SCM (Supply Chain Management Sample Clauses

SCM (Supply Chain Management. According to Xxxxxxxxxxx (2005) the definition of supply chain management is: “The management of upstream and downstream relationships with suppliers and customers to deliver superior customer value at less cost to the supply chain as a whole.” The focus in the supply chain philosophy is the relationship between all parts. The point is not to get a most profitable solution for one of the parts, but instead find the best outcome for all the parts in the chain. The goal in the supply chain management is to increase their competitive advantage, value adding and reducing cost (Xxxxxxxxxxx, 2005). Figure 26 Competitive advantage of the three C’s (Xxxxxxxxxxx, 2005) In Figure 25 we can see the three-way relationship between the company, customers and competitors. Many companies start with a small supply chain where they by time increase and include more supply chain participants. So when all the parts, the company, their customers and the suppliers all know each other and their goal for the future, it is easier to do the planning process together if they are willing to cooperate. This cooperation leads to cost savings, quality improvement and service enhancement (Wisner, Xxx, Xxxxx 2009). The goal of the SCM is the relationships between the different parts in the chain. To reinforce these relationships, it may be helpful to use some tools. We will in the next section look further into what kind of tools that could be appropriate to take advantage of.
Sample 1
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