Everything’s have a chain. Considering this supply chain management is the process of the flow of goods and services which controls the system. Today we are connecting with Mr. Sad Abdul Wasea, our one team of e-Learningbd.com who is presenting here regarding this issue. Please read this article in details and you can write any comments on this article.
Supply Chain Management Means discovering a powerful source of competitive advantage. Integrated activities that bring product to market and create customer satisfaction. It has been defined as the implementing, planning, forecasting, sourcing, execution, design, control, and monitoring of supply chain activities with the objective of creating net value, building a competitive infrastructure, leveraging worldwide logistics, synchronizing supply with demand and measuring performance globally.
Supply chain management is a cross-functional approach that includes managing the movement of raw materials into an organization, certain aspects of the internal processing of materials into finished goods, and the movement of finished goods out of the organization and toward the end consumer.
A definition is given by Hines (2004:p76):
“Supply chain strategies require a total systems view of the links in the chain that work together efficiently to create customer satisfaction at the end point of delivery to the consumer’’.
The purpose of supply chain management is to improve trust and collaboration among supply chain partners, thus improving inventory visibility and the velocity of inventory movement.
Main function of Supply Chain Management are as follows:
–Customer Service Management
You can consider logistics activities as the operational component of supply chain management focus.
Customer expectations define the purpose of a logistics system (we may call it Six R) – it ensures that-
The RIGHT goods
in the RIGHT quantities
in the RIGHT condition
to the RIGHT place
at the RIGHT time
for the RIGHT cost
In logistics, these rights are called the six rights.
Analyze the cross-functional features of Supply Chain and recognize how an organization can be competitive through reducing cost, improving efficiency, reducing lead time, and overall increasing its competitive advantage.
Supply Chain Management Tomorrow
The future for supply chain management looks very bright. Today major trends are benefitting supply chain management operations. These are
- Customer service focus
- Information technology
Successful organizations must be excellent in both of the areas, so the importance of supply chain management and the tools available to do the job right will continue to expand.