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Supply Chain Management
 

Supply Chain Management (SCM) is making resource integration of an enterprise by optimizing each link of the supply chain (such as procurement, planning, production, logistics, etc.) to collectively meet customer demands. 

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Supply Chain Management

Supply Chain Management (SCM) is making resource integration of an enterprise by optimizing each link of the supply chain (such as procurement, planning, production, logistics, etc.) to collectively meet customer demands. Ultimately, it enables businesses to reduce costs and deliver satisfactory services to end customers. SCM is considered to be an value-added service in business operations, yet currently, only a minority of enterprises prioritize this service. 

(1) Planning: Planning is the initial stage where all resources should be considered in advance to meet customer demands and try to obtain the expected outcomes. 

(2) Sourcing: It is crucial to selecting good suppliers and manage their relationships at this stage. Additionally, establishing processes to standardize procurement, inventory management, and payments is required. 

(3) Manufacturing: Organizing activities such as raw material inspection, product manufacturing, quality testing, transportation packaging, and delivery planning 

(4) Delivery and Logistics: Shipping goods to customers together with customer service and receiving payment 

(5) Returning: Establishing a network to support product recycling, including defective and surplus products. This stage also involves inventory and transportation management.

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