Supply chain is often misunderstood as segments of supply chain, such as logistics or materials or procurement. Supply chain actually encompasses the processes, decisions, controls, and relationships that support production and distribution of goods and services that meet the cost, quality, and timing needed to achieve specific company goals.

Below is a simple graphic that demonstrates a traditional supply chain model.

Successful supply chains rely on accurate data and strategic goals to develop a cross-functional plan, called SIOP (Sales Inventory and Operations Planning). A robust plan supports sales and marketing targets, ensures material and service supply, and drives a streamlined production schedule that maximizes efficiencies.

Copyright 2019 – all material is the property of FX Force Multipliers unless specifically noted and may not be duplicated without prior written permission