Supply Chains

3308 words 14 pages
Question #2-Define the supply chains for the following products from the first source of raw materials to the first customer. A) Big Mac, B) Gasoline, C) Automobile repair, D) A Text book.

Supply chain, its management, performance measures and improvement approaches. As an extension of the systems point of view, the system dynamics inherent in the supply chain are illustrated and the coordination in the supply chain is emphasized. Five areas where measurement of supply chain performance should be made are discussed. The five areas are on-time delivery, quality, time (business cycle) total delivered cost and flexibility.
The first step in devising an effective supply chain is to consider the nature of demand for the product. For this
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Production: Drilling, reservoir, production and facilities engineering. Refining: is a complex operation and its output is the input to marketing. Marketing: is the retail sale of gasoline, engine oil and other refined products.
Oil drilling-Before petroleum can be used, it is sent to a refinery where it is physically, thermally and chemically separated into fractions and then converted into finished products. About 90% of these products are fuels such as gasoline, aviation fuels, distillate and residual oil, liquefied petroleum gas (LPG), coke (not the refreshment) and kerosene. Refineries also produce non-fuel products, including petrochemicals, asphalt, road oil, lubricants, solvents and wax. Petrochemicals (ethylene, propylene, benzene and others) are shipped to chemical plants, where they are used to manufacture chemicals and plastics. There are two major sectors within the oil industry, upstream and downstream. For the purposes of this tutorial we will focus on upstream, which is the process of extracting the oil and refining it. Downstream is the commercial side of the business, such as gas stations or the delivery of oil for heat.
Oil Drilling and Services- Oil drilling and services are broken into two major areas: drilling and oilfield services.
Drilling - Drilling companies physically drill and pump oil out of the ground. The drilling industry has always been classified as highly skilled. The people with the skills and


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