Module 9: Business Processes - ASU's W. P. Carey School
Understanding Supply Chains and Business Processes
The Activation of Global Supply Chains
- Customers unknowingly activate a global supply chain when they make purchases, such as buying a bottle of water or ordering online.
- Each transaction triggers numerous business processes to ensure timely delivery at reasonable prices while maintaining company profitability.
Key Processes in Online Purchases
- Purchasing a book online activates various processes including picking, packing, labeling, shipping, restocking, and supplier payments.
- Each process requires time and resources, often necessitating trained employees to execute tasks efficiently.
Importance of Effective Business Process Management
- Effective business process management can lead to significant savings in time and money; even minor improvements can yield substantial financial benefits for companies.
- Supply chain managers are tasked with designing and improving interconnected processes that span from point-of-sale to suppliers globally.
Role of Top Executives in Supply Chain Management
- Well-designed business processes enable executives to manage operations effectively from afar, ensuring consistent quality across locations.
- Companies like McDonald's and Starbucks thrive due to their efficient business processes that provide uniform customer experiences worldwide.
Customer Expectations and Business Process Integrity
- Customers expect high-quality service; any failure in the process can lead to dissatisfaction (e.g., incorrect restaurant orders).