Term Paper - Supply Chain Management

Only available on StudyMode
  • Download(s) : 169
  • Published : October 30, 2011
Open Document
Text Preview
Supply Chain Management and Business Approach: An Overview

Cynthia Joseph

August 15, 2010

Table of Contents

Introduction………………………………………………………………………………….6

The Role of SCM…………………………………………………………………………….6

SCM Business Value Framework……………………………………………………………8

Developing Supply Chain Strategy…………………………………………………..9

Managing the Uncertainty………………………………………………………….10

Technology’s Role in SCM………………………………………………………………...11

Why Implement Supply Chain Management………………………………………..11

Integration of Supply Chain: E-Business……………………………………………..........12

Challenges and Emerging Issues…………………………………………………...13

Benefits……………………………………………………………………………..14

Financial Impact……………………………………………………………………15

Conclusion………………………………………………………………………………….16

References……………………………………………………………………………17

List of Tables

Table 1 Functional Versus Innovative Products: Differences in Demand……………………9

Table 2 Supply Chain Integration Dimensions………………………………………………14

List of Figures

Figure 1 Process of Top-Level Activities and End-to-End…………………………………8

Figure 2 2009 Gartner/SCDigest Supply Chain Study…………………………………….12

Figure 3 Arrangement for e-business relations between buyers and sellers………………..13

Figure 4 The AMR Supply Chain Top 25 2010……………………………………………16

Abstract

Supply Chain Management (SCM) is an important tool for creating a competitive business advantage, while enabling businesses to build relationships with its customers and suppliers. The purpose of this paper is to look into SCM, its importance and role, the business strategy that looks to line up supply with demand and managing the uncertainty within the SCM. The role technology plays and the integration of supply chain: e-business, the challenges, and benefits and the financial impact.

Introduction

Supply Chain Management (SCM) has emerged as one of the most important business tools available in today’s market. As many organizations are facing the pressure to reduce costs and improve efficiency (Klappich, 2010), industries such as suppliers, manufacturers, retailers and e-business and a lot more businesses have come to realize that in order to be competitive and have an edge over its competitors would mean transforming their operations and be more innovative in producing and marketing their products while maintaining customer satisfaction.

The Role of Supply Chain Management (SCM)

Fundamentally, the purpose of SCM is to assist companies get the proper products to the appropriate location at the correct time, in good quantity and at a suitable cost (O’Brien & Marakas, 2008, p305). As a business strategy, SCM look for ways to align supply with demand (White, 2009). Efficiently, SCM goal is to manage this process by forecasting demand; controlling inventory; enhancing the network of business relationships as well as receiving feedbacks on the status of each link in the supply chain (O’Brien & Marakas, 2008, p.305). Creating a driven supply chain network that allow “network partners to enhance profitability and establishing a proactive, evolving, continually improving model that can be applied in many markets (Poirier, 1999, p.53).

With the global market climate changing every day, businesses need to focus on the processes that will assist them yield growth. The processes outlined below (Wailgum, 2008) are very crucial for supply chain strategic planning.

Components of SCM:

Strategic Plan– In this section, businesses are able to construct a strategic plan in managing all the resources that go into meeting the customer’s demand for quality product and services. In other for the SCM planning stage to be effective, a set of metrics need to be developed that will allow for monitoring of the supply chain that will lead to efficiency, delivery of high product quality and customer values.

Source- This section allows businesses to find...
tracking img