What is Supply Chain Management?

to being to define any subject matter or a set of thoughts that deine a complex business one needs to firstly define what the subject matter encompasses. while there are many definitions surrounding a supply china i have decided to use the definition of the Council of Supply Chain Management Professionals at this juncture.

The Council of Supply Chain Management Professionals (CSCMP) defines supply chain management as follows:

Supply Chain Management encompasses the planning and management of all activities involved in sourcing and procurement, conversion, and all logistics management activities. Importantly, it also includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third-party service providers, and customers. In essence, supply chain management integrates supply and demand management within and across companies. Supply Chain Management is an integrating function with primary responsibility for linking major business functions and business processes within and across companies into a cohesive and high-performing business model. It includes all of the logistics management activities noted above, as well as manufacturing operations, and it drives coordination of processes and activities with and across marketing, sales, product design, finance and information technology.


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Once you have decided what parts of your supply fit within this definition then you can proceed further to establish and redefine your own particular chain within this definition. As each supply chain has its own unique characteristics the definition of specific relies on the perception of the owner/user of the supply chain. For instance when asked to define a car one can say that the following definition will cover nearly all cars, it is a metal box on four wheels with an engine to provide movement. Yet as we all know the variants of a car are immense. hence the same can be said for a supply chain.

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