At the most fundamental level, supply chain management (SCM) is management of the flow of goods, data, and finances related to a product or service , from the procurement of raw materials to the delivery of the product at its final destination.
What is meant by supply chain management PDF?
Supply Chain Management can be defined as the management of flow of products and services , which begins from the origin of products and ends at the product’s consumption. It also comprises movement and storage of raw materials that are involved in work in progress, inventory and fully furnished goods.
What is supply chain management?
At the most fundamental level, supply chain management (SCM) is management of the flow of goods, data, and finances related to a product or service , from the procurement of raw materials to the delivery of the product at its final destination.
What is supply chain management in simple words?
Supply chain management is the management of the flow of goods and services and includes all processes that transform raw materials into final products. It involves the active streamlining of a business’s supply-side activities to maximize customer value and gain a competitive advantage in the marketplace.
What is supply chain management and its types?
In simplest terms, supply chain management is all about managing the supply chain- a network of organizations and the business processes for acquiring the raw materials , transforming them into finished goods, and distributing the products to the customers.
What are the four 4 stages of supply chains?
There are four customary stages in a product’s life cycle: the introductory phase, the growth phase, the maturity phase and the decline phase . Each phase is markedly different and often requires different value chains. Supply managers need to craft supply strategies that reflect the unique needs of each phase.
What are the 5 basic components of supply chain management?
The Top-level of this model has five different processes which are also known as components of Supply Chain Management – Plan, Source, Make, Deliver and Return .
What are the types of supply chain?
- The “Efficient” Supply Chain Model. ...
- The “Fast” Supply Chain Model. ...
- The “Continuous-Flow” Supply Chain Model. ...
- The “Agile” Supply Chain Model. ...
- The “Custom-Configured” Supply Chain Model. ...
- The “Flexible” Supply Chain Model.
What are the components of supply chain?
- Planning. This is one of the most important stages. ...
- Information. The world today is dominated by a continuous flow of information. ...
- Source. Suppliers play a very crucial role in supply chain management systems. ...
- Inventory. ...
- Production. ...
- Location. ...
- Transportation. ...
- Return of goods.
What are the benefits of supply chain management?
- Better collaboration. ...
- Improved quality control. ...
- Higher efficiency rate. ...
- Keeping up with demand. ...
- Shipping optimization. ...
- Reduced overhead costs. ...
- Improved risk mitigation. ...
- Improved cash flow.
What are the stages of supply chain?
- Stage 1: Supply Management. The most basic stage, built around an internal MRP system that is lead-time driven. ...
- Stage 2: Supply Chain Management. ...
- Stage 3: Supply Chain Integration. ...
- Stage 4: Demand-Supply Network Collaboration.
What is supply chain with example?
A supply chain is comprised of all the businesses and individual contributors involved in creating a product, from raw materials to finished merchandise. ... Examples of supply chain activities include farming, refining, design, manufacturing, packaging, and transportation .
What are the basics of supply chain management?
Supply management is made up of five areas: supply planning, production planning, inventory planning, capacity planning, and distribution planning . Supply planning determines how best to fulfill the requirements created from the demand plan.
What are the two major types of supply chains?
| Reactive Supply Chain Strategy Data-Driven Supply Chain Strategy | Operational improvements based on guesswork or imitating competitors A data-driven approach helps even best-in-class manufacturing operations find new ways to improve efficiency[iii] |
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What are the three types of supply chain?
Three types of Supply Chain Analytics: Descriptive, Predictive, Prescriptive .
What are the 6 types of supply chain management?
- The continuous flow models.
- The fast chain models.
- The efficient chain models.
- The custom configured model.
- The agile model.
- The flexible model.
