What Is A Supply Chain?
A Supply chain is a group or networks of businesses or companies that collaborates in order to deliver and store the goods. These networks of companies collaborate and coordinate their actions in order to bring a certain good to the industry or the market,while logistics refers to the activities or the operations that the organization does.
What Is Supply Chain Management?
The supply chain management is how the members of the supply chain coordinate in order to achieve the best possible results. The supply chain management is responsible for the production, location, transportation and inventory.
What Is The Supply Chain Network?
A supply chain is a network of companies that work together or coordinate rather in order to produce a product, hence the supply chain network is the companies that are coordinating in order to get a new product to the market.
The supply chain network is made up of the following:
- Supplier – this is the company that provides raw materials, or the materials that are yet to develop. Every company that produces their own products has their own supplier whether it is a food production company or a cosmetics related on they have their own suppliers. It is often that the quality of the products that are to produce depend on the supplier, as it will depend on the quality of the raw materials.
- Manufacturer – this refers to the companies that produces finish products and supplies it to wholesalers. These are the companies that turns raw materials to finished products for customer’s needs and satisfaction.
- Wholesaler – this companies or businesses are the ones that come in contact with manufacturers in order to supply retailers with products. They products from manufacturers at bulk then sell it to the retailers.
- Retailer – These businesses are what determine the demand for the product as they are the one who comes in contact with customers personally.
What Is A Supply Chain Logistics?
This pertains to the actions that are connected to the supply chain. The supply chain logistics consists of warehousing, transportation and inventory.
- Inventory – this refers to the management and supervising of current inventories. This is essential to a supply chain as miscalculation may lead to losing profits and sales. Inventory is connected to the demand that the consumers have for the product.
- Warehousing – this refers to the storage of the product. It is essential in a supply chain as improper storage will lead to the products getting destroyed.
- Transportation – this is rather critical part of the supply chain as with different products different modes of transportation is required.