Organization Integration and Personal &

Skill Development for Global SCM Robert Vokurka, Ph.D., CFPIM, CIRM, CSCP

APICS Chair (2008)

Professor and Chair,

Texas A & M University-Corpus Christi

What is APICS?

APICS The Association for Operations

Management is the global leader and premier

source of the body of knowledge in operations

management. APICS education and certification

programs are recognized worldwide as the standard

of professional competence in production and

inventory management, operations management,

and supply chain management. More than 33,000

individuals are members of APICS.

APICS Mission

APICS builds knowledge and skills in operations management

professionals to enhance and validate abilities and

accelerate careers.

APICS helps its members and their organizations to successfully

compete and to build a stronger global economy.

APICS Overview

– Supply Chain

– Logistics

– Impact of Technology on Supply Chain

– Production and Inventory Management

– Operations

– Operations

– Materials Management

– Planning

– Scheduling

– Purchasing

– Lean Manufacturing

APICS The Association for Operations Management is a member-based

association dedicated to developing and providing the body of knowledge in

operations management, including:

Since 1957, individuals & companies have relied on APICS for its superior

training programs, internationally recognized certifications, comprehensive

resources, and worldwide network of accomplished industry professionals.

Supply Chain Strategy

Supply Chain Major Characteristics

Supply chains are

• Strategic

• Dynamic

• Customer-driven

1. Strategic

The supply chain encourages organizations to

develop and maintain strategies to compete in

today‘s markets.

2. Dynamic

The supply chain is constantly changing as result of

new organizational strategies, global economic shifts,

new technologies, new customer needs, among

other forces.

3. Customer-Driven

Supply chains must focus on product and service

order winners and be reactive to fluctuating

customer demand.

Supply Chain Management Goal

Supply chain managers strive to close the gap

between the current capabilities and the new

demands of supply chains.

Supply Chain Management 2010

The New Demands

In 2006, APICS Educational &

Research Foundation conducted,

Supply Chain Management 2010:

Mapping the Future of the Strategic

Supply Chain, a study of the critical

issues facing supply chain managers.

Critical Issues: Strategic visibility and

alignment

• Strategic supply chain investment and

improvements

• Skills development to understand local markets,

globally

• Intercultural training

• Information and supply chain visibility

Critical Issues: Talent management and

leadership

• Leadership

• Resolving supply network paradoxes

• Talent management

Critical Issues: Supply chain models including

risk mitigation and cost optimization

• Total supply network optimization

• Supply chains of unequal importance

• Leadership team is not aware of supply chain value

• Risk management, planning, strategy

Critical Issues: Process orientation including

measures, information, and integration

• Supply network measures

• Product innovation using supply chain input

• Business process integration

Critical Issues: Relationships and Trust

• Collaboration and relationships

• Redefine boundaries and encourage collaboration

• Reward behavior

Critical Issues: Supply chain architecture

and structure

• Layered and dynamic supply chains

• Supply chain structure — physical

How Do We Meet the New Demands?

To close the gaps between the current supply chain

and the new demands….

Train critical thinkers.

All of the critical issues are linked by strategy. There

is a need to solve issues with long-term plans

instead of short-term tactical solutions.

Importance of Supply Chain Strategy

Strategy stretches across the supply chain.

• Strategic planning increases revenue

• Tactical planning reduces costs

• Both are needed for supply chain success, but strategic

approaches provide a long-term and dynamic plan for

your supply chain.

Thinking Critically About Supply Chain

• Creating multiple solutions.

• There are no best practices that are effective across

each job role, department, organization, or supply chain.

• Learn to use the knowledge and skills to determine

the best solution for your organization.

• There are fundamental knowledge areas and skills that

are common within job roles.

Supply Chain Manager Competency Model

Creating the Supply Chain Manager

Competency Model

• APICS developed the Supply Chain Manager

Competency Model to fill the gaps in the critical

issues facing the supply chain.

• Competencies are defined as the capabilities to

apply or use a set of related knowledge, skills, and

abilities required to successfully perform ‗critical work

functions‘ or tasks in a defined work setting.‖

• Competencies replace best practices

Structure of the Supply Chain Manager

Competency Model

The model features

• Leadership competencies

• Technical competencies

• Knowledge areas requiring

critical thinking

Strategic Highlights from the Model

Strategy Development and Application

• Create a strategy based on the company‘s

• Core values

• Mission

• Priorities

• Develop goals, objectives and strategies to

accomplish those goals.

