The primary goal of supply chain management is the creation of satisfied customers through the properly coordinating processes within the supply chain into a seamless procedure. Hence, a significant component of SCM is that customers entirely drive it. During the mass-production period, manufacturers engaged in the production of standardized products then pushed through the supply channel to the market (Chavez, Yu, Jacobs & Feng, 2017). Contrastingly, commodities today are produced based on the demands of customers. Hence, customers have an expectation of receiving products that match their demands and satisfy their needs.
Through the channel partnership of actors within the supply chain, such as distributors and manufacturers, customers can be integrated to create customer value. By facilitating the collaboration of these actors, SCM allows organizations to respond effectively to the configurations demanded by their customers (Pradabwong et al., 2017). Hence, supply chain management can be identified as playing a dual role. The first role is that it communicates customer demand extending from the delivery contact with customers to the supplier. The other role is that it acts as a flow procedure which designs the effective and efficient movement of products across the pipeline.
Delegate your assignment to our experts and they will do the rest.
Managers of supply chains hold the responsibility for creating channel strategy decisions such as the coordination of the procurement of raw materials and the management of inventory. They also have to engage in the management of the flow of data across the supply chain. In this way, customer integration occurs by making customers the primary source of information, which is then disseminated through the supply chain (Fernandes, Sampaio, Sameiro, & Truong, 2017). Hence, customer satisfaction is subsequently achieved through information-based strategies such as the improvement of on-time delivery, the use of technology to enhance inventory management and using agile inventory strategies. Hence, an effective supply chain supports proper customer satisfaction and integration. This results in better outcomes for the company.
References
Chavez, R., Yu, W., Jacobs, M. A., & Feng, M. (2017). Data-driven supply chains, manufacturing capability, and customer satisfaction. Production Planning & Control , 28 (11-12), 906-918.
Fernandes, A. C., Sampaio, P., Sameiro, M., & Truong, H. Q. (2017). Supply chain management and quality management integration. International Journal of quality & reliability management .
Pradabwong, J., Braziotis, C., Tannock, J. D., & Pawar, K. S. (2017). Business process management and supply chain collaboration: effects on performance and competitiveness. Supply Chain Management: An International Journal .
