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Supply Chain Management (SCM) was once a "pie in the sky" concept that could not be fully achieved. A key barrier was the cost of communicating with and coordinating among the many independent suppliers in each supply chain. SCM is possible because of three changes: technology has developed that simplifies communication, new management paradigms have developed that are shared among supply chain members and simplify their coordination efforts, and the development of a highly trained workforce.
Managers recognize that costs can be reduced while customer satisfaction is increased when production and inventory decisions are based on analysis of the total system of delivering products and/or services. Gradually, firms have begun to see themselves as a system of closely linked processes which deliver products and/or services to customers and to recognize that the entire firm is one link in a chain of firms that serve the customer. By increasing the integration in the entire supply chain, all the firms in the chain can increase their profits.
Competition in the workplace has pushed firms to make SCM a reality. Those who master it gain a competitive edge. Therefore, SCM means money and jobs. The Basics of Supply Chain Management will give you the tools you need to master this crucial subject.
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