Global Manufacturing Management
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1 Global Manufacturing Management IØ3092 Strategic Purchasing Management, specialization project IØ3091 Strategic Purchasing Management, specialization course Fall 2017 Strategic Purchasing Management track In the second year of the 2-year masterprogram Global Manufacturing Management (GLOMAN), the students can follow one of two specialization tracks: Production Management or Strategic Purchasing Management (SPM). This document describes the latter. In particular, it lists the possible topics for project theses that the students can choose in the fall of The document is structured as follows: 1. Overview of the courses that make up the SPM track 2. Overview of possible supervisors for project and master theses 3. Overview of topics for the project thesis for the fall of Description of the specialization course IØ The SPM track contains the following courses: TIØ4175 Purchasing and Logistics Management IØ3091 Strategic Purchasing Management, specialization course IØ3092 Strategic Purchasing Management, specialization project IØ3911 Master thesis in Global Manufacturing Management Following the SPM track requires that the student takes the course TIØ4265 Strategic Management in the first year of the program. 2. Possible supervisors: Professor Luitzen de Boer (coordinator) Professor Heidi Dreyer Professor Elsebeth Holmen Associate professor Tim Torvatn Professor Ann-Charlott Pedersen PhD student Michael Jenssen 1
2 3. Overview of topics for project thesis, fall 2017 Below you will find a list and an overview of the projects to choose from in GLOMAN01: Student defined project GLOMAN02: Strategies for a more sustainable supply chain GLOMAN03: Retail Supply Chain Management GLOMAN04: Innovative and flexible food processing in Norway (iprocess) GLOMAN05: Supply chain strategies in small volume supply chains GLOMAN06: Lean Production and Lean Supply Chains GLOMAN07: Developing the purchasing function in Veidekke Contractor 2
3 GLOMAN01: Student defined project This code should be used if the student wishes to define a project him/herself and finds one or more firms or organizations who are willing to contribute. The student should also find a supervisor willing to supervise and approve the problem statement. The name of the supervisor should be written in the comments field in the web application. 3
4 GLOMAN02: Strategies for a more sustainable supply chain SISVI Sustainable Innovation and Shared Value Creation in Norwegian Industry is a 4 year competence development project aimed at strengthening competitiveness in the Norwegian industry. The project is partly funded by partner companies and partly by the Norwegian Research Council (21,5 million NOK in total). Grounded firmly in the concept of sustainability, SISVI aims to provide Norwegian industrial firms with four crucial building blocks they can use when developing their own unique competitive strategy. These are (1) internationalization, (2) innovation, (3) interactions in networks and (4) integration and implementation. Environmental and green aspects as drivers for innovation and supply chain collaboration are emphasized. The purpose is to develop knowledge that strengthens the industry s long term competitive capabilities in a way consistent with the Porter and Kramer s (2001) concept of Shared Value Creation. This means that value is created in a manner that meets both financial and societal needs where the latter typically encompasses environmental and social aspects. One of the work-packages in the project deals specifically with interactions in networks and supply chains, and how suppliers, customers and other actors in the network can collaborate more effectively to achieve sustainable growth. We offer projects that enable students to take part in the research done in SISVI. The themes and scope of the assignments will be developed through dialogue between the student(s), supervisors and industry partners in SISVI. Examples of possible topics are the following: 1. How can companies increase the use of sustainable materials in their products? What does this mean for the purchasing process, and what does this require from both suppliers and the companies? And can early supplier involvement or circular economy business models create shared value? 2. Sustainable sourcing of multi-material products: how to map the environmental footprint of the product s supply chain. 3. How to create shared value through supplier/buyer integration? 4. What are the possibilities for innovative business strategies and synergies between suppliers in the same local clusters and suppliers in the same network? Can they create shared solutions on material take-back, circular economy, waste handling and so on? 5. How can supplier development contribute to the strategies above? 6. How can Life Cycle Assessment (LCA) be used as a decision support tool in supply chain management strategies as given above? Practical The assignments can be undertaken in groups or alone. The themes and scope of the assignments will be developed through dialogue between the student(s), supervisors and industry partners in SISVI, depending on the student(s) main profile. The project can cover travel expenses. This project can accommodate up to 4 groups. Supervisors Luitzen de Boer Michael Myrvold Jenssen Elsebeth Holmen 4
5 GLOMAN03: Retail Supply Chain Management Retail supply chains constitute a significant part of the Norwegian economy, accounting for approx. 10 % of the total onshore gross national product and involving more than employees. They produce, distribute and deliver essential goods and associated services to the consumer market, as well as to professional actors in industry and the public sector. Operating these supply chains in Norway is particularly challenging due to the topography and the widely scattered population. Over the past decades, actors in retail supply chains have fundamentally restructured and industrialised their operations. Investments in systems and infrastructure, technology and competence have enabled companies to become highly competitive through effective and efficient production and logistics systems. The main strategy has been to restructure production facilities, warehouses, distribution centres and shops into high volume, centralised systems based on principles of scale economics and low unit cost. New technology and developments in ICT have enabled systems for handling, storing, moving and selling large volumes of goods efficiently. Currently, we