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A Career in Supply chain Management
Supply chain management (SCM) is the process of delivering a product to the customer. It involves the entire process from start to finish, including sourcing materials, manufacturing quality assurance and distribution.
It is an expansive, and often complicated part of a business that depends on each partner, from suppliers to manufacturers and beyond, to run well. Because of this, effective supply chain management also requires change management, partnership and risk management to create to ensure everyone involved is on the same page.
Logistics vs. supply chain management
The terms supply chain management and logistics are often confused or used in place of each other. However, logistics is only a part of supply chain management. It focuses on moving a product or material in the best way so it arrives at the right place at the right time. It manages activities such as packaging, transportation, distribution, storage and delivery.
In contrast, SCM involves a wider range of activities, such as effective sourcing of raw materials, getting the best prices on goods and materials, and coordinating supply chain visibility (SCV) efforts across the supply chain network of partners, to name just a few.
Benefits of supply chain management
Supply chain management produces benefits such as better procedures, higher profits, lower costs and more collaboration. SCM enables companies to better manage demand, keep the right amount of stock on hand, deal with disruptions, keep costs as low as possible and meet customer demand in the best way possible. These SCM benefits are achieved through the correct strategies and software to help manage the growing complexity of today’s supply chains.
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