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Problems Facing Supply Chain Management

Satisfactory Essays

Problems faced in optimizing supply chain management

Supply chain management is the integration of suppliers, producers and warehouses in a business model by the process of transforming raw materials into finished goods and then delivering this to the end consumer. This is a very broad topic that needs a lot of planning, design and control to maximize a company’s total profit, and yet guaranteeing a good and satisfactory service level. Supply chain management is said to only help optimize a company, but it is actually much more than that, this is a great asset for leveraging worldwide logistics, synchronizing supply and demand and measuring performance globally. In other words, Supply chain management is really helping globalization by making a lot of product get to a different parts of the world with a much shorter supply chain. The supply chain is a great invention that have helped the world a lot, but the bad part is that it is really complex. To make a perfect supply chain management is almost impossible because of all the changing variables and different problems that are faced in it. During these essay, some of the main supply chain management problems are going to be discussed.

The best way to explain all of these problems and complications that happen in a supply chain is by giving an example of a company. In this case, we will use an example of a soda company in Panama. This company has two production plants that make the same kind of soda. Then the sodas will

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