Disappointed from regular unsuccessful business planning, join Moving Softwares’ Community today and enhance your business with its advance and fabulous business tricks. Example: If you deal any client, organization, or individual with realistic and reliable ways they will discuss it with their partners and business friends. They will come to you whenever required and concern it with some others also. It will work for your business like a Supply Chain. And that supply chain impacts almost every other business function. And Many More…
But if you want to continue with supply chain then you should know first what supply chains are and supply chain management? Supply Chain Management isn’t just the management of products — it’s also the management of information, time and money.
What Role Logistics Plays In Supply Chain
Logistics and supply chain aren’t the same things. Logistics is the management of the movement of goods whereas supply chain management covers the many other areas we’re discussing here.
But logistics is a part of supply chain and that means whoever manages your supply chain will be responsible for managing freight forwarders, shipping companies, parcel delivery companies, customs brokers and third party logistics providers.
Logistics providers should be managed in the same way that you manage your suppliers. Costs and contracts can be negotiated. You can source freight forwarders the same way you would source suppliers of the products you need.
Shipping and warehousing costs can be one of the largest expenses in your supply chain and its critical that your logistics providers are measured and managed to control those costs.
Issuing an RFQ, choosing the lowest priced supplier and cutting a purchase order does not constitute strategic supply chain management — although it’s important for the day-to-day operations of your company.
Buyers and purchasing managers can grow into supply chain professionals, but it takes an understanding that the transactional activity of purchasing is only a small slice of what supply chain management is.
Customer Service: Customer service functions as the voice of the customer at your company. What shipping method does your customer want? What size boxes do you need to pack your product in and how many units per pack? Those answers can be driven by your customer, especially if your customer is a big box retailer.
There is not better team positioned to drive your company to deliver what your customers want, when your customers want it — than your customer service team. And since on-time delivery — both inbound and outbound — is one of the primary functions of supply chain management, customer service belongs in supply chain.
Accuracy: Accuracy is one of the most critical elements of valuing a company. Your supply chain management team should be able to reach the consignment to its destination with proper time and safety.