Strategic Highlights from the Model

Risk Management

• Accurately identify risks affecting

• Supply

• Delivery

• Customer demand

• Develop strategies that minimize financial impact

• Analyze the probability, control, and impact of risks

Strategic Highlights from the Model

Customer Focus (Internal & External)

• Ensure that the whole organization puts its

customers first.

• Ensure all activities, from planning to production,

marketing, and after-sales care, are built around the

customer.

APICS Certified Supply Chain Professional Program

Supply Chain Education

APICS takes a holistic approach to supply chain

education.

• Supply chains cross boundaries

• The knowledge and skills of supply chain professionals

must also cross boundaries

Creating the Certified Supply Chain

Professional Program

• Demand

• Increasing importance of SCM

• Rapidly changing field

• Lack of industry standard

• Response

• The Certified Supply Chain Professional program

• Defined body of knowledge

• CSCP Learning System

• Certification exam and credential

APICS Certified Supply Chain Professional

Certification that enables individuals to develop a supply chain management strategy that reduces costs, increases profits, and effectively serves customer needs.

• Global

• Breadth across topics

• Fundamental knowledge

• Beyond manufacturing

• Examines external relationships

APICS CSCP Certification Statistics

7,700 certified total

• 938 in Asia Pacific

• Koreans are represented

among the many APICS

CSCP certified professionals.

Benefits to Employee

• Competencies to manage complex global supply chain

activities

• Proven knowledge and skills to strategically streamline

operations

• Ability to increase the efficiency using existing resources

Benefits to Corporation

• Design successful supply chain strategies using global

standards

• Effectively manage supplier and customer

relationships

• Increase customer satisfaction and bottom-line results

• Increase collaboration between departments

Strategy for Individuals

• Provide education of supply chain principles to

supply chain teams

• Competencies

• Certifications

Strategy for Organizations

• Extend competencies to teams and individuals who interact

with your supply chain

• Interdependent staff

• Network of suppliers and customers

• Extending competencies across enterprises

Leads to the development of dynamic and fully aligned

supply chain strategies.

Customer-Focused Supply Chain Management

Extending Customer-Focused Strategy

• A successful customer-focused supply chain does not only

train supply chain professionals to satisfying internal and

external customers, but extends the strategy to supporting

staff, for example

- Accounting/Finance - Information technology

- Customer service - Sales and marketing

- Engineering - Senior executives

- Human resources

Customer-Focused Supply Chain Management

This year, APICS released a one-day course to provide supply chain knowledge to supporting staff in the supply chain industry.

Customer-Focused Supply Chain Management

After the course, supply chain supporting professionals

• See where they fit in the chain

• Understand common supply chain terms

• Realize how their communication and actions can impact

supply chain performance

Teach Supply Chain Management to All Staff

Extending principles of supply chain management, like

customer-focus, to all staff is beneficial because it

• Aligns all departments to supply chain strategy

• Ensures success of process improvements

• Improves outcome of lean management goals

The Extended Enterprise

The ―extended enterprise‖ is another term for supply

chain that helps illustrate the influence of one

enterprise on the entirety of the network.

• To ensure the success of the network, each enterprise

must work towards common goals.

• Extending a strategy across the network improves the

outcome.

Extending Supply Chain Management Across

the Chain

• Maintaining responsiveness, agility, and efficiency in

the supply chain requires a common understanding

• To devise strong operational strategies

• Complete tactical activities

Extending Supply Chain Management Across

the Chain

• How does an organization with a global supply chain

strategy ensure that professionals

• Have the knowledge to communicate across boundaries

• Think critically about supply chain to develop strategies

• Have tactical knowledge to complete everyday processes?

Next Steps

Next Steps

• Visit apics.org/KMAC to access resources • Supply Chain Management 2010

• The Supply Chain Manager Competency Model

• The APICS Operations Management Body of Knowledge Framework

• Share a demo of the APICS CSCP program with the executive level at your company.

• Begin a conversation about training other departments on SCM principles.

Thank You.