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Qs.1 what is supply chain management?

Definition: - Supply Chain Management is primarily concerned with the efficient integration of
suppliers, factories, warehouses and stores so that merchandise is produced and distributed in the
right quantities, to the right locations and at the right time, and so as to minimize total system
cost subject to satisfying service requirements.
The best companies around the world are discovering a powerful new source of competitive
advantage. It's called supply-chain management and it encompasses all of those integrated
activities that bring product to market and create satisfied customers.
The Supply Chain Management Program integrates topics from manufacturing operations,
purchasing, transportation, and physical distribution into a unified program. Successful supply
chain management, then, coordinates and integrates all of these activities into a seamless
process. It embraces and links all of the partners in the chain. In addition to the departments
within the organization, these partners include vendors, carriers, third-party companies, and
information systems providers.
Simply stated, "The supply chain encompasses all of those activities associated with moving
goods from the raw-materials stage through to the end user."

Qs.2 What kinds of issues SCM concern?

Global supply chain with long lead times

Rising and shifting customer expectations
Increase in labor costs in developing countries
Increase in logistics costs

Managing Inventory
Managing inventory goes beyond counting how many boxes of pencils are sitting
in your warehouse. It involves keeping enough inventory on hand so your
company can be flexible while meeting all customer and client expectations.
Timing orders appropriately will ensure all items (or components of an item)
arrive at the designated time without your company facing major delays. This

also involves carrying enough stock so your company doesnt run outbut not
so much stock that profits are affected.
Managing Suppliers
Along with managing inventory comes managing suppliers. Supply chain
managers are responsible for knowing when they need multiple suppliers for one
item, dealing with suppliers when there are delays and ensuring all orders
received meet quality controls. Theyre also responsible for finding suppliers
with consistent and reliable service at a price that doesnt hurt your bottom line.
Maintaining Safety and Quality
The globalization of your supply chain can be paired with concerns about the
quality of products that are made in other countries (or contain components
from other countries) that may not meet regulatory standards. This puts
companies at risk of recalls. This means that supply chain managers are
responsible for ensuring suppliers and their products maintain safety and quality
standards. Recalls or safety issues can damage a companys reputation and
affect things like cash flow.
Risk Mitigation
Supply chain managers are responsible for ensuring their company isnt
devastated by problems with a supplier. Companies that are too reliant on one
supplier are vulnerable if that supplier cant meet demands. This means that
supply chain managers must mitigate risks, so an earthquake in Asia doesnt
halt the production line in North America, for example. They have backup plans
to ensure that if one supplier goes bankrupt, their companys supply chain
continues on without profits being affected.
Supply chain managers have a complex job. They factor in all the risks along
their supply chain, ensure the company has the supplies it needs when it needs
them. Theyre also always working hard to reduce any recalls or safety issues.
Supply chain management is something that often goes undetected when its
going smoothlythose who are good at it make it look easy, even though it
rarely is.

Qs.3 what are the Theory and Techniques which can be possibly potential
in SCM?
Meeting the industrys increasing demand for accessibility, mobility and visibility of
business services and all involved transactions requires comprehensive IT support
to provide all relevant supply chain information at the click of a button, connect all
involved supply chain partners and integrate all relevant processes from
procurement to fulfilment ideally through one overarching platform.
End-to-end supply chain systems support various areas of global logistics, they go
along the entire logistics process to pick up the thread at one end - for example, at
the order in the ERP system - and follow it through to the other end. They optimize
both logistics operations and inventory management while also facilitating customs
and compliance functionality as part of international movements. They provide
even greater benefits in terms of process efficiency and cost savings - especially
considering that the data flow from procurement to fulfilment can be used for
logistics operations and regulatory compliance at the same time.
There are some key areas that, going forward, will increasingly guide decisions on
implementing new supply chain technology:
Multi-channel capability
Software must be capable of responding to the requirements of e-commerce and
multi-channel sales. Due to the increase in online orders, international shipping and
returns, todays logistics systems must be able to react quickly to different order
channels and process order distribution smoothly and efficiently.
Visibility is about making information e.g. orders, shipments, transport units,
vehicles, etc. available to supply chain partners at any given time, for any given
process, in any given area of the supply chain. Visibility solutions should include
reporting tools, which strongly assist in managing daily operations (e.g. with weekly
volume reports on inbound traffic for loading dock resource planning), as well as in

