Importance Of Organizational Supply Chains Term Paper

Length: 4 pages Sources: 5 Subject: Business - Operations Type: Term Paper Paper: #35311799 Related Topics: Logistics, Transportation, Forecasting, Logistics Management
Excerpt from Term Paper :

An Overview and Explication of the Importance of Organizational Supply Chains

Although every organization has one, far too many companies of all sizes and types fail to analyze their supply chain in order to identify opportunities for reducing input, warehouse and transportation costs and optimizing the delivery of products and services to end consumers. To help determine the facts, the purpose of this paper is to provide an overview of supply chains and why they are critically important for all organizations. Including a description of a value chain and the corresponding flow of structure, the type of inputs and outputs that are typically used in supply chains and a discussion concerning inventory points and forecasting. In addition, a description of sourcing activities and associated risks as well as the implications of locations and logistics are also provided. Finally, a summary of the research and important findings concerning the importance of organizational supply chains are presented in the conclusion.

Value chain and flow of structure

Created by Michael Porter during the 1990s, a value chain is used to describe the flow of structure from the beginning of a supply chain to the completed delivery of goods and/or services to end consumers, usually in a graphic fashion to facilitate the identification of the multiple discrete steps that are involved in the value chain process (Porter, 2019). It is important to note, though, that every value chain is different in some way depending on the type of enterprise and its primary organizational objectives, but the main focus of the value chain analysis is to help business practitioners determine at which points along the value chain a competitive advantage can be achieved and sustained over the long term (Porter, 2019).

In addition, Porter (2019) also advises that an organization’s overall value system comprehends the value chain along the entire supply chain continuum. In this regard, Porter (2019) reports that, “A company’s value chain is typically part of a larger value system that includes companies either upstream (suppliers) or downstream (distribution channels), or both. This perspective about how value is created forces managers to consider and see each activity not just as a cost, but as a step that has to add some increment of value to the finished product or service” (para. 4). In order to achieve this desirable outcome, companies must also precisely determine the requisite inputs that are…control and manage inventory and assets, and how to set up an efficient logistics network while minimizing cost and delivering top-notch customer service” (para. 2). Taken together, it is clear that the geographic location of upstream and downstream supply chain partners requires careful attention to the logistics that are involved, especially during unexpected occurrences such as the ongoing Covid-19 global pandemic which has severely disrupted global supply chains for the past several months.

Conclusion

Although it is conventional wisdom that armies march on their stomachs, the research showed that enterprises of all sizes and types also depend on their supply chains to achieve their organizational goals. The research also showed that an important component of supply chains is the associated value chain that is used to describe how value is added along the supply chain continuum using inputs to deliver outputs to end consumers. In addition, inventory points and accurate forecasting were also shown to be critical elements of the supply chain management process, together with ongoing sourcing efforts to identify optimal prices and vendors. Finally, complex supply chains invariably involve countless risks that are exacerbated to the extent that the supply chain network involves greater numbers of locations.…

Sources Used in Documents:

References

Baker, P. (2009, May 23). An exploratory framework of the role of inventory and warehousing in international supply chains. The International Journal of Logistics Management, 18(1), 37-41.

Carranza-Trinidad, R. G. & Valdivia-Flores, A. G. (2018). Supply chain: an input-output perspective. An example of application in the dairy products industry. International Journal of Supply Chain and Operations Resilience,3(3), 236-244.

Pontius, N. (2020, June 23). A definition and analysis of the challenges and benefits of supply chain logistics. Horizons. Retrieved from https://www.camcode.com/asset-tags/what-is-supply-chain-logistics/.

Porter, M. (2019). The value chain. Institute for Strategy and Competitiveness. Retrieved from https://www.isc.hbs.edu/strategy/business-strategy/Pages/the-value-chain.aspx.

Shashank, R. & Goldsby, T. J. (2009, May 22). Supply chain risks: A review and typology. The International Journal of Logistics Management, 20(1), 57-61.



Cite this Document:

"Importance Of Organizational Supply Chains" (2020, December 27) Retrieved May 8, 2021, from
https://www.paperdue.com/essay/importance-of-organizational-supply-chains-term-paper-2175925

"Importance Of Organizational Supply Chains" 27 December 2020. Web.8 May. 2021. <
https://www.paperdue.com/essay/importance-of-organizational-supply-chains-term-paper-2175925>

"Importance Of Organizational Supply Chains", 27 December 2020, Accessed.8 May. 2021,
https://www.paperdue.com/essay/importance-of-organizational-supply-chains-term-paper-2175925

Related Documents
Supply Chain
Words: 636 Length: 2 Pages Topic: Business Paper #: 12632411

Supply Chain There are several different attributes of supply chain management. Among them, some stand out as being more important than other. Key aspects of supply chain management include technology, communication/coordination, inventory control and bargaining power (EAUC, 2014). Bargaining power is important because it dictates the terms and conditions of the supply chain. If the buyer has more bargaining than the seller, then the terms will reflect more on the needs of

Supply Chain Management Systems Have
Words: 4633 Length: 16 Pages Topic: Business Paper #: 13039346

(Reza, 2009) This information is building off of the findings from Uthayakumar. This is illustrating how the two tier system can help to streamline operations. However, as time goes by these ideas will become obsolete. The reason why is because they are focusing on particular aspect of supply chain management (i.e. during emergencies and backlogs). Where is it is failing, is through understanding how this strategy could be used when

Supply Chain Integration
Words: 976 Length: 3 Pages Topic: Business Paper #: 43748845

Supply chain management (SCM) is a method for alleviating the way one company finds the raw materials and other components that it requires to produce a product or service and provide it to its customers. The five basic components of Supply Chain Management are planning, source, making, delivering and return. If supply chain standards are applied then the supply chain management could benefit from it a great deal and it

Supply Chain Management at Dimco the Supply
Words: 988 Length: 3 Pages Topic: Business Paper #: 13015252

Supply Chain Management at DIMCO The supply chain relates to the entire cycle and process through which raw materials are purchased, processed and developed in to goods and services which can be traded in the market. The management of such a process would involve creating improvements in the supply chain itself to make it more profitable and efficient for the company (Davis, 1993). Therefore the supply chain encompasses not only raw

Supply Chain Management in Fmcg Sector Fast
Words: 4046 Length: 10 Pages Topic: Business Paper #: 93110182

Supply chain management in FMCG sector Fast Moving Consumer Goods (FMCG) Managing supply of FMCGs Demand and Supply Distribution Channel Traditional channel of FMCGs distribution National Vs Global Presence Products and Services Supply chain opportunities Usage of Supply Chain Management Business development Business performance Cost reduction Revenue Increase Inventory management Overall Business Performance Competitive advantage Future trends Issues in global supply chain management: FMCG sector Multi-channel Supply Chain Management Individual Tagging The FMCG sector is represented as manufacturers and distributors of packaged products. They are also coupled with mega retail brands

Supply Chain Ann Supply Chain Management Annotated
Words: 1352 Length: 3 Pages Topic: Business Paper #: 48600224

Supply Chain Ann Supply Chain Management Annotated Bibliography Chopra, S., & Meindl, P. (2010). Supply chain management: Strategy, planning and operation (4th ed.).Upper Saddle River, NJ: Prentice Hall The text by Chopra & Meindl (2010) is an excellent starting point for this discussion, primarily because it serves as a rather exhaustive introductory reading on the subject. Providing academic explanation of the basic premise of supply chain management and an extensive investigation of the