall  2013  and  Spring  2014   Awards  Ceremony  and  Reception  

  Member  discounts  ranging  from  10-­‐30  percent  are  available  to  Center  members  for   our  programs  

Center  News     Food  for  Thought     “Latest  trends  in  logistics  point  toward  automation”   By  Nadine  Miller    February  06,  2014  (appeared  in  ISM  NewsLetter)     Local  and  global  logistics  have  become  increasingly  complex,  and  the  systems  needed   to  handle  that  complexity  have  also  grown.     More   and   more   companies   depend   on   third-­‐party   logistics   (3PL)   providers   to   offer   the   data   analysis   and   warehouse,   transportation   and   financial   management   systems   needed  to  keep  products  flowing  smoothly  from  manufacturer  to  consumer.  In  2013,   companies   implemented   more   automation   in   both   hardware   and   software   to   increase   productivity  and  reduce  error  rates.     4

The   trend   toward   automation   will   continue   in   2014,   along   with   some   additional   logistics   programs   that   will   enable   increased   agility   and   responsiveness   to   the   customer.  Here  is  a  look  at  five  logistics  trends  for  the  next  year:       1.  Integrated  warehouse  management  systems     Smaller  retail  spaces  for  big  box  stores  means  more  dependence  on  warehouses  and   rapid  shipping.  Customers  expect  products  delivered  faster  than  ever,  in  part  because   some  companies  routinely  manage  two-­‐  to  three-­‐day  delivery  times.       Integrated  warehouse  management  systems  allow  real-­‐time  tracking  of  all  product  —   both  in  the  warehouse  and  on  the  road.  Warehouses  need  to  know  exact  amounts  of   product  on-­‐hand,  where  every  order  is  in  the  shipping  process  and  any  delays  that  may   impact  a  client.  These  3PL  provided  systems  also  positively  impact  loss  prevention.       2.  Increased  security  expenditures     According  to  BlueStar  manager  Randy  Smith,  only  40  percent  of  warehouses  currently   have  video  surveillance.  Of  those,  70  to  80  percent  run  on  analog  systems.     Price  drops  on  IP  cameras  and  the  convenience  of  network  access  make  the  switch  to   digital   a   necessity.   Higher   resolution   offers   better   images   for   better   loss   prevention   and   documentation   in   the   event   of   a   workplace   accident.   Estimated   warehouse   shrinkage   now   sits   at   the   $80   billion   mark,   making   avoiding   product   losses   a   major   factor  in  reducing  overhead  costs.         3.  Move  toward  a  single-­‐system  solution     Incorporating   transportation   management   into   existing   warehouse   management   systems   will   allow   improved   multicarrier   shipment   controls   through   the   entire   3PL   supply  chain.  It  also  allows  for  automated  shipment  calculation,  leading  right  into  an   integrated  financials  and  billing  solution.       Tracking   costs   of   interline   carrier   partners,   tariffs   and   other   expenses   allows   companies   to   offer   ad   hoc   quotations.   By   keeping   systems   tight   and   talking   to   each   other,   warehouse   management   becomes   a   single,   finely-­‐tuned   system   that   tracks   all   parts  and  pieces.           5

