100+ word responses to each student. (2 responses total)Must be positive and not critical of work to the student. A question about the topic must be asked as well.

Student1:

Discuss the advantages and disadvantages of a push system and a pull system. Give specific product examples as part of your discussion that are not included in the readings for this week.

A push-pull system compare to each other in most cases in which customer demands are the whole reason for them as well as working together when it comes to predictability and forecasting which is needed to stay ahead of customer demand changes. For example, “A push-model supply chain is one where projected demand determines what enters the process. For example, warm jackets get pushed to clothing retailers as summer ends and the fall and winter seasons start. Under a push system, companies have predictability in their supply chains since they know what will come when -- long before it actually arrives. This also allows them to plan production to meet their needs and gives them time to prepare a place to store the stock they receive”, (Lander 2017).

The explanation above better explains the processes of push and pull, and how they compare to each other, and almost work hand-in-hand. However, there are some differences between the two, especially when it comes to how the products are made and received. The pull method is used when “higher demand uncertainty leads to a preference for managing the supply chain based on realized demand, (SIMCHI-LEVI 2007). The push strategy is one that will be used to forecast out what may be needed due to customer demand.

A good example of a product is, “Mars who manufacture chocolate bars, sell via distributors. It would impossible to manage requests to buy single bars of chocolate! They have a large product portfolio and sell ranges into their distributors”, (Smart Insights 2017). The candy bar could not be sold by a company as an individual, therefore, as stated, the company must go through distributors to sell in order to assist receiving a revenue for the products made. This is why a push-pull strategy is so important.

Student2:

A successful push based system revolves around forecasting customer demand. The company must accurately predict the products and quantity that the consumer will order. Based on this information, they will produce that amount of the product to meet the forecast's demand and sell the goods to the consumers. This type of system makes it hard for a company to quickly react to an ever changing marketplace which in turn can lead to an overstock of inventory. This will lead to increases costs associated with storing the excess product. Digital Ally is a company that makes body cameras for police to record what goes on during their shift. It was smart for this company to use a push system for their product after the increase in protests and police shootings. It allowed the company to meet the new demand since may cities have now made it mandatory for all of their officers to wear these.

A pull system is exactly the opposite. Just like a make-to-order strategy, the manufacturing of a product does not begin until the customer orders it. Since there is no forecasting of the demand the company will only make enough product to fulfill an order. In turn, there will be no excess of inventory which will eliminate the costs associated with storing excess products. A disadvantage of the pull system is if there is any type of delay within the supply chain. Since there is no excess inventory, the company will not be able to meet the required delivery date which will lead to customer dissatisfaction. In order to improve its manufacturing process, Toyota uses a pull based system. Toyota is able to quickly respond to changes in demand and its suppliers only deliver the parts as needed.

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Status NEW Posted 26 May 2017 01:05 AM My Price 15.00

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