What is the supply chain ?

Blogger : Abdulrahman K. Qudsi

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 What is the supply chain?

A series of organizations with their facilities, functions, and activities involved in the production of a product or service that is included in the production and delivery of the product and service and begins with the succession of suppliers of raw materials for the final product.

Why are organizations rushing to adopt the supply chain management approach?
  • The need to improve operations
  • Increasing the level of external purchasing
  • Reduce transportation costs
  • Increasing competition and expanding globalization
  • The need for effective inventory management
Conditions for the Efficiency and Effectiveness of supply chain management :
  • customer satisfaction
The extent of the company's ability to ensure the availability of the product and its delivery to the. customer according to the agreed time
  • stocks
Balance and manage the produced materials and raw materials in stock to avoid capital imbalance.
  • Flexibility
Keep abreast of sudden changes in the company and be flexible in creating changes in output.

Four basic types of logistics management for the supply chain :

  • Supply management and demand planning:
Ensuring planning and receiving of the required raw materials or products on time and finding the best means of transportation and storage according to the type of materials.

  • Distribution management :
Work on determining the product's final destination, while following up and reporting the inventory.

  • production management:
Supervising product production, merging raw materials with components into the final product, and linking this to material supply times to avoid halting production operations or storing early shipments.

  • Reverse logistics and product returns :
Work and supervise the scheduling of returning materials or products to the stock.


المشاركات الشائعة من هذه المدونة

ISO 9001:2015 Headline

Packaging materials

International Organization for Standardization (ISO)