are seeing a major change in the competitive environment of the sector. Customers are demanding customisation of services and products. Alternative sales channels like online shopping are gaining popularity, often combined with home delivery and services accompanying the physical product. A growing variation in customer segments can be observed, as well as increased demand variation caused by the actors themselves through bonus and discount mechanisms such as loyalty cards and 3-for-2 offerings. These developments will have large implications for logistics in the retail supply chain and a major question is how logistics should be performed, managed, planned and controlled. Within the Retail Supply Chain 2020 project (RSC2020) several topics is relevant for project and master thesis. The RSC2020 is a 4 year research project finance by Norwegian research council, Coop Norge Handel, Tine, Sunndals potet, Fosen Transport, SINTEF and NTNU. Relevant topics for student projects are: What causes waste in the grocery retail supply chain, and how can waste be reduced? How can information sharing in the supply chain, e.g. between a supplier and the wholesaler, increase the performance of the retail supply chain? How and why can supplier integration in the retail supply chain increase performance? Planning models for sustainable retail supply chains? The impact of emerging technologies and online grocery shopping trends For further information about the assignment, please contact the teacher. The assignment can be adjusted accorded to the students interest and specialization. Practical Several student projects can be formulated in the RSC2020 project, and teams of two students can work together within a defined topic. The assignment will be connected to a company and travel expenses will be paid by the project. The assignment can be combined with a research assistance position. The assignment is well suited for extension to a master project. Supervisor: Heidi Dreyer 5
6 GLOMAN04: Innovative and flexible food processing in Norway (iprocess) iprocess is a research project aiming to develop innovative processing of raw materials, products, processes/methods, and services and increased, sustainable, resource efficient and more profitable food and bio-based production. The project is in collaboration with Nortura, Bama, Tine, Norway Seafood, Norilia, Produsentpakkeriet, SINTEF Fisheries and a consortium of international research partners. Globally, 1.3 billion tons of food is wasted every year. Within EU, the food and drink value chain alone causes 17% of direct greenhouse gas emissions and utilizes 28% of material resources within EU. In Norway the estimated annual food loss and waste for all processing industry is tons. Therefore, the government has urged for a closer collaboration of different food sectors to facilitate a sustainable value chain and solve the complex challenges regarding food loss/waste. It is essential to enable for an optimal use and processing of the existing raw materials to minimize food loss (edible) and waste (inedible). Too much raw material is lost in the current processing stages in the food industry due to the inflexibility of the existing technology to adapt to the variations of each individual fish, chicken, meat carcass, fruit/vegetable, or dairy product that is being processed. The project assignment will be connected to WP4 Information management which is one of seven WP s. The aim of WP4 is to develop information flow management strategies to maximize the resource efficiency of the Norwegian food processing industry. The work is split in four topics; (1) process mapping and data identification, (2) data capturing technologies, (3) information management and exchange strategies and (4) impact on production and supply chain planning, and the project assignment will particularly focus on problems/topics related to number 3 and 4. Relevant topics for the assignment is related to: Strategies, frameworks and models to decide what, when and how to exchange information and management principles between the raw material supplier and processor, in order to improve resource utilization, supply chain performance (production and logistics), and meeting the market requirements. Supply chain planning models for balancing demand and supply Models and measures for impact assessment of the information management solutions on the production planning and control strategies for the food processor. Considering how emerging technologies can be exploited For further information about the assignment, please contact the teacher. The assignment can be adjusted accorded to the students interest and specialization. Practical Several student projects can be formulated in the RSC2020 project, and teams of two students can work together within a defined topic. The assignment will be connected to a company and travel expenses will be paid by the project. The assignment can be combined with a research assistance position. The assignment is well suited for extension to a master project. Supervisor: Heidi Dreyer 6
7 GLOMAN05: Supply chain strategies in small volume supply chains Low volume supply chains, like crafted beer, need to apply other strategies, structures, planning and control models and collaborations than bigger and more industrialized suppliers of food products. Small suppliers do not benefit from high volumes, regular demand and delivery frequencies and consolidation principles in order to achieve economies of scale and high capacity utilization. Naturally, the established logistics models for industrialized supply chains are not well suited to the characteristics of small suppliers. The competitive advantages of the low volume suppliers are more the perceived added value of their products in the market, produced with craftsmanship, ordered in small quantities and delivered in onof-a-kind batches. There is a need for strategies and models for the logistics of small suppliers and the key question is how can small suppliers meet the requirements of different markets with efficient and sustainable solutions and strategies given the particular characteristics of the sector. The problem formulated for the assignment is which supply chain strategies and planning models can meet the customer requirements in different market segments, and secure a sustainable performance. The assignment will be done in collaboration with a supplier/producer of crafted beer in Trondheim. Supervisor: Heidi Dreyer 7
