Optimization Study On The Supply Chain Of Company E Based On Value Stream Analysis

With the development of economic globalization and people’s knowledge of supply chain management being strengthened, the competition enterprises face is not only to produce their own products to realize sales, but also the competition of supply chain all over the world. How to improve the efficiency of the supply chain, eliminate waste, optimize business processes, to meet and exceed customer’s expectation, is the most concerned topic of every enterprise.Company E, as the world’s leading manufacturer of communications equipment, owns a set of systematic and advanced supply chain management processes, but at the same time, through the years of global supply chain layout expansion, it has formed complex supply chain system globally. In this paper, we took Company E’s supply chain as the background, carried deep research on its supply chain optimization, with main achievements as follows:(1) Take demand forecast and planning process, ordering process and transportation process as examples, analyze Company E’s supply chain steps, identify issues and problems, such as unsmooth information flow, lack of end-to-end visibility, long lead-time with many handovers, unbalance between resource efficiency and flow efficiency, etc.(2) Apply value stream mapping into supply chain optimization, in order to realize customer value. Through analysis of Company E’s supply chain flow efficiency, find out unnecessary waste and handovers, and raise supply chain optimization thought, including: improve the quality of demand forecast and planning, prepare buffer in supply center, shorten customer order handling lead-time, optimize transportation methods etc. Base on above, new optimization proposals are raised for demand forecast and planning process, ordering process and transportation process.(3) Take specific product as an example, carry analysis on optimization effect, through comparison between current ordering process status and future status, reflect waste eliminated and time saved after the implementation of optimization proposals, evaluate forecast accuracy, delivery precision and transportation cost before optimization(2014) and after optimization(2015), which prove that supply chain optimization based on value stream mapping has significant effect on improving customer satisfaction and reducing transportation cost.The research shows that value stream mapping is an effective supply chain optimization tool, and through circulating optimization process, we can find root cause of waste in supply chain, which is beneficial for enterprises to realize customer satisfaction, win the competition, keep high efficiency operation and realize maximization on efficiency.