Supply chain management is managing the supply of services and goods
in an organisation. It begins at the origination of products and ends at the
consumption of the products. It also includes storage and movement of goods
(raw materials) while they are involved in the inventor, progress, and fully
finished goods. To connect and monitor the production, shipment and
distribution of services or products is the main objective of Supply chain
management. SCM can be a complicated topic to understand due to its vastness,
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The goods are first passed from the supplier to the manufacturer, who
then forwards the goods to the distributor for the shipment. The goods are then
shipped wither to the retailer or wholesaler. The end leg of the process is the
distribution of the goods to various shops, where customer can buy the
products.
Supply chain management plays an essential role in this era of
globalisation, where customers want the best quality products and companies
compete with each other to provide the best products and services. Supply chain
management aims at the following goals for increasing the effectivity of the
company: -
·
Minimizing transportation costs.
·
Achieving accuracy in transporting goods right in
time to the exact place.
·
Coordinating productivity and business
functionalities.
·
Developing better services and customer
relation.
·
Enhancing management of inventory.
·
Minimizing the waste produced in the company,
increasing efficiency all through the supply chain process.
·
Helping companies adapt to the challenges posed
by globalisation.
·
Maximising the productivity of resources.
There are various stages involved in supply chain management. The
beginning process is the planning stage. To satisfy the demands of the
customers through the services or the products, development of plan/strategy is
the essential part. Fetching maximum profits should be the goal of the policy
formed during planning. A strategy is also required for managing the resources
needed for services to be provided and the product designing. Visit assignment
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The next step after planning is the step which involves sourcing.
Emphasis is laid on building a strong relationship with the raw material
suppliers. Dependable suppliers are associated, and shipping, payment of the
product, and delivery are planned in advance.
After sourcing, manufacturing of the product comes into place. During this
stage, the products are designed, built, tested, packed, and lined up for
delivery.
The fourth stage in this process is delivering the good to the
consumers. This stage is often referred to as logistics, where companies have
established a network of carriers, warehouses.
The last leg of the process is the process where the defective and
damaged products are returned to the supplier. The supplying companies respond
to consumer complaints and queries in this process. Visit Assignment help for
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