Preview

Ism Notes

Powerful Essays
Open Document
Open Document
5896 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Ism Notes
Supply Chain Management?
A SUPPLY CHAIN is a network of supplier, manufacturing, assembly, distribution, and logistics facilities that perform the functions of procurement of materials, transformation of these materials into intermediate and finished products, and the distribution of these products to customers. Supply chains arise in both manufacturing and service organizations. SUPPLY CHAIN MANAGEMENT (SCM) is a systems approach to managing the entire flow of information, materials, and services from raw materials suppliers through factories and warehouses to the end customer. SCM is different from SUPPLY MANAGEMENT which emphasizes only the buyer-supplier relationship.
Supply chain management has emerged as the new key to productivity and competitiveness of manufacturing and service enterprises. The importance of this area is shown by a significant spurt in research in the last five years and also proliferation of supply chain solutions and supply chain companies . All major ERP companies are now offering supply chain solutions as a major extended feature of their ERP packages.
Supply chain management is a major application area for Internet Technologies and Electronic Commerce (ITEC). In fact, advances in ITEC have contributed to growing importance of supply chain management and SCM in turn has contributed to many advances in ITEC. ➢ Two Faces of Supply Chain Management
SCM has two major faces to it. The first can be called loosely as the back-end and comprises the physical building blocks such as the supply facilities, production facilities, warehouses, distributors, retailers, and logistics facilities. The back-end essentially involves production, assembly, and physical movement. Major decisions here include: 1. Procurement (supplier selection, optimal procurement policies, etc.) 2. Manufacturing (plant location, product line selection, capacity planning, production scheduling, etc.) 3. Distribution (warehouse location, customer allocation,

You May Also Find These Documents Helpful

  • Good Essays

    Supply Chain Management

    • 3521 Words
    • 15 Pages

    In the past, companies focused primarily on manufacturing and quality improvements within their four walls; now their efforts extend beyond those walls to influence the entire supply chain including customers, customers’ customers, suppliers, and suppliers’ suppliers. Today’s supply chain is a complex web of suppliers, assemblers, logistic firms, sales/marketing channels, and other business partners linked primarily through information networks and contractual relationships. SCM systems enhance and manage the relationships.…

    • 3521 Words
    • 15 Pages
    Good Essays
  • Satisfactory Essays

    Defining Supply Chain Management Supply chain management (SCM) is the combination of art and science that goes into improving the way your company finds the raw components it needs to make a product or service and deliver it to customers.…

    • 358 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Supply Chain Management (SCM): Supply chain management is the active management of supply chain activities to maximise customer value and achieve a sustainable competitive advantage. It represents a conscious effort by the supply chain firms to develop and run supply chains in the most effective & efficient ways possible. Supply chain activities cover everything from product development, sourcing, production, and logistics, as well as the information systems needed to coordinate these activities.…

    • 954 Words
    • 4 Pages
    Good Essays
  • Better Essays

    Supply chain management, or SCM, is concerned with managing the inputs of goods or services for final users from acquiring the raw materials through the end of the product’s useful life. The inputs of goods or services include a wide variety of activities not only in a single department in a company but also from different departments and outside the company; they are cross-functional activities that contain increasingly complex networks supply chains in the business environment.…

    • 1132 Words
    • 5 Pages
    Better Essays
  • Powerful Essays

    Operations Management

    • 2215 Words
    • 9 Pages

    SCM has evolved over the years and has moulded to suit the ever changing economy. First adopted by the Japanese, in the form of Geba Kai (A meeting of the minds), the now commonly found process is used by a vast amount of companies in the UK. Nowadays, SCM within a business is responsible for a product from when it’s in its raw state to when it’s a finished product, ready for consumption by customers.…

    • 2215 Words
    • 9 Pages
    Powerful Essays
  • Good Essays

    Supply Chain Management (SCM) encompasses all of the business processes involved in sourcing, making, and delivering goods. It also requires having an accurate and real-time view of supply and demand. Simply stated, SCM is a broad topic that is gaining importance in today's highly-fragmented, global, and dynamic business environment.…

