A supply chain is the system of organizations, people, activities, information, and resources involved in moving a product or service from supplier to customer. Supply chain management (SCM) actively manages the flow of goods and services from raw materials to the finished product delivered to the end customer. The objectives of SCM are to increase efficiency and flexibility, lower costs, improve customer service, and optimize value. SCM encompasses both inbound and outbound logistics and utilizes strategies like multiple or few suppliers, vertical integration, customer service, quality management, and logistics management. Key tools for SCM include make-or-buy analysis, supplier scheduling, value analysis, and supplier evaluation, while performance is measured through delivery, quality, time, and cost
2. What is Supply Chain ?
• A supply chain is a system of organization, people,
activities, information and resources involved in moving a
product or services from supplier to customer.
• Supply chain activities involve the transformation of
natural resources, raw materials, and components into a
finished product that is delivered to the end customer.
3. What is SCM ?
• SCM is active management of the flow of goods and
services. It includes the movement and storage of raw
materials, work-in process inventory, and finished goods
from the point of origin to the point of consumption.
4. Objective
• Greater efficiency, Lower costs
• Enhance flexibility, Agility
• Improve customer service
• Optimize the value chain
