Business Process Innovation

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Business Process Innovation Management

• Sri Sharma
• School of Business Administration
• Oakland University
• Winter 2003

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Designing Collaborative Supply Chain Processes
for e-Business
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What is a supply chain?

• Sourcing for purchased goods and services and
  managing the flows of these inputs
• Stuart and McCutcheon, 2000
• Set of enterprises tied together through a set of
  business processes that provide products and
  services to a business customer
• El Sawy, 2001

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Supply Chain Views

• Enterprise-centric
• Extended-enterprise
• Singular threaded
• Industry

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The Value System
Single-Industry Firm
Firm Value Chain
Diversified Firm
Firm Value Chain
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The Generic Value Chain
Firm Infrastructure
Human Resources Development
Margin
Support Activities
Technology Development
Procurement
Inbound Logistics
Outbound Logistics
Marketing Sales
Operations
Service
Margin
Primary Activities
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Supply Chain Inefficiencies

• Plug-and-Play Process Misalignments
• Information Coordination Misalignments
• Knowledge Sharing Misalignments

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Redesigning Supply Chain

• One collaborative process
• Series of processes interacting through
  partner-interface-processes (PIPs)
• Open-and-closed PIPs

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Steps in Supply Chain Redesign

• Scoping the supply chain process
• Identifying the PIPs within the supply chain
  process
• Designing to be PIPs
• Estimating and articulating expected PIPs impacts
• Agreeing on and disseminating PIPs specification

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Supply Chain Process Structure

• Process Clusters
• Process Segments
• Scenarios and Sub-Processes

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Clusters

• 0 RosettaNet Support
• 1 Partner, Product, and Service Review
• 2 Product Information
• 3 Order Management
• 4 Inventory Management
• 5 Marketing Information Management
• 6 Service and Support
• 7 Manufacturing

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Cluster 2 Product Information

• 2A Preparation for Distribution
• 2B Product Change Notification
• 2C Product Design Information
• 2D Collaborative Design

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2A Preparation for Distribution

• PIP 2A1 Distribute New Product Information
• PIP 2A2 Query Product Information
• PIP 2A3 Query Marketing Information
• PIP 2A4 Query Sales Promotion Rebate
  Information
• PIP 2A5 Query Technical Information
• PIP 2A6 Query Product Lifecycle Information
• PIP 2A7 Query Product Discontinuation
  Information
• PIP 2A8 Distribute Product Stock Keeping Unit
  (SKU)
• PIP 2A9 Query EC Technical Information
• PIP 2A10 Distribute Technical Product
  Information
• PIP 2A11 Query Product Master
• PIP 2A12 Distribute Product Master

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Distribute New Product Info