Limitations Of Supply Chain Management

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Supply Chain Management Q1) In today’s business environment, no enterprise can expect to build a successful product, process, or service advantage without affiliating their strategies with those of the supply chain system in which they are heavily linked. The literature examined for the purpose of this essay identifies the many different definitions of Supply Chain Management and the overall effectiveness of supply chain management to a business in the twenty first century. This essay also highlights whether supply chain management is a passing fad or a fundamental change. There are many definitions formed for supply chain management as there are many different perspectives for the understanding of the concept from supply chain management:…show more content…
Firstly, supply chain management will reduce uncertainty along the chain, it will also enforce proper inventory levels in the chain. A huge result of an effective SCM system is also minimised delays. This factor will not only benefit a business but will also satisfy consumers, ensuring consumer loyalty and repeated business. An efficient supply chain management system will enable a contemporary business to provide good customer service and to eliminate rushed or unplanned activities that may occur. Most certainly, an effective supply gives a business an upper hand on its competitors in the marketplace.The benefits of this systematic approach impacts areas ranging from product quality to order turn around times. One of the main advantages of supply chain management is that it incorporates quality techniques such as quality management systems, to improve…show more content…
Supply chain management has become a huge factor for success in business’ in the twenty first century. Twelve firms with members in the Council of Logistics Management (CLM) were selected to be interviewed in July, 1996. There was resonating affirmation among the respondents that Supply chain management is in fact a fundamental change in industry. While some appeared to say it was sensational, others were more soft spoken on the impacts it had on their business. I certainly agree with the opinion that with the advancements of new technologies etc supply chain management has been a crucial change for business’. Supply chain quality is a noteworthy component in most firms, whether small or large. While it is a business practice it is additionally a mind set for some of them. The main concept behind Supply chain management is the management of information rather than the management of inventory. Supply chain management has also helped companies make the transition from an organizational structure based on functional silos to a process-orientated structure
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