Dr.

Rachanaa Datey
Founder Director –QUEST EDUSTATION
 SCM PROCESSES

• Planning
• Procurement
• Production
• Distribution
• Customer Interface
 SEVEN PRINCIPLES OF SCM

• Principle 1: Segment customers based on

the service needs of distinct groups and
adapt the supply chain to serve these
segments profitably.

• Principle 2: Customize the logistics

network to the service requirements and
profitability of customer segments.

• Principle 3: Listen to market signals and

align demand planning accordingly across
the supply chain, ensuring consistent
forecasts and optimal resource allocation.
 Contd…
• Principle 4: Differentiate product closer to the
customer and speed conversation across the
supply chain.

• Principle 5: Manage sources of supply

strategically to reduce the total cost of owning
materials and services.

• Principle 6: Develop a supply chain-wide

technology strategy that supports multiple
levels of decision making and gives clear view of
the flow of products, services, and information.

• Principle 7: Adopt channel-spanning

performance measures to gauge collective
success in reaching the end-user effectively and
efficiently.
The Difference Between Supply Chain
And Logistics?
• The primary difference
between logistics and
supply chain is the fact
that logistics is simply a
specialized part of the
entire supply chain
process.
• Logistics is the connection
from one node or point to
another; supply chain is a
series of sequential nodes
or points connected to one
another. Logistics focuses
on transporting goods
while supply chain focuses
on finished product and/or
customers.
• Supply chain comprises all
aspects of a product cycle
from origin to end user, for
example from farm to fork.
Logistics relates to one
component of supply chain,
addressing efficient
product movement, such as
from manufacturer to retail
store.
• The difference between
logistics vs supply chain
management (SCM) includes
the former as a subset of the
latter and respective roles
representing the activities
involved in moving goods
from one point to another
versus the umbrella term
encompassing business
philosophy and all SCM
processes.
QUESTIONS???

THANK YOU !!