strategic discussions, e.g. when negotiating annual carrier contracts based on ontime performance results. Improving supply chain visibility benefits all areas of the
supply chain and provides the backbone required to achieve more efficient
management of inventory and transport resources, which in turn improves
responsiveness to requirements, including e-commerce and multi-channel
Transport and inventory management
This area represents a key component in annual operating costs. Implementing IT
systems offers benefits including: streamlined operations, more efficient resource
management, better on-time performance, loading dock transparency, effective
inventory management, faster replenishment, freight cost transparency,
consolidated transports, optimized routes and long-term carrier relationships,
resulting in performance improvements, significant cost reductions and potentially
lower carbon dioxide emissions.

One-stop-shop solutions
Of course, with supply chain management IT, there is no one-size-fits-all solution.
What represents a must-have for one company might be irrelevant for another. It all
depends on the individual operations and specific business requirements.
However, companies are increasingly moving away from patchwork system
landscapes to discover the benefits of comprehensive supply chain management
systems for managing both logistics and global trade processes - from initial sales
order to final delivery - in one system. Powerful modular solution suites offer many
options for businesses, allowing step-by-step implementation of required functions one business area at a time - and providing smooth integration into existing system
landscapes, or even replacing them altogether.
There are some technologies that, overall, are considered of high relevance for
future supply chains, such as cloud solutions and mobile devices:

Even though security concerns are under consideration yet again, cloud computing
has become an integral part of todays supply chain management solutions
portfolio and remains of interest. Their main benefit is that they address companies
investment capability and functional requirements at various stages of their
development, and apply to a number of business areas in global logistics. Mobile
computing and mobile devices have gained greater importance in recent years due
to their ability to efficiently support supply chain processes on the go. Their
technical advancement has shown significant development in their scope of
capabilities, but their most valuable feature continues to be the ability to integrate
into ERP and operational systems to gather and share data in a variety of forms and
Comprehensive, sophisticated supply chain management systems meet the
requirements of supply chains in the twenty-first century: adaptability, collaborative
ability, transparency, compliance and speed in all processes. Streamlining
processes and cutting costs in the long run are all vital for future business growth.
By choosing the right software solution, supply chain managers can future-proof
their business and gain a competitive advantage.
Ans.4 Supply chain
Supply chain is the process of optimizing and reducing time in the overall
development of a product. To efficiently integrate suppliers, producers, warehouses
to produce and distribute
the right quantity
at the right time
in the right place
Operations Research
Operations research is dealing with information technology which caters in making
decisions for the company. Operations research helps companies predict future
demand and changes and helps in better prediction for resources.

Management Science
Management Science is using applied sciences, Mathematics, advanced statistics,
engineering technologies to derive optimum benefits from the data that is available
to the company.
Decision science is a broad field with roots in economics, but it has since drawn
expertise from many fields and has been applied in many contexts. Decision
science provides a sound theoretical basis, and a specific framework and method,
for making sound decisions under uncertainty by using formal decision analysis
techniques and methods of risk analysis and risk management. Decision analysis is
a formalization of common sense for decision problems which are too complex for
informal use of common sense This method is nowadays used in supply chain to
improve efficiency and effectiveness of a company. The new age of supply chain
demands increased used of complex decision making which has made the use of
Decision science more crucial.
Operations Management
Operations Management deals with the design and management of products,
processes, services and supply chains. It considers the acquisition, development,
and utilization of resources that firms need to deliver the goods and services their
clients want.
The purvey of OM ranges from strategic to tactical and operational levels.
Representative strategic issues include determining the size and location of
manufacturing plants, deciding the structure of service or telecommunications
networks, and designing technology supply chains.
Tactical issues include plant layout and structure, project management methods,
and equipment selection and replacement. Operational issues include production
scheduling and control, inventory management, quality control and inspection,
traffic and materials handling, and equipment maintenance policies.