Making the world a little better every day!

Master Supply Chain ManagementDr. ir. Wendy van der Valk – Academic Director

1. Supply Chain Management – An overview

Logistics

Logistics ≈ distribution < Supply Chain Management

Designing and managing production systems

Purchasing: Armageddon, the launch

SCM in non-production environments

What is Supply Chain Management?

• “Supply Chain Management is the integration of key business processes from end user through original suppliers that provides products, services and information that adds value for customers and other stakeholders” (Stock and Lambert, 2000).

• Supply chains compete, not companies (Christopher and Towill, 2002)

• Key issues:

Supply chain complexity:Many supply chain tiers

OEM1st tier supplier(seats)

2nd tier supplier(leather firm)

3rd tier supplier(tannery)

4th tier supplier(farmer)

Example

CustomerDealer

Configuration

2. Master in Supply Chain Management at Tilburg University

Master Supply Chain Management

Heal the worldmake it a better place

Heal the worldmake it a better place

SCM's impact on ROI

Source: Christopher, 2005

Supply chain

Cost Of Goods Sold (COGS)

• Direct costs attributable to the production of the goods sold by a company, including• Cost of materials used in creating the good ("purchasing

cost")• Direct labor costs used to manufacture the good

("manufacturing cost")

Supply chain management and operations!

COGS at Unilever

Example

Supply chain and operations costs:~ 60% of revenues

from products

Profit impact of purchasing: Reducing purchasing costs vs. increasing revenues

47%

40%

50%

59%

0% 20% 40% 60% 80% 100%

Mechanical Engineering

Chemical Industry

Foods

Trade

Operative MarginOther CostsStaff CostsPurchasing costs

EBIT Margin

3.4 %

2.5 %

5.0 %

3.3 %

Lowering purchasing costs by 3 % will have the same EBIT-effect as an revenue increase of …

Revenue increase of

52 %

60 %

24 %

43 %

PI =EM

PC x PCRPC = Purchasing costs in % of revenues PCR = Purchasing costs reduction in % of the

purchasing cost EM = EBIT Margin %PI = Profit impact of purchasing as compared to

necessaryrevenue growth

Indus

tries

Examples

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3. Characterization of Supply Chain Management graduate-to-be

What characterizes our graduates?

• Knowledge of key supply chain processes, their interrelations, and their interactions with the environment

• Skills: project management, scientific approach, collaborative, informed decision-making, sensitive to relevant changes

• Character --> attitude!

PurchaseProduceDistribute

Focal company

PurchaseProduceDistribute

SC partner

Environment

Knowledge, skills and character

• Holistic view

• Collaboration with various functional disciplines

• Thorough problem-analysis; understand what’s really going on

• Eye for ethics and social/ societal impact

• Hands-on

What characterizes our graduates?

Inputs

Throughputs

Avg nr of contact hours: 10/ wk

Examples of Master Theses

• > 90% company assignment

• Albert Heijn: combining inbound and outbound transportation flows

• DAF: spare parts management

• Coca Cola: redesign warehouse layout

• Closed loop supply chains at Philips, Assembleon, Oce, Lage Landen

• Purchasing management at Nedtrain

• Maintenance of F16 jet fighters

• Also SMEs (e.g. lean manufacturing projects)

Organization of education

Exams vs assignments

Lectures vs seminars?

Example of exam questions or assignments

Typical weekly schedule

Group work or individual

assignments?

Guest lectures and business

cases

Course example

• “The Fresh Connection”• Web-based simulation of a fresh juice producer• Goal: Highest ROI (costs, revenue, investments)• Cross-functional teams• Decision-making at the tactical/strategic level• Six rounds with increasing task complexity

(Advanced) topics we will address:• Supply chain fundamentals• Supply chain strategy and its implementation• Agri-food supply chains• Supply chain planning and S&OP• Forecasting• Supply chain collaboration• Supply chain risk• Close loop value creation

 

Finished productComponents

Supply Production Distribution

Supply Chain

Purchasing Operations Sales

Reflect Discussions Presentations

Conceptualize Lectures Guest

speakers

Apply Rounds of

play Exercises

Experience Feedback

from the simulation

Study method example

INNOVATIVE CONTENT:• An introduction into a system dynamics

perspective of strategic supply chain management issues

• Based on 9 real-world case studies (Airbus, ASML, Atos Origin, Fokker, Interpolis, KPN, NXP)

• With 3 introductory theory chapters and a concluding theory chapter

• With special focus on ICT-related issues: ERP, Sales & Operations Planning, Outsourcing, Advanced Planning Systems, Balanced Scorecard / Business Intelligence

• Every week simulation model analysis exercises to understanding supply chain dynamics (model analysis, sensitivity analysis, policy design, nonlinear and chaotic behavior, etc.)

