Abstract
M.Com. (Business Management)
Many manufacturing companies around the world, including South African companies, experience a shortfall in desired outcomes in relation to the potential supply chain management benefits that contribute to efficient manufacturing planning and improved delivery performance. These benefits can be translated into an improved balance sheet, income statement and cash flow. Most companies are aware of the view that supply chain excellence yields more economic benefits by directly linking the benefits of increased shareholder value, but lack the understanding of how to unleash the power of the integrated supply chain approach and systematic intervention. As stated by Slone, Dittmann, and Mentzer (2010:7), the supply chain controls up to 70% of the operating cost, including inventory management, and manages most of the physical assets of the business. However, little research currently exists in terms of directly linking the benefits of best fit between supply chain management and a manufacturing planning approach in an engineering-to-order manufacturing environment. This dissertation investigates the misalignment between supply chain management and manufacturing planning in an electronic defence company.
This study addresses the possible shortfalls in the interaction between the supply chain management approach and the manufacturing planning approach at an electronic defence systems company and focuses on supply chain planning, manufacturing planning, the influence of design and development and the silo organizational structure. Relevant supply chain management interventions are investigated through a literature review, including the supply chain management approach, the value chain and manufacturing planning. The study was conducted in two ways: Firstly, the relevant literature was reviewed and, secondly, an empirical study was conducted at the research site by administering self-administered questionnaires to selected respondents and by collecting data from the enterprise resource planning (ERP) system to gain a rich understanding of the problem addressed by this research...