Supply Chain is the organization, planning, the control and the execution of the flow of goods from the development and the provisioning, until the production and the distribution towards the final customer to satisfy the requirements of the market with minimal cost and the use of maximum capital.
During the Eighties, one could assist an assertion of the original logistic step compared to the organizational principles of the companies marked by a strong functional bulk-heading. This step, indeed, applies to the management of physical, information and financial flows.
It developed well in-house, within the companies, as in the relations between the companies' partners of the same chain of value. For this reason, logistics can be seen like a competence of management and piloting of flow which is used to optimize the couple cost: level of service, mobilizes a certain number of resources along the processes of circulation.
The logistics and more specifically, the supply chain is equally important today and has even become the source of differentiation or competitive advantage. This is because international competition is fierce and can no longer be "about". Delivery precision is required, and error is no longer allowed. Therefore the supply chain is now very important.
Tags: supply chain management, definition of supply chain management, presentation of the supply chain
[...] In a new business structure that is dynamic, it is easier to implement this project in a rigid structure. This is a crucial element to complete this endeavor. [...]
[...] ELA (European Association Logisitcs). During the 80 years we have witnessed an affirmation of the logistics with respect to the original organizational principles of business marked by a strong functional partitioning. This, in effect, applies to the management of physical and financial information. It developed both internally within companies and in relations between business partners of the same value chain. As such logistics can be seen as a competence management and workflow management to optimize torque which cost: service level, mobilizes a number of resources along the circulation process. [...]
[...] The pressure the outside companies apply are more on operational management. This pressure tends to a common will to solve the current problems that mask the overall vision. This same pressure pushes management to focus on research to improve local fast without concern of increasing the overall value chain. In industrial settings, it is more common to find specific targets for reducing production cycle while the performance is unclear. Fear of radical organizational change: SCM project is a multi-company and multi-function which highlights the need to share a number of responsibilities. [...]
[...] Supply Chain solutions both as models of organization and information technologies have been developed through numerous projects in all industry sectors. The most advanced companies can measure their spectacular results on improving customer service and reducing inventory. Definition and presentation: Since the beginning of 1996, in France Supply Chain Management became strongly popular. The idea of an extended and integrated supply called supply chain was launched. Development of Supply Chain reveals two very important phenomena: • Traditionally logistics perspective is that of the company to which it belongs. [...]
[...] Specifically, information is often held by actors who do not use it directly and are reluctant to disclose because it is an additional burden and provides no immediate benefit. It follows then a juxtaposition of vertical information repositories for own use providing no vision. The external divisions: Complete control, so all links in the supply chain, involves the sharing of a number of risks and mutual trust between all stakeholders. This approach is innovative because the evolution of the emerging European market. [...]
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