Supply Chain Management

Supply chain management is a network that involves different interconnected businesses that major in the provision of product and services which are required by the customers at the end of the supply chain. The management includes activities such as storage of the raw materials used to produce goods, work-in progress inventory and managing the movement of goods from the place of production to that of consumption.  The management includes planning, designing, controlling and monitoring both goods and services from the point of origin to the point of consumption.  Supply chain management ensures that goods or services are made available to the customers when they are required.

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Just in time is a strategy used by businesses to improve profits through reducing both the carrying costs and in-process inventory.  In simple terms, it is a strategy that enables the company to produce goods only when they are required by the customers. The strategy reduces storage costs and administrative costs etc. As a result, the company is able to maximize overall returns.  A quick notice is always given to the producer to produce goods when there is demand.

Enterprise resource planning is a system that combines both the internal and external management of the organization’s information.  ERP therefore helps in disseminating information in the organization an aspect that helps the organization to avoid risks that may affect the supply chain.

Yes, when best practices are used they can be able to support both on ground and internet practices. This is through proper management of the information in both areas. Combination of this information can be able to help in management of supply chain.

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