How supply chain appears?
Supply chain management emerged because of two main things:
First, conventional logistics management approaches that are adversarial in today's world are no longer applicable since they cannot provide competitive benefits. Presenting items in a wide sense is both a difficulty and an opportunity for the company's operational production system. Starting with assessing customer tastes and obtaining all input requirements from suppliers in order to develop and market the product in accordance with the target consumer's preferences.
Second, the corporate environment is changing at a rapid pace, accompanied by increased competition. Beginning with increasingly critical customers, evolving technology, globalization, and shifts in the economic landscape. These are the variables that impact changes in the business environment.
What is supply chain management?
The supply chain is a network of organizations that collaborate to develop and distribute a product to the final customer. There are suppliers, factories, distributors, stores, and retailers, as well as supporting businesses like logistics services.
Supply chain management is used to regulate and manage the supply chain, which is comprised of four components:
- Supplier: raw material supplies
- Produsen: produce products
- Distribution Centre: shops and product ships
- User: receive the product
How It works?
If Supply Chain is a physical network, it consists of enterprises that supply raw materials, manufacture items, and ship them to customers. Suppy Chain management refers to a technique, tool, or management strategy. Supply Chain Management stresses an integrated pattern of product movement from suppliers, producers, and retailers to the end customer. In the Supply Chain Management idea, we seek to demonstrate that the series of operations between the supplier and the ultimate consumer are a single entity.
