3 Sep 2022

66

Supply Chain Management: What It Is and How to Improve It

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Academic level: University

Paper type: Essay (Any Type)

Words: 1015

Pages: 4

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Supply chain management involves all the activities that are undertaken in the transformation and the flow of goods from the raw materials to when they get to the consumers or the end users. All the network of companies and people who are involved in this transformation work together, each having a role to play in the production, designing and delivering of the end product or service to the consumers. The supply chain flow network involves the following; the materials as they flow from the supplier at all the levels, the changing or transformation of the elements into the finished products or services and the delivery or the distribution of this products to the consumers or the end users (Gonçalo et al. 2015). The supplying of the materials by the suppliers is known as the upstream flow, the process of production is known as the internal process, and the method of distribution or delivery is known as the downstream flow. The supply chain professionals are the ones who are found at the center of this process. They are the ones who are solely responsible for handling the operation of the transformation of the materials from raw materials into finished goods or services that can be used by the customers or consumers. The professionals are charged with the responsibility of ensuring that the process of planning and production runs smoothly, they are also charged with the responsibility of looking at the market forces and determine the right products that should be produced into the market to ensure that the business grows. 

The supply chain management professionals play a significant role in an organization, for instance, they are involved in the process of planning, scheduling, and production of products or services in the company. When engaged in the planning process, the supply chain management professionals are capable of providing the correct information on the requirements and the use of the materials that are needed in the production process. The supply chain management professionals input in this process helps in reducing the cost of the inventory. Using well-modeled data, the professionals can be able to tell some materials that are required for the production of a particular product. In the process of planning the professionals take considerations of the market demand and the production capability of the company in producing their estimates in the amount of inventory that is required. They conduct an analysis and provide the data that helps the organization in acquiring the right amount of stock. It ensures that there are no wastes that are incurred during the production process, during the acquisition of the materials and after the production in the market. The supply chain management professionals also play an essential role in an organization in ensuring that operational efficiency is achieved. The operational efficiency that is achieved in an organization can lead to the success of the organization, ones an organization is successful it improves its service delivery to the end consumers. This ensures that there is customer satisfaction. Operational efficiency means that the processes that are being handled by the company are done efficiently, the time spent in carrying out some operations is significantly reduced. The quality of the products or services that are offered by the company is also assured. There is also timely delivery of products or services to consumers, and this means that the company is efficient in handling its clients and in its service delivery. In turn, this leads to the company increased its market share, and its business grows. This can be seen as an essential role of the supply chain management professionals in an organization. The supply chain management professionals in an organization work towards ensuring that the company utilizes a manufacturing strategy that is efficient. The supply chain management professionals are involved in the process of production and scheduling of the company's goods or services. In the production process, several factors are taken into consideration, wastage has to be minimized, and the efficiency of the manufacturing process has to be increased. This is regarding timely production and quality goods and services. All this are made possible by the analysis that is conducted by the supply chain management professionals. Their input is essential in ensuring that the achievement of this efficiency comes true. For companies to compete effectively in the global market, they need to ensure that they provide quality goods and services for their end users or customers. The companies are also determined in ensuring that the cost of production regarding raw materials and labor is cheap. This is because of the turbulent times that the global economy has faced in the recent past. This makes the supply chain management professionals be an essential need in an organization. The several activities that are done in the organization to achieve all these needs strategic management. The activities such as the sourcing of raw materials and any other resources that may be needed in ensuring that the production process is smooth needs strategic management. Since the raw materials or the supplies can be sourced from different suppliers or locations, there is the need for professionals who should assess all the suppliers and settle on those who can provide the raw material and the resources that are of high quality cheaper than the rest. This will ensure that the company or business achieves the objective of being competitive globally and also being able to reduce the cost of production while maintaining the quality of their products. In conclusion it can be seen that the role of the suppliers in a company or business organization cannot be overlooked. Many of the company's objectives rely on strategic management and depend on the knowledge of the supply management professional to be realized. In the process of production, planning, scheduling and production it is essential that the supply chain management professionals be involved. Several challenges can arise in these processes and they also require strategic management to be overcome. The supply chain management professionals in a company work to improve the efficiency of the company, the quality of the products and services produced by the company. They also increase the cash flow in the company, when these professionals are involved in the process of acquiring raw materials the wastage in the resources is minimized. The production cost of the company is reduced while the profits of the company are increased. The professionals also improve the integration of process within the company. 

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References

Figueira, Gonçalo, et al. "A decision support system for the operational production planning and scheduling of an integrated pulp and paper mill." Computers & Chemical Engineering 77 (2015): 85-104. 

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StudyBounty. (2023, September 16). Supply Chain Management: What It Is and How to Improve It.
https://studybounty.com/supply-chain-management-what-it-is-and-how-to-improve-it-essay

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