The Key Supply Chain Driver

The current management of information systems, product development, and product sourcing methodologies has led to lower results than expected. It is necessary for the company to apply new supply chain management systems to build an efficient and competitive product and service infrastructure, net value, synchronize the supply of goods and to be able to measure the company’s performance.

Young (2012) writes that supply chain management (SCM) is a function of collaborating firms working to improve operating efficiency and to leverage strategic positioning. In addition, Young references this function as not only the physical attributes of product distribution, but also to include related information, such as production or delivery status, and the capability to access such information. Such capabilities allow SCM to be an important link in fulfilling customer needs and providing value. Young adds that in the current customer-driven market, the perceived value of the entire relationship

chain has become a way of improving competitiveness by reducing uncertainty and improving service. One

SCM is embedded and influences all facets of business operations. More precise, SCM is the proactive management of logistics, product development, sourcing, production, business processes, information systems, and business finances as they transition though the many facets of the supply chain-from raw materials to consumer (APICS Supply Chain Council, 2014). Also, its emphasis is to sustain its competitive advantage through the maximization of customer value. Competitive advantage sustainability is only feasible through a conscious effort by all stakeholders within the supply chain to

Supply chain management is an integral component of operation management and has a direct effect on how successfully organizations function. The purpose of supply chain management is to remove communication barriers and eliminate redundancies by coordinating, monitoring, and controlling processes within an organization. Identifying the components of the supply chain, facilitating better decision-making, creating improved communication, and identifying weak links in the chain causing bottlenecks in an organization are crucial to supply chain integration. There are three principle elements of supply chain integration: management of information and financial flows, inventory management, and management of relationships of

Enterprise systems can be helpful to solve diverse business problems and optimize numerous processes in commercial organizations. Though the CIO is interested in different types of these systems being used, particular emphasis is placed on Supply Chain Management (SCM), which can be defined as “the management of information flows between and among activities in a supply chain to maximize total supply chain effectiveness and corporate profitability” (Baltzan, 2014). In order to profoundly evaluate the impact that these systems can have on different types of organizations, the paper will analyze two case studies, whose objective was to “promote further understanding of this process of adoption and integration of supply chain management

Modern global integrated supply chains couldn’t be global or integrated without a modern technological infrastructure to act as both supply chains connective tissue and nervous system. While modern supply chain executives are expected to have a grasp of modern business technology, the thought of actually making technology related decisions can be scary for even the most senior executives. So, what should supply chain managers expect their system software and hardware to do for their supply chain? In this paper, I will talk about how online purchasing at McDonalds affect the technology and supply chain management (Carr, 2016).

The topic of the research has been discussed that what actually supply chain management (SCM) is, where it is utilized and what its importance in a business are, and why it is necessary to go for a research in this field. Additionally, opinions of different authors has been given that how an organisation could reduce their costs on the basis of supply chain management and why should the managers reshape or reconstruct this section of their business and what will be the benefits of those changes.

. . and create and commercialize a stream of new products and processes that shift the technology frontier, progressing as fast as their rivals catch up’’ (Porter and Stern, 2001, p. 28). One area of innovation that has been the focus of significant discussion is information technology adoption. US executives allocate 40% of new capital equipment investment to technology (Hitt and Brynjolfsson, 1996). Innovative information technologies have the capacity to impact organizational structure, firm strategy, communication exchange, operational procedures, buyer– supplier relationships, and bargaining power (Bowersox and Daugherty, 1995; Lewis and Talalayevsky, 1997; Williams et al., 1997; Clemons and Row, 1991). Information technology may also increase organizational productivity, flexibility, and competitiveness (Cash and Konsynski, 1985) and stimulate the development of interorganizational networks (Daugherty et al., 1995). Information systems have become so pervasive that they are now considered to be a requirement for doing business in todayÕs competitive marketplace (Clemons and McFarlan, 1986; Dawe, 1994; Rogers, 1990; Rogers et al., 1992). Supply chain management is recognized as an important area for information technology innovation and investment (Bowersox and Daugherty, 1995). Supply chain management has been defined by The Global Supply Chain Forum as ‘‘. . . the integration of key business processes from end user through original suppliers that

A supply chain can be termed as a network of organizations that collaborate to share information and materials. Supply chain management is a way by which the companies can gain competitive advantage over their competitors by reducing their cost and lead time and at the same time increasing their efficiency by differentiating the processes and the links between the suppliers and the buyers (Klassen & Why bark, 1994). For doing so, using IT based systems is the need of the hour. With the ever growing demand and expectations from the customers along with dynamically changing market, the companies are turning to the successful deployment of IT to re-engineer their supply chain, so as to sustain and grow their business. (Poter, 1986). This is a great opportunity to incorporate IT into supply chain due to the increasing development in IT and communication that leads to integration of system architecture and Information technology (Balan, Vrat, & Kumar, Assessing the challenges and opportunities of global supply chain management, 2006). Moreover optimal information sharing using IT based systems has reduced the need for sharing of information within the organization (Balan, Vrat, & Kumar, Information distortion in a supply chain and its mitigation by using Soft Computing Approach, 2009). The recent advances have also made it possible for the companies to be flexible and be able to respond quickly to the changing demands and conditions of the market. (Lee, So, & Tang, 2000)

The first metric used to measure the supply chain’s performance is called the Balanced Scorecard (BSC). (Kaplan and Norton, 1996) This model is valuable as it informs the company about the level of efficiency of the supply chain in the following four areas: financial, customer satisfaction, internal processes and learning and growth ability. Moreover, it allows to identify which sector is underperforming and requires more attention. Each of the four dimensions has a specific objective and target that are set by the company and are then matched with a metric which will assess performance in each dimension. For instance, related to the financial aspect, if the company’s objective is a 10 percent turnover rise compared to the previous year, it will use the monthly turnover rate to keep track of the progress. The same procedure is to be followed for the three other areas, using different metrics as objectives will be different. The selected measurements must be meaningful to the firm as this model will be used to guide the organisation’s strategy on the long-run.

At the beginning of season, Burberry sourcing team and product development, quality control, designer , merchandising planning and buyers will have big meeting to review what the trend is , product and material will be launched for next season in order to plan the strategy. Buyer also will give souring team an approximately order quantity for souring team to give factory in order to prepare raw material, trims… etc , to shorten lead-time and to have materials available at all times in order to ensure the smooth flow of care

The supply chain is an integral component of the Cornerstone Furniture, LLC business, including product, information, and finances. This vast and integral component of the business requires a management system that can gather data and turn it into meaningful use to allow the Cornerstone Furniture executive team to make informed choices regarding product, sales, and customer satisfaction. Supply chain management (SCM), “is the focus on the flow of products, data, costs, etc. that are involved in the business supply chain” (Baltzan, 2016, p. 300).

Improvements in transportation process and technology enablement make available the most achievable way for most companies today to flush out supply chain costs and advance quality, reliability and customer satisfaction. Companies across nearly every industry sector are motivated to become supply chain management leaders. SCM leaders attain this rank in their markets by extensively dropping cycle times and operating expenses, increasing supply chain

All the managers recognised that supply chain performance is important in improving competitive advantage. They evaluated the supply chain based on tangible (e.g. cost) and intangible perspectives (e.g. time). The companies also had high-level communication information with their partners in the supply chain, in which they exchanged information regarding accuracy, value and criticality. The companies acknowledged that e-procurement enhanced partner relationships, information sharing, and supply chain integration.