Sample Essay

“In a global supply chain, managers must plan for longer lead times, expensive airfreight, higher inventory levels, poor sales-forecasting accuracy, and significant delays in resolving technical problems. Many businesses have tried to understand and implement lean production systems, pioneered by the automobile companyToyota, that encompass goals such as just-in-time delivery, low inventories, zero defects, flexible production in small batches and close technical cooperation with suppliers.

Lean production can be conceptualized as a tightly coupled pled, flexible system and the high degree of coordination it requires entails rapid, frequent flows of goods and information that are likely to be expensive and difficult across countries. Distance not only increases the amount of inventory in the supply chain but also results in the need for higher levels of buffer inventories.” (Levy, 1997)

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Essay: Levy’s statement on Global Supply Chain
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