Supply Chain Management (SCM) - An Introduction

Supply Chain Management (SCM) - An Introduction

Supply Chain Management (SCM) is a systematic approach to manage the seamless flow of information, materials and services from raw material suppliers through factories and warehouses to the end customer.

Moreover, SCM involves seamless flow of material, information & finance in a network consisting of customers, suppliers, manufacturers, retailers and distributors.

Supply chain is product specific, not company specific.
Supply Chain Management is the management of the entire value-added chain, from the supplier to manufacturer right through to the retailer and the final customer.

SCM has three primary goals:

• Reduce inventory.
• Increase the transaction speed by exchanging data in real-time.
• Increase sales by implementing customer requirements more efficiently.