ABSTRACT
Chapter 15 focused on alignment of a supply chain strategy among functions within a company. This chapter describes issues related to multicompany efforts, those that take place between trading partners. West Marine, the case discussed in Chapter 15, describes how that company sought to improve its supplier-related processes. Examples listed in Table 15.6 included electronic data interchange (EDI), collaborative planning, forecasting, and replenishment (CPFR), forecast sharing under West Marine control, and pickup of orders at supplier locations. To make life easier for its suppliers, West Marine accommodated the inevitable varying lead times of suppliers due to product manufacturing and delivery differences. To “synchronize” their replenishments, they accommodated needs of suppliers to be productive. West Marine also agreed, in order to show that it backed its forecasts, to commit to buy any order it had forecast. Indeed, data provided to suppliers was in an “order format,” not just expected quantities for different stockkeeping units (SKUs).