INNOVATIVE FORMAT:• Online course: available as paper & e-

book Supply Chain Dynamics (2015), including:• 180+ Youtube clips and some • 15+ Sims (Simulation models in Ithink)• 9 Fireside chat interviews with key

executives involved in the cases• Slide sets• 420+ pages of text

Dual degrees

EBS Universität für Wirtschaft und Recht Wiesbaden, Germany

Finance; Real Estate; Management,; Automotive

EDHEC Business SchoolNice, France 

International Accounting and Finance; Corporate Finance and Banking; Finance

Zagreb School of Economics and Management (ZSEM) Zagreb, Croatia. 

Management; Marketing; Finance and

Accounting; Finance and

Banking; Accounting;

Auditing and Taxes; Quantitative

Finance; Human Resource

Management

General MBA

ISM University of Management and Economics Vilnius, Lithuania

Innovation and Technology Management (outgoing);

International Marketing Management (incoming)

LUISS Universita Guido CarliRome, Italy

Innovation and Entrepreneurship …

Extended Business Master

Institutional framework:• Maximum duration master’s program: one year• Knowledge and skills: scientific emphasis

Limited room for:• Internships and practical assignments• More professional knowledge and skills

Extended Master:

• Practical experience

• Training professional skills

Graduates immediately employable in companies

30

4. Careers in Supply Chain Management

SCM as the new hot MBA

Job prospects: facts & figures

Alumni monitor 2016:• permanent positions: 63%• satisfaction: 89%• recommending the

program: 85%

Where do our graduates work?

Harm Jan Bech Procurement analyst EnexisHilde Botden Supply chain engineer VDL (Van der Leegte) GroupVictor Breugem Supply chain planner, FrieslandCampinaDavid de Kruijf Supply chain planner PearleWillem Jan Castelijns Warehouse manager PanalpinaNiels de Rooij Business analyst Ploeger Geoffrey Dickenson Operations manager WoonVeiligRobbert Janssen PhD candidate VUJohn Koers Interim Professional at YachtRobin Law Consultant at Every AngleInna Kostuyek Service analyst Philips HealthcareRonald Sol Teacher HAS HogeschoolDirk van Dooren Supply chain analyst LHC consultingRobbie VughtsSergi Serrano LupionSander van der HeijdenDaan Klein DouwelFlorina de Jong

Head of EMEA Edwards Lifesciences SASupply Chain Planner at Chupa ChupsLogistics Engineer at Océ Technologies B.V.Management trainee at KLMIntern European Management Office Samsung Electronics

Example of job vacancy

This is a superb opportunity to join a major, prestigious beverage company in their International office located in Amsterdam. The International office in Amsterdam is responsible for sales in Europe, Africa and the Americas. They are urgently looking for a high caliber:

DEMAND & SUPPLY PLANNING MANAGER

In this role, you will have responsibility for the total demand planning of the Finished Goods and Concentrate sales as well as for the material planning of ingredients and packaging. You will work closely with sales, marketing and with other Business Units to identify trends and to refine an 18 month demand plan. You will foster strong relationships with Commercials, Finance and Marketing teams in running a 12 month Supply and Operations Calendar. The key accountabilities are as follows;

DEMAND PLANNING

SUPPLY PLANNING MANAGEMENT• Material planning for ingredients and packaging. • Management of 2 Material Planners • Review SAP & MRP on a daily basis • Drive coordination of make-buy initiatives and bill of materials management. • Stock management of raw materials & packaging. • Support during budgeting and forecasting for materials planning;PROFILE & EXPERIENCE• Preferably a Masters Degree in Supply Chain Management • A minimum of 5 years international supply chain experience within FMCG company. • SAP & Spreadsheet experience (Excel/Access etc.) • Experience working with Sales/Marketing/Finance/Logistics departments. • Highly analytical and comfortable with figures. • Business fluency in English - French or Spanish would be a big advantage.

5. Participant’s perspective:Mathijs van den Kieboom Product Manager Hand Tools & Storage at Fabory

6. To conclude

Contact our student ambassadors!

More information?

Questions?

w.vdrvalk@tilburguniversity.edu