The strategic role of Supply chain management in manufacturing industry

I Introduction

As a manufacturing company in UK, we sp dying over 50 % of our sales on purchases. Because such a high office of an organizations cost are determined by purchasing, relationships with suppliers are progressively integrated and long-term. Joint efforts that improve innovation, speed design, and reduce costs are common. Such efforts can dramatically improve both(prenominal) partners competitiveness. Consequently, a discipline known as lend- stove management has developed.

My first appearance in the form of a report will turn back by the following topics regarding the function of Supply Chain Management: The strategic Role that can be associated with this function and an analysis of what is snarly in the successful implementation of this role. An outline of how can SCM learn globalisation challenges.

II The definition of SCM

1.What is supply chain?

A supply chain as a whole can be viewed as the flow of water in a river: organizations located snuggled to the original source of supply are described as being upstream, while those located closer to the end customer are downstream. The flow of the whole river is being concerned. In another(prenominal) words, supply chain is a network, which for tangible goods covers purchasing of in the altogether materials, manufacturing, assembly and distribution of finished goods to the client.

In manufacturing, just like our company, the supply chain is the linkage for the physical movement of all materials from suppliers, finished transformation, and then as finished goods for the customers.

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What is SCM

Supply-chain management is one of the white-hot topics in business today. The idea is to apply a keep down systems approach to managing the entire flow of information, materials, and services from raw-materials suppliers through factories and warehouses to the end customers. The focus is on those core activities that a business must operate each day to meet demand.

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