Safe to say SCM is the backbone of an organization and that's why more organizations are incorporating SCM concepts into their operations.
Essentially, SCM entails the planning, and implementation of all activities associated with a company’s procurement, manufacturing, distribution, and sales.
So, when organizations adhere to supply chain principles, they are better positioned to deliver value to their customers. The following are some key benefits of supply chain management:
📍Improved Efficiency: In any organization, there's a tendency for waste to occur. Waste can occur in various forms such as wasted time, wasted space, wasted money, and wasted materials. Implementing supply chain management helps reduce waste to the barest minimum by identifying ways to improve and streamline processes.
📍Optimizing logistics: This is another key role supply chain management plays. SCM helps all relevant stakeholders; vendors, manufacturers, wholesalers, and retailers work hand in hand to avoid logistics hiccups that might want to occur and in some cases, plan alternative logistics solutions to cater to emergencies.
📍Improved Customer Service: Customers are always right, isn't that so? Another vital role SCM plays is to coordinate all activities of an organization to ensure that customers get the right product at the right time and price. In other words, supply chain management helps to set up appropriate systems which in turn creates a better customer service experience.
To learn more about supply chain management and procurement processes, sign up for a course at academy.efemini.com
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