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Supply chain management is the management of a network of interconnected businesses included in the ultimate provision of service and product packages required by end customers. The supply chain management spans all movement and storage of raw materials, finished goods from point of origin to point of consumption and work-in-process inventory.

The other definition is provided by the APICS Dictionary when it describes SCM as the "planning, design, control , execution, and monitoring of supply chain activities with the objective of creating net value, leveraging worldwide logistics, building a competitive infrastructure, synchronizing supply with demand and measuring performance globally."

More accepted definitions of supply chain management are given below:

Supply chain management is the systemic or strategic coordination of the traditional business functions and the tactics across these business functions within a given company and across business process within the supply chain, for the reason of improving the long-term performance of the individual company and the supply chain as a whole.

Global supply chain forum - supply chain management is concerned as the integration of key business processes across the supply chain for the purpose or reason of creating value for stakeholders and customers.

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Introduction to Supply Chain Management

It is the management term related with product and services for the customers to do the business in the proper order. Supply chain management includes certain activities and steps to complete the process. They are planning, sourcing, procurement, conversion, logistics and management activities. It includes proper co-ordination and interaction with channel partners who are suppliers, third-party service providers, customers and retailers and many mo who can assist you anytime from anywhere. Get ready to take help from expertsmind.

Introduction to Supply Chain Management

It is the management term related with product and services for the customers to do the business in the proper order. Supply chain management includes certain activities and steps to complete the process. They are planning, sourcing, procurement, conversion, logistics and management activities. It includes proper co-ordination and interaction with channel partners who are suppliers, third-party service providers, customers and retailers and many more who are associated with the company and its products and policies.

Supply chain management has several problems:

The strategy of distribution includes the location, the time, and the number of products, delivery scheme, and the transportation costs which is too high example: parcel the products, transport load, if it is to deliver through a long route, there are chances of loss of things. If any product gets damaged, there is a cost reduction which will create a problem. ieve the main goal. It increases more number of customers in the organization to achieve more benefits and to reach the highest level of potential.

This management is very much beneficial at times of understanding the needs and demand of the customer so the organization can effectively produce them with their needs and satisfaction, increasing the trust, improving the visibility of raw materials and also the inventories, stock. It improves the supply strategy.

Supply chain should always be effective to rely on the networks, to rely on the global market or competition, supply chain management requires certain activities like orders, purchase, distribution, stocks, inventory and many more. For example: if the company take an order for the raw materials and commit to deliver that product on time, the company will have to do this properly from the time of taking an order to the time of delivery because when they talk about supply then they need to think about the order cost, purchase amount, purchase quantity, cost of transportation and many more which needs to be think properly and decide accordingly.

Supply chain management fulfills the demand and serves the customer easily. It ensures productivity; it ensures high compatibility, safety quality and cost-effectiveness. It estimates the requirement of short term, long term and medium term requirements.

It deals about the storage, distribution and controls of the inventory. It creates, enhances and promote the supply of high-quality, low cost products that flow through an accountable system. It determines the supplies which will last. It is used to collect, collate and analyze the data for decision making. It keeps the records of stock, transaction as well as consumption to further identify the reports. It develops the human capacity and strengthens the process and procedures for distribution networks to establish the best quality for the products.

Thus supply chain management is very much helpful for the organization to increase the efficiency and transparency as well as flexibility.