Supply Chain Process – Importance of Supply Chain Process in Business

The supply chain process is a widened management area that takes into consideration the combined influence of all the organizations engaged in the production of services and goods, from manufacturers to suppliers, retailers, wholesalers and finally to the customer, and take it beyond recycling and disposal. This way of managing the logistics network and production, presumes that all enterprises dealing with the process of goods and services delivery essentially form a part of a pipelines, network or a supply chain. This consists of everything that is needed to satisfy the end users and customers, and involves understanding which goods and services customers are likely to purchase, how to produce and deliver them. The supply chain management guarantees that the customers with  the correct goods that too at the apt time, at a desired location within a comfortable price range.

The modern day business scenario is characterized by increasing complexity, competition and territorial business opportunities. It is owing to the ongoing improvements and broadened scope in personal computing that has made it possible to optimize the supply chain performance. Internet boom and electronic mail have revolutionized the information and communication exchange, enabling in the required flow of inputs between the supply chain and organizations. In addition to that, there are companies that are reaping the benefits of the Cloud processes in the supply chain process.

Enterprises who have been observing a stringent supply chain management system have reported to witness significant cycle and cost time minimizations. In the recent past, certain retail giants declared their decrease in out-of-stock phenomena, rise in inventory turns and a replacement process that shifted from weeks to days and now hours.

Keeping in mind the importance and benefits of the supply chain process in business, the market had seen an emergence of service providers offering new age supply chain solutions using the Cloud processes that cover various domains such as order fulfillment, after sales service, procurement and many others. Furthermore, it offers a web-enabled visibility that comprises every SCM customers and contributors to offer greater customer value at a lesser price. Few essential components that the process offers are listed below-

  1. Streamlining the workflow: – Helps in setting up a supply chain with clear quantifiable processes

  2. Offers focus:- Helps in focusing and recognizing the issues and matters that require instant attention

  3. Enhance:- Helps in making well analyzed business decision to optimize and improve the SCM process

Leading companies dealing with SCM solutions have made it possible for companies such as manufacturing, retail, distribution, consumer goods, third-party logistics and transportation to enhance and attain synchronized control of the supply chain.

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