Supply chain management (SCM) is a combination of improving the ways a company finds the raw components it needs to make its products or service, and then deliver it to their customers. SCM consists of essentially five basic components which are:
1. Planning – developing a set of metrics to monitor the supply chain so that it is efficient, costs less and delivers high quality and value to customers
2. Sourcing – This consists of things like:
- The suppliers that will deliver the goods and services you need to create your product;
- Setting pricing, delivery and payment processes with suppliers;
- Creating metrics for monitoring and improving the relationships;
- Developing processes for inventory management of the goods and services you receive from suppliers (receiving, verifying, transferring), and
- Authorizing supplier payments.
3. Manufacturing – This is the most metric-intensive portion of the supply chain (measure quality levels, production output and worker productivity). It is essential to schedule the activities necessary for production, testing, packaging and preparation for the next step of the chain…delivery.
4. Delivery – Although a more simplified term used for Logistics, everything else remains the same, however…stuff like: coordinating the receipt of orders from customers, developing a network of warehouses, selecting carriers to get products to customers and setting up an invoicing system to receive payments.
5. Returns – Commonly referred to by the accounting department as the problem part of the supply chain. Be sure you have created a network for receiving defective and excess products back from customers and supporting customers who have problems with delivered products.
BuyToughPC mobile hardware enables every link of the supply chain to run smooth and efficient. And it is our network of business partners that provide the link by supplying the software and system integration expertise to make the entire system revolve without a kink.
To learn more about our hardware click on one of the products to the right. To learn more about our partners click here.