tiffany_ring_home_page.jpgBlingin' Babes

Tiffany & Co. and Supply Chain Management
by Holly Benton, Dana Cano, Carrie Harmon and Veronica Veal
Turn up your volume*



The diamond supply chain is an intricate supply chain that spans multiple countries and involves individuals from all walks of life. Through the lens of the diamond supply chain we will delve into the larger concepts of supply chain management. In the end, I think you will find that like Petra Rivoli’s T-Shirt, a diamond makes a tireless journey before it arrives at a Tiffany retail store. The evolution of the SCM has moved from disparate functions of logistics, transportation, purchasing and supplies and physical distribution to focus on integration, visibility, cycle time reduction and streamlined channels.

diamond_abstract.jpg
Cushion Cut Ring $1,825.00
Diamond Fun Facts


The word "diamond" comes from the Greek word "adamas" which means unconquerable. It is made up of pure carbon and is the hardest natural substance known to man.
10,000,000 million people are directly or indirectly supported by the diamond industry.




10 Things about Supply Chain Managment

Abstract




1. The Green Diamond - environmental issues in the supply chain


The Exploitation of Natural Resources: what it means to provide "green diamonds", how these diamonds reach the end consumer and what it means to ensure that the international standards for quality management and assurance set by ISO 14000 are met. The standards were established behind the idea that "defects can be prevented through the planning and application of best practices at every stages of business - from design through manufacturing and then installation and servicing". The ISO 14000 environmental standards have a three-pronged approach: definition of 350 internation standards for monitoring quality of air, water, and soil, stategic approach for requirments of an environmental management system, and the inclusion of enviroment aspects in product design and encourages the development of profitable environment-friendly products and services. (Jacobs, Chase, Aquilano Operations & Supply Management, pg. 320 12th ed)


2. The Global Value Chain


//Global Value Chain// is a current issue that organizations and management must deal with. They must find ways to optimize all aspects of the value chain and decide where centralization or automonous control is necessary. Managers must collect information for aspects such as global sourcing, manufacturing and the global economy. (Jacobs, Chase, Aquilano Operations & Supply Management, pg. 18, 373-374 12th ed)

3. Political and Social issues within the supply chain management


The section concerning the impact of social and political factors on the supply chain pertains to the external factors that affect the chain as well as how those factors affect the management of the supply chain.

4. International Trade Patterns and the Global Supply Chain


International Trade Patterns is the journey of the mining of the diamond to the retail store. To keep the cost of the diamond competitive, that journey must be as efficient and orgainzed as possible. The term supply chain comes from a picture of how organizations are linked together, as viewed from a particular company. The main theory behind supply chain management is to manage the information, materials and services from raw materials, suppliers through factories and warehouses to the end consumer. From our Week 5 discussion, International Trade depends on who is involved and the benefits, if any, for countries involved. This section explains where the raw matierals originate and who are the suppliers for the diamonds. (Jacobs, Chase, Aquilano Operations & Supply Management, pg. 18, 358 12th ed)

5. The Importance of location to successful logistics operations


Location is part of the logistics and facility location decision making process of supply chain management. Locations for diamond facilities is driven by the location of the raw materials. Some of the several issues that need to be considered when designing the location and logisitics of facilities are: proximity to customers, business climate, total costs, infrastructure, quality of labor, suppliers, other facilities, free trade zones, political risk, government barriers, trading blocs, environmental regulation, host community and competitive advantage.(Jacobs, Chase, Aquilano Operations & Supply Management, pg. 18, 387-389 12th ed)

6. Market Power


Market Power and Influence consists of competitive advantage and how companies manage and control that advantage. Michael Porter states competitive advantage is acheived when a company has a set strategy, the core product and process technology are created, and a location where the critical mass production takes place .(Jacobs, Chase, Aquilano Operations & Supply Management, pg. 18, 389 12th ed)


7. Using Inventory for Competitive Advantage through Supply Chain Management


Competitive advantage can be garnered through the effective use of inventory management. The diamond supply chain is a prime example of the way in which a firm can capitalize on inventory opportunities to manage their supply chain as a single entity. The planning and control of raw materials should be leveraged throughout the supply pipeline from production to end-users.( Jones, Thomas and Daniel W. Riley, Internation Journal of Physical Distribution and Logistics Management, Using Inventory for Competitive Advantage through Supply Chain Management, 1987, 17 Vol Issue 2 94-97)


8. Production and Product Flow


Production of any end product follows a process. A process is defined as a set of tasks, a flow of material and information that connects the set of tasks, and storage of material and information. Each task of the process moves raw material toward the ultimate goal of the end product. The flow refers to not only the flow of product but the flow of information. .(Jacobs, Chase, Aquilano Operations & Supply Management, pg. 18, 211 12th ed)


9. Supply Chain Integrity - the impact of smuggling and counterfeiting


Smuggling and Counterfeiting Counterfeit goods pose a major threat to any supply chain especially supply chains that rely on branding and marketing to create consumer value. Protecting the integrity of the supply chain and the final product has become a major task for supply chain managers.

10. Tiffany & Co. Supply Chain



And finally, Tiffany & Co.'s supply chain. Detailed description of supply chain and specific information about the company's supply chain and how they manage it.



tiffancy_background.jpgTable of Content








We hope you learn alot from our lesson......So click on any of the topics in the Table of Contents and get started!!








Diamonds Are Forever - Shirley Bassey.