Learn about supply chains. How to run an effective supply chain

In the article below, we will learn together about what a supply chain is and how to run a little productive business article about the mood and concerns of many people in the business field. business.

Table of Contents [Hide]

1. What is a supply chain?

Supply Chain refers to a system of organizations, activities, information, people and resources directly or indirectly involved in the movement of goods or services from manufacturers, suppliers, or suppliers. supply to consumers.

Supply chains are made up of many different components. This includes not only manufacturers and suppliers, but also transporters, warehouses, retailers, and customers.
The supply chain of a company consists of many departments that are related to each other in this regard.

2. Supply Chain Components

A complete supply chain is made up of 5 basic components. Here are the 5 components that make up a supply chain.

+ Supplier of raw materials
A supplier of raw materials is considered an important part of a supply chain, because only raw materials can be produced.

+ Producer
If you only have raw materials, you can't sell them to customers, so a manufacturer will help you perfect those raw materials into a finished product. Raw material suppliers and manufacturers are closely linked, with one out of two having a problem affecting a supply chain.

+ Distributors
Once we have the product, we alone will not be able to deliver the product to each customer. A distributor will help us with this. It is also not possible for a distributor to bring the product to all customers in the market. Because they often deliver goods in large quantities, they rarely retail to customers. Therefore, often distributors will link up with their retail agents (groceries, supermarkets, convenience stores, ...) to distribute goods to users.

+ Retail agent
Resellers will be responsible for retailing those goods to users, they will often import a large amount of goods in inventory, and then retail to each customer. For example: grocery stores, supermarkets, convenience stores, etc.

+ Customers
Customers will be the last to consume the goods. Customers can also buy goods at distributors if they buy in large quantities, but this rate is quite low. Most of them only buy goods at retailers, and distributors rarely sell to retail customers.

3. The role of the supply chain in the business sector

Supply chains have a great influence on the production and business activities of enterprises. Considered an important step in business development. Good supply chain management will help you succeed and take the right steps on this path.

A product goes through many processes (from purchasing raw materials, making products from raw materials, packaging the product, shipping the product to companies, distributors, retailers, etc.) reach the user, and those processes are all part of the supply chain. The supply chain is the intermediary that brings the product closer to the consumer.
When a business successfully sells a lot of products, it means running an efficient supply chain.

4. How a Supply Chain Works

To operate the supply chain effectively, it is necessary to plan specifically for each action taking place in each supply chain,
First, design and plan an operating strategy for the supply chain in detail. The design and planning of strategies plays a very important role in determining the success or failure of that company. Every operation or action in business must be planned specifically to minimize the risks posed.

Businesses must regularly review and change strategies to suit the needs of customers. The adjustment is always flexible with certain cases. Because the market is always unpredictable, making a plan is a plan, but it is not always the same. Adapting to the needs of the market is also how you operate your business's supply chain.

5. What are the main functions of the supply chain?

We can identify a supply chain with the following functions:

Handling customer requests
Order processing
Distributing goods
Merchandise Management
Receiving goods and managing inventory
Supplier management
Customer management
Manage each stage of the business
Employee control
Set up sales tasks
The above information is sure to give you more understanding of the supply chain. In-depth research into this field is not an easy path. For managers, supply chain management is an important aspect that 

Everyone needs to study. See more great information only here!

Maybe you are interested:

• Deciphering the importance of emotional intelligence to humans
• Things to know about customer service
• What is gdp? What factors determine GDP?

Please see more packaging products of PACKAGING SOLUTION!!!

• PP belt
• Pneumatic hand held plastic belt machine
• Paper splint