8 GLOMAN06: Lean Production and Lean Supply Chains In recent years, there has been an enormous focus on lean production. Many companies try to implement lean production systems and practices. However, the majority of the efforts focus on operations, within the production department. Some firms, however, have started to bring lean management and practices beyond production, diffusing it into other departments in the company, as well as into the wider supply chain. In this project, we seek to understand how companies can bring about lean supply chains. We shall look into both how companies develop internal capabilities for managing a lean supply chain, as well as practices aimed at developing the capabilities of suppliers in the supply chain. Furthermore, consulting firms may assist companies in developing lean management internally in the company as well as in the company s supply chains. Thereby, consulting companies may develop expertise in the implementation of measures aimed at suppliers in supply chains. This assignment is part of the research project "Lean Management" that the department conducts in collaboration with several companies including Kongsberg Maritime, Benteler, and Sintef Raufoss Manufacturing. The project will focus on development of lean management in supply chains, and may address one or more of the following more specific themes: - Developing supplier relationships with a focus on improving the interaction between the company and suppliers - Supplier development, focusing on developing the suppliers' competencies in lean management and improving their performance in quality, delivery precision and cost reduction - Early involvement of suppliers in product development, to reduce production costs and create better, more innovative products - Development of companies' internal competencies to develop supply chains that operate according to lean management The actual definition of the assignment emerges in the interplay between the student(s), the supervisors. The assignment can be adjusted to the students' specific interests. The project is open for two groups of two students. Company contact: The assignment is related to several ongoing research projects related to companies in the industrial areas of Raufoss and Kongsberg, and to initiatives by Sintef and NCE Systems Engineering concerning supplier development. Supervisors: Elsebeth Holmen (holmen@iot.ntnu.no) and Ann-Charlott Pedersen (pedersen@iot.ntnu.no) 8
9 GLOMAN07: Developing the purchasing function in Veidekke Contractor The assignment concerns purchasing management with particular attention paid to a company develops and professionalises the purchasing function. The assignment is carried out in collaboration with Veidekke Contractor (district Trondheim) who is in the process of developing its purchasing function. There are several possible themes which can be addressed in the assignment, among others: How to organize the purchasing function in a project-based company? Should purchasers specialise in different categories of purchases across several building projects, or should purchasers specialize in single building projects and cover purchases across different categories of purchases? How to develop and follow up co-operation contracts with key suppliers and subcontractors? How do key technical subcontractors view Veidekke Contractor as a customer? In the view of a subcontractor, what makes a contractor an attractive customer? How can a contractor make a system for auditing and following up suppliers and sub-contractors to ensure that they comply with all Norwegian requirements and regulations in order to prevent rogue players in the industry? The actual definition of the assignment emerges in the interplay between the student(s), the supervisors, and Veidekke Contrqacator. The tasks can be continued as a master thesis. Company contact: Veidekke Entreprenør AS, Distrikt Trondheim Supervisors: Elsebeth Holmen (holmen@iot.ntnu.no) and Ann-Charlott Pedersen (pedersen@iot.ntnu.no) 9
10 4. Description of the course IØ3091 The course is a further specialization within relevant subjects of Purchasing Management and builds on subjects presented in the obligatory courses for this specialization in the 1st year of the programme. The course is organised as a series of seminars. The choice of subjects for the seminars may vary from one year to another, and is linked to the projects chosen in IØ3092 Strategic Purchasing Management, Specialization Project. Included is also a seminar series on research methods, tailored to what is relevant for the students in their projects and master thesis work. The course is organised as a series of seminars. The student needs to participate in a minimum number of methodology and research seminars, but attendance to all is expected. Changes in the dates for the seminars may occur during the semester and all available teaching slots for the course may be used. The course is a compulsory specialization course in the second year of the Global Manufacturing Management master program. The course builds on the course TIØ4175 Purchasing- and Logistics Management. The course will provide knowledge about the following: general knowledge about purchasing management (including supplier management), selected issues of logistics management, with a special emphasis on strategic challenges in global supply chains. The course will also provide general knowledge about the importance of research for management practice, different research methods as well as research methodology. Specific and detailed knowledge will be provided about a limited number of themes within the fields of purchasing management (including supplier management and logistics management). Preferably, one or more of these themes is of direct importance for the specialization project chosen by the student. Typical examples of such themes are the strategic importance of purchasing and supply management, involving and developing suppliers, purchasing and supplier strategies and purchasing and supply management in a global context. The course will provide competences in: relating research results published in scientific journals to the specialization project, discussing and positioning articles published in scientific journals in relation to their theoretical background, research method and relevance for the specialization project. Other important learning outcomes: the students will learn to present and discuss theoretical concepts within purchasing management. The exam consists of writing a semester paper, which counts 100%. 10
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