What are supply chain management concepts?

What are supply chain management concepts?

Supply chain management is the management of the flow of goods and services and includes all processes that transform raw materials into final products. It involves the active streamlining of a business’s supply-side activities to maximize customer value and gain a competitive advantage in the marketplace.

What are the concepts of inventory management?

Inventory management refers to the process of ordering, storing, using, and selling a company’s inventory. This includes the management of raw materials, components, and finished products, as well as warehousing and processing of such items.

What are inventory concepts?

Concept of Inventory: Inventory refers to those goods which are held for eventual sale by the business enterprise. In other words, inventories are stocks of the product a firm is manufacturing for sale and components that make up the product. Thus, inventories form a link between the production and sale of the product.

What are the 5 basic components of supply chain management?

The Top-level of this model has five different processes which are also known as components of Supply Chain Management – Plan, Source, Make, Deliver and Return.

What are the 6 types of supply chain management?

The Six Models of Supply Chain Management

• Continuous flow.
• Fast chain.
• Efficient chain.
• Agile.
• Custom-configured.
• Flexible.

What is the ABC inventory system?

ABC analysis is an inventory management technique that determines the value of inventory items based on their importance to the business. ABC ranks items on demand, cost and risk data, and inventory mangers group items into classes based on those criteria.

What are the 3 types of inventory management?

The three most important types of inventory are the raw materials, the work in progress (WIP) inventory, and the finished goods.

What are the six different components of supply?

6 Essential Components of a Good Supply Chain Design

• Strategy and Alignment. Supply chain philosophy is still a relatively new and developing area.
• Supply Chain Assets & Routing.
• Process, Procedures and Systems.
• Planning and Communication.
• Outsourcing.
• People and Culture.

What is the job description of a supply chain manager?

Job Description of a Supply Chain Manager. Supply chain managers plan, manage and coordinate all activities related to the sourcing and procurement of these supplies, according to the Council of Supply Chain Management Professionals. A supply chain manager must ensure that supplies are available when they are needed to meet changing levels of demand for a company’s products.

What are examples of Supply Chain Management?

Examples of supply chain activities include farming, refining, design, manufacturing, packaging, and transportation. Because global supply chains are both logistically and technologically complicated, there are now global supply chain management specialists and firms who oversee the process for many different retail companies.

What is the quality of Supply Chain Management?

Supply chain management directly impacts product quality and the overall profitability of a company. For these reasons, quality control in the supply chain is critical for maintaining a competitive edge in the marketplace and reducing operating costs.

What is supply and chain management?

In commerce, supply-chain management ( SCM ), the management of the flow of goods and services, involves the movement and storage of raw materials, of work-in-process inventory, and of finished goods from point of origin to point of consumption.