• What Is Inventory Management?

inventory management is a method for forecasting, ordering, receiving and

allocating stock. The purchasing manager will use seasonality and historical sales
trends to forecast demand. Inventory includes raw materials, parts and finished
products.
• What Is Warehouse Management?
Warehouse management involves managing stock storage and picking and packing
activities in a warehouse. The practice uses demand trends data to place the best-selling
items near packing areas to expedite shipping and dictate which items to use to fill orders,
such as items with the closest expiration date.
 What Is a Warehouse Management System
(WMS)?
A warehouse management system (WMS) is defined as
software designed to manage the movement of inventory
to know where final products and goods are at any time to
fulfill orders. A warehouse management system can be
standalone software or part of an enterprise resource
planning (ERP) system working with other integrated
modules such as accounting, order management,
inventory management, MRP, customer relationship
management (CRM), and more using one central system
and data source.
 What Is Inventory Management System
(WMS)?
An inventory management system can simplify the
process of ordering, storing and using inventory by
automating end-to-end production, business management,
demand forecasting and accounting. Optimize your
maintenance, repair and operations (MRO) inventory.
What is Supply Chain Management?
Supply chain management is the management of the flow of goods and services and includes
all processes that transform raw materials into final products. It involves the active
streamlining of a business's supply-side activities to maximize customer value and gain a
competitive advantage in the marketplace.

KEY TAKEAWAYS:-
 Supply chain management (SCM) is the centralized management of the flow of goods and services and
includes all processes that transform raw materials into final products.
 By managing the supply chain, companies can cut excess costs and deliver products to the consumer faster
and more efficiently.
 Good supply chain management keeps companies out of the headlines and away from expensive recalls and
lawsuits.
 The five most critical elements of SCM are developing a strategy, sourcing raw materials, production,
distribution, and returns.
 A supply chain manager is tasked with controlling and reducing costs and avoiding supply shortages
Supply Chain Management Work flow
Supply Chain - 1st Module:-
Planning:
This involves forecasting demand, setting objectives, and creating a strategy to meet customer requirements. It
includes activities like demand forecasting, inventory planning, and setting production schedules.

Sourcing:
In this step, organizations identify and select suppliers to procure the necessary raw materials, components, or
finished products. It involves activities like supplier selection, negotiations, contracting, and establishing
relationships.
Procurement:
Once the suppliers are selected, procurement involves the actual purchasing of goods or services. This step
includes activities such as order placement, order tracking, and receiving and inspecting the goods.

Production:
This step includes the actual manufacturing or assembly of products based on customer demand. It involves
coordinating activities like resource allocation, scheduling, quality control, and maintaining efficient production
processes.
Inventory management:
This step focuses on managing the inventory levels, including raw materials, work-in-progress, and finished goods. It
includes activities like demand forecasting, order fulfillment, stock replenishment, and efficient storage and tracking of
inventory.
Logistics and transportation:
This step involves managing the movement of goods from suppliers to manufacturing facilities, warehouses, and
distribution centers, and finally to the end customers. It includes activities like transportation planning, arranging
shipments, managing carriers, and tracking the movement of goods.

Warehousing and storage:

This step involves the storage and management of inventory in warehouses or distribution centers. It includes activities
like receiving, storing, picking, packing, and shipping orders, as well as managing the warehouse facilities and
maintaining inventory accuracy.
Distribution:
This step focuses on delivering the products to the end customers or retailers. It involves activities like order processing,
order picking, packaging, and arranging for transportation to the final destination.
Customer service:
Throughout the entire supply chain process, providing excellent customer service and support is vital. This includes
activities like order tracking, handling customer inquiries, addressing complaints, and ensuring customer satisfaction.
Reverse logistics:
This step involves managing the return or disposal of products, handling product recalls, and managing any repairs or
replacements required.

These steps may vary based on the industry, type of product, and specific supply chain requirements. Effective
coordination, communication, and information-sharing among various stakeholders are essential for a well-functioning
supply chain.
What is a Flexible Supply Chain?
Simply put, a flexible supply chain is a strategic approach that prioritizes adaptability and rapid response to
market demands. In today's dynamic business environment, it's crucial to stay agile and responsive to changing
consumer needs.

Key Principles of Flexible Supply Chains:

Demand-Driven: Flexible supply chains always keep a close eye on

customer demand. They don't rely on past sales data or predictions but
rather adjust plans based on real-time demand to reduce inventory
waste and costs.

Diverse Supply Sources:

To mitigate risks, flexible supply chains often involve multiple
suppliers and supply channels. This ensures that even if one source
encounters issues, production and supply won't be disrupted.
Rapid Responsiveness:
A hallmark of flexible supply chains is their ability to adapt quickly. Whether it's a sudden surge in
market demand or an emergency, they can swiftly adjust production and logistics to meet the needs.

Collaborative Partnerships:
Building strong collaborative partnerships is essential. This includes cooperation among suppliers,
manufacturers, and distributors to ensure the smooth operation of the supply chain.

Technological Support:
Leveraging modern technologies like IoT, big data analytics, and AI enhances supply chain
visibility and efficiency, enabling smarter decision-making.

Risk Management:
Flexible supply chains take into account various risks, from natural disasters to political instability.
By creating robust risk management plans, businesses can better navigate uncertainty.
Why Flexible Supply Chains Matter:

In today's fiercely competitive market, a flexible supply chain isn't just an option; it's a vital competitive
advantage. It helps businesses adapt to market changes, improve customer satisfaction, and reduce costs.

The science of flexible supply chains involves adapting to the ever-changing business landscape while
staying efficient and cost-effective. By embracing these principles and leveraging modern technology,
companies can navigate the complexities of the modern supply chain and position themselves for long-term
success.

I hope this brief overview helps you better understand the importance of flexible supply chains. If you have
any questions or would like to share your insights, please feel free to comment. Thank you
This is a very important post for those who work with
supply chain Warehouses! Inventory! Management
Warehouse/Inventory Supply chain/Logistic

WMS : warehouse management.. System RFID : Radio-frequency identification CBU:Completely Built Up

ERP : enterprise resource planning ASN : Advanced Shipping Notice SKD: Semi knocked down

PMC: Production Material control EOQ : Economic Order Quantity CKD:Complete Knocked Down

FIFO : first in first out UoM : Unit of Measure MKD: Medium Knocked Down.

LIFO : last in first out UPC : Universal Product Code CKS:?

SKU : stock keeping unit TDS : Technical Data Sheet CNF:Cost Net Freight

GRN : goods received note MSDS : Material Safety Data Sheet CAD:Cash Against Delivery

GDN : goods delivery note SOP : Standard Operating Procedure CNF:Cost And Freight

PO : purchase order GSP : Generalized System of Preferences LC : Letter of Credit

LC:Landing cost BL : Bill of Lading

MR : material requisition
FOB:Freight On Board CBM : Cubic Meter (use of shipment)
SR : store requisition
CFS : Container Freight Station
WO : work order
C&F : Clearing and Forwarding
JIT : just-in-time
P.I : Preformat Invoice
BOM : bill of materials