4.  Adding  labor  management  functionality  to  existing  WMS     Cut   the   overhead   is   a   repeating   refrain   for   warehouses   everywhere.   Labor   costs   typically   carry   the   single   highest   line   item   in   any   warehouse   budget.   Given   that,   identifying  the  areas  of  low  productivity  can  help  cut  down  on  that  line.       In   some   cases,   simply   notifying   employees   that   productivity   tracking   is   in   effect   produces   gains   of   5   percent.   Implementing   performance   standards   can   increase   productivity   another   10   to   15   percent,   funding   performance-­‐based   incentives   which   increase  productivity  again.       5.  Mitigating  supply  chain  risks     The   Business   Continuity   Institute   recently   reported   that   more   than   75   percent   of   business   faced   a   disruption   in   their   supply   chain   during   2012.   Of   these,   42   percent   indicated  the  failure  occurred  further  down  the  supply  chain.       Losses   from   these   disruptions   hit   over   $1.3   million   for   15   percent   of   the   survey   respondents.   This   kind   of   risk   can   be   managed   through   the   use   of   a   3PL   company.   Increased  visibility  on  the  entire  supply  chain  allows  shippers  to  respond  to  disruptions   and  deploy  alternate  shipping  methods  as  needed.       Ultimately,  logistics  trends  for  2014  will  continue  to  focus  on  reducing  overhead  costs,   increasing  productivity,  minimizing  loss  and  integrating  all  management  systems  into   one,   scalable   product.   The   move  to   3PL   companies   will   continue,   as   more   warehouses   face  the  challenges  of  global  logistics  management.    

  Center  Programs  and  Registration     You  can  access  the  full  range  of  programs  and  register  at  enter  at  the  Center  for  Supply   Chain  Management  Studies  –  A  Center  of  Distinction.    

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Photo  Gallery    

 

Strategic  Sourcing  –  Kevin  Von  Grabe  

 

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  SCOR  Workshop   Instructor  Mitch  Millstein  and  USTRANSCOM  students   8

Center  Organizations  &  Board  Members   AEP  River  Operations                                       Ameren  Services                                                          

 

Anheuser-­‐Busch/InBev                                 Asynchrony                                                 The  Boeing  Company                                        

   

Cassidy  Turley  Company                 Cass  Information  Systems   Emerson  Company                                       Energizer                                                                       Hodgson  Mill                                                           Mallinckrodt  Pharmaceuticals   Mesa  Logistics                                                       Monsanto  Company                                   Nordyne,  Inc.                                                           Novus  International,  Inc.                 Nestle  Purina  Pet  Care                           Peabody  Energy                                 ROi           Saint  Louis  University                           Underwriter  Laboratories   UniGroup,  Inc.                                                       World  Wide  Technology                   Ex-­‐Officio                                                                        

   

   

             

             

             

             

Mr.  George  Piccioni   Mr.  Dennis  Weisenborn  &   Mr.  Mark  Brandt   Mr.  Gary  Welker   Mr.  Bob  Elfanbaum   Mr.  David  Thole,  Mr.  Steve  Georgevitch,  &   Ms.  Joann  Franke   Mr.  Ed  Lampitt   Mr.  Frank  Cirimele   Mr.  Al  Middeke  &  Mr.  Joe  Ackerman   Mr.  Jeroen  Kanter   Mr.  Ray  Martin   Mr.  George  Morrison   Mr.  Frank  Fischer   Mr.  Kevin  Lawrence   Mr.  Bob  Bielecki   Mr.  Kevin  Mowery   Mr.  Marty  Tendler  &  Mr.  Pete  Spanos   Mr.  Carlton  Adams   Ms.  JoAnne  Levy   Dr.  John  Hamilton   Mr.  August  (Gus)  Schaefer   Mr.  Tom  Duwel   Mr.  Kurt  Grimminger   Dr.  Ik-­‐Whan  Kwon  

Honorary Members Mr. Bob Drury, Mr. Gerald Hayden, Mr. Jim Kavanaugh, Mr. Tom Olson

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Center  for  Supply  Chain  Management  Office   Scott  Safranski,  Ph.D.,  Interim  Dean   Ik-­‐Whan  G.  Kwon,  Ph.D.,  Director   John  W.  Hamilton,  Ph.D.,  Associate  Director   Mrs.  Dawn  DeLaria,  Administrative  Assistant     Center for Supply Chain Management John Cook School of Business Saint Louis University 3674 Lindell Blvd. DS 458 Saint Louis, Mo 63108 http://cscms.slu.edu Phone: (314) 977-3617 Fax: (314) 977-2068 Email: cscms@slu.edu

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Center for Supply Chain Management: April 2014