Answer:
Explanation:
The supply chain or logistics network is the name given to the entire system of organizations, people, technology, activities, and resources within the process that encompass the movement (s) of the product (s) or service (s) from the supplier to the customer. In the process of supply chain activities, natural resources, raw materials and components are turned into final products and delivered to the end customer. Theoretically, in the supply chain system, used products can re-enter the supply chain at any point where residual value recycling is appropriate. Supply chains are linked to value chains. Typically, the supply chain begins with environmental and biological regulation of natural resources, continues with human extraction of raw materials, and includes many production rings (eg part configuration, assembly, and assembly) before storage, remote geographic locations and finally reaching the customer. Many of the changes in the supply chain occur between different companies. These companies strive to maximize their income among companies of the same class, but they do not know much about other players in the supply chains. Recently, this loosely matched, self-organizing business network, collaborating to provide services and products, has become known as "Enlarged Enterprise".
Supply chain integration focuses on two key issues (compliance and communication) both within the organization and between organizations.
1. Alignment refers to shared vision, goals, goals and objectives between organizations, functions and processes within the supply chain. Alignment provides consistency in direction and objectives when making these plans and decisions.
2. Connection means the transfer and sharing of information that is involved in planning and decision-making and is required for planning and decision-making. The connection ensures the availability of information required for decision-making and the different functions and assets in the supply chain work with the same information as the decisions made.
3. Supply chain alignment and connection do not occur in vacuum. Supply chain management is part of a wider business administration and should support a wider business strategy.
4. The Business Strategy defines how a company plans to compete in the markets or market segments it pursues. Generally, a firm can compete for a lower price or by differentiation. Supply chains can contribute significantly to both goals. However, different business strategies can best be supported by different supply chains and supply chain management decisions. A business strategy based on innovation speed and fast market time will require a different supplier network than a strategy based on low costs, different production infrastructure and different distribution infrastructure. For this reason, it is very important that the strategies followed and the decisions of the supply chain team are consistent and consistent with the overall business strategy.
