The Role of Decoupling Points in Value Chain Management
نویسنده
چکیده
All supply chains are not the same. A key factor that affects the design and management of a value chain is the position of the customer order decoupling point; some products are produced to order (e.g. configured to particular customer needs) while others are produced to stock (typically standard products). The customer order decoupling point (CODP) identifies the point in the material flow where the product is linked to a specific customer. This paper discusses the impact of having the decoupling point at different positions, and the distinguishing features for value chain operations upstream the decoupling point (i.e. towards the supplier) versus those downstream the decoupling point (i.e. towards the ultimate customer). Based on these differences, we explore the implication of the CODP on the modelling of value.
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