    • 5219 Words
    • 24 Pages
    Good Essays
  • Better Essays

    The term supply chain management was named by Keith Oliver in 1992, economists called this the creation era. In the so-called integration era, SCM got developed along with Electronic Data Interchange (EDI) and Enterprise Resource Planning (ERP) systems with the internet-based collaborative systems. SCM is starting to get widely used in the globalization era in the late 1980s. In the 1990s companies began to outsource manufacturing and distribution. This new step created need for manufacturing and distribution networks with many supply chains. (Haag, Cummings, McCubbrey, Pinsonneault, Donovan 2006)…

    • 928 Words
    • 4 Pages
    Better Essays
  • Best Essays

    Supply Chain Management includes all the activities that must take place to get the right product into the right consumer’s hands in the right quantity and at the right time – from raw materials extraction to consumer purchase. SCM focuses on planning and forecasting, purchasing, product assembly, moving, storage, distribution, sales and customer service (Texas A&M University, 2013). Global Supply Chain Management involves a business or a company’s worldwide interests and suppliers rather than simply a…

    • 2829 Words
    • 81 Pages
    Best Essays
  • Best Essays

    * A company’s competitive position and profitability can be improved through the use of Supply Chain Management System (SCMS) which if successfully implemented will lead to exemplary customer service. (Oz, 2009)…

    • 4332 Words
    • 18 Pages
    Best Essays
  • Satisfactory Essays

    Definition: The network of retailers, distributors, transporters, storage facilities and suppliers that participate in the sale, delivery and production of a particular product. In the simplest terms, Supply Chain Management (SCM) lets an organization get the right goods and services to the place they're needed at the right time, in the proper quantity and at an acceptable cost. Efficiently managing this process involves overseeing relationships with suppliers and customers, controlling inventory, forecasting demand and getting constant feedback on what's happening at every link in the chain.…

    • 677 Words
    • 3 Pages
    Satisfactory Essays
  • Powerful Essays

    Supply Chain Management requires traditionally separate materials functions to report to an executive responsible for coordinating the entire materials Process, and also requires joint relationships with suppliers across multiple tiers. SCM is a concept, “whose primary objective is to integrate and manage the sourcing, flow, and control of materials using a total systems perspective across multiple functions and multiple tiers of suppliers.”…

    • 1523 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    ; L'; ''

    • 5252 Words
    • 22 Pages

    The reason for many firms that are opting for supply chain management (SCM) as a top strategic objective and major e-business application development initiative is because SCM enables order processing, just-in-time inventory management, and timely order fulfillment. Fundamentally, supply chain management helps any firm get the right products to the right place at the right time, in the…

    • 5252 Words
    • 22 Pages
    Powerful Essays
  • Powerful Essays

    Supply Chain Management

    • 1098 Words
    • 5 Pages

    Supply chain management (SCM) The coordination of all supply activities of an organization from its suppliers and partners to its customers.…

    • 1098 Words
    • 5 Pages
    Powerful Essays
  • Powerful Essays

    SCM is seen as involving five fundamental processes. These include planning, sourcing, making, delivering, and returning. Typical supply chain showing interrelations between all involved parties. [Source: Auto-ID: Managing Anything, Anywhere, Anytime in the Supply Chain, Bose and Pal, ACM August 2005] SCM subsists in both service and manufacturing environments.…

    • 4990 Words
    • 20 Pages
    Powerful Essays
  • Powerful Essays

    Aarong supply chain

    • 3065 Words
    • 19 Pages

    In today’s competitive world of Business competitive advantage can be gain by proper information system and developing that information system. Aarong information system is a sign of the modern business organization of Bangladesh. Supply chain management is the streamlining of a business ' supply-side activities to maximize customer value and to gain a competitive advantage in the marketplace. Supply chain management (SCM) represents an effort by suppliers to develop and implement supply chains that are as efficient and economical as possible. Supply chains cover everything from production, to product development, to the information systems needed to direct these undertakings.…

    • 3065 Words
    • 19 Pages
    Powerful Essays