Define Supply Chain Management
Supply Chain Management” href=”https://edge.apus.edu/portal/site/390645/tool/86290fa3-fa54-474e-ad39-41c1858abc04/discussionForum/forumsOnly/dfForums” rel=”nofollow”>Define Supply Chain Management 313 instructions:In no less than one paragraph discuss your definition of Supply Chain Management and its role in a company’s ability to compete effectively in the market.
Instructions: Your initial post should be at least 250 words. Please post more than 2 reply responses of 100 or more words to your classmates or the instructor. Responses should be a minimum of 100 words and . Please review the attached rubric for more details on the forum requirements.
Respond 100 words to AMBROSE:
According to Wikipedia, Supply chain management is the management of the flow of goods and services, involving movement and storage of raw materials, of work-in process inventory, and of finished goods from point of origin to point of consumption. It also design, plan, execute, control and monitor activities of supply chain with the aim of creating value, building infrastructure, leveraging worldwide logistics, transferring supply with demand and measuring performance worldwide.
Speed is important because customers value fast service. Increasing speed, however, can cause costs to skyrocket, so maximizing efficiency is equally important. The most effective supply chains deliver products as fast and as cheaply as possible without sacrificing quality. Top companies accomplish this by using complicated logistics tools, such as computer algorithms that choose optimal routes for product shipping and large company databases that allow distant employees to pool order information and coordinate their efforts in real time.Supply-chain management provides a way to develop a competitive advantage without having to lower your prices. For instance, by developing a more efficient supply chain, you can deliver orders faster to customers. All else being equal, customers will choose the company that meets their needs fastest, giving you a competitive advantage in your industry.
Competition is a big deal amongst organizations in supply chain management.
Supply chain has existed for years, but companies feels that it is only a value-add to their operations. Supply chain management is important mostly to companies who thinks they must rely on the effective supply chain or network, to compete in the market. Companies like Dell and Hewlett-Packard have successfully operated jointly with supply networks whereby specialized business partners focuses on only few key strategic activities (Scott,1993).
Respond 100 words to Mark:
Supply chain management simply put is the process of procuring materials to manufacture goods to then deliver to the end-user being the consumer. I found it interesting this process did not become defined until the 1950’s or 1960’s as technology evolved. It has developed along two paths since then as we learned this week from our reading. The first path is the focus on procuring supplies from industrial suppliers. The second path is the focus on customer service and the logistics aspect as related to wholesalers and retailers.
Supply Chain management can also be broken up into four parts or main components. These parts are Supply, operations, logistics, and integration. Supply involves many aspects. Purchasing materials that are from a quality source and are themselves quality is important. Supply also involves proper timing so as to not create a shortage or overstock within the pipeline. When procuring supplies pricing is also a major factor along with safety. Finally, as environmental issues have become more prevalent in the minds of consumers and business managers how supply impacts to our planet also has become a consideration. The second component being operations focuses on the steps after supply procurement. Operational entities take the supplies and create the right amount of products for the right price that meet the quality standards sought. Once produced the logistics component takes over bringing the products the rest of the way to where the end-user will purchase them. Obviously, costs must be controlled so the products are not priced above what a consumer is willing to pay. Finally, in order to make this all work all levels of the supply chain must integrate to work cohesively. By doing so the correct amount of product will be available at the correct price and at the correct time in order to increase profits for the company.
Wisner, J. D., Tan, K., Leong, G. K. (2014). Principles of Supply Chain Management: A Balanced Approach, (4th ed). Boston, MA: Cengage Learning.