Reference no: EM131042587
Supply chain management is a series of process that go on improving the way a company funds the raw comments it needs to make a product or service and delivers it to customers the goal are to lesson the time to market reduce the cost to distribute and supply the right products at the right time : the concept of supply chain management is based on two core ideas the first that practically every product that reaches an end user represents the cumulative effort for the multiple organizations these organizations these organizations are referred to collective as same as the supply chain
The second idea is that while supply chain have existed for long time most organizations have only paid attention to what was happening within their organizations few business under good much less managed the entire chain of activities that ultimately delivered products to the final customers the result was dis joined and often ineffective supply chain
Supply chain management then is the active management supply chain activities to the maximize customer value and achieve sustainable completive advantage the following are the five basic components of scm
Source. Choose suppliers to deliver the goods and services ed Mme.
Manufacturing step
Deliver: Logistics of getting products to customers
Return: Net work for receiving defective and excess products from customers
Each of the five major supply chain steps is comprised of many tasks, and many have their own software. The different manufacturing systems discussed above might also use SCM. Since the wide adoption of Internet technologies, all businesses can take advantage of Web-based software and Internet communications. Instant communication between vendors and customers allows for c time updates of information, which is key in the management of the supply chain and optimizes cost and opportunities for everyone.
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