[PDF] Supply Chain Management

What are the main goals of supply chain management?

The main goal of supply chain management is to make the most of the resources involved in a supply chain and be as productive as possible. People are managed and supplies require management as well. Whether those supplies are goods or services, they must be accounted for and carried through from start to finish with deliberate control.

What are the main challenges of supply chain management?

As the name implies, supply chain management (SCM) is handling and optimizing all the many complicated facets of a supply chain, involving goods and services. Even ensuring timely handoff from manufacturer to shipper to supplier to shipper to buyer is a massive task, but to do it cost effectively and build net value is truly a challenge.

What are the main activities involved in supply chain management?

Good supply chain management keeps companies out of the headlines and away from expensive recalls and lawsuits. The five most critical elements of SCM are developing a strategy, sourcing raw materials, production, distribution, and returns. A supply chain manager is tasked with controlling and reducing costs and avoiding supply shortages.

What are the benefits of supply chain management?

Supply chain management creates a number of benefits that translate to higher profits, better brand image and greater competitive advantage. These include the following: better supply chain visibility, risk management and predictive capabilities; increased sustainability, both from a societal and an environmental standpoint;