Logistics :

• Inventory
• Supply Chain
• Transportation
• Warehousing

How Supply Chain Management Decisions Impact Customer Values

      Supply chain management is essential for every business at some or the other point of time in their business cycle in order to cut costs and also ensure prompt delivery of their goods. It is the ultimate key for customer satisfaction also. More..

There is risk involved in any aspect of business and the same is also true for supply chain. The major risk with supply chain, whether it is government organized or privately organized, is the delays that can cause huge business losses. The supply chain typically increases the dependency of the production and manufacturing units on one set of concentrated services.

If the supply chain breaks down, then the business that is dependent on it can run into huge losses. Several areas of a particular business can depend on one single process of supply chain and this may include transportation, logistics, supply, distribution and even service. If the supply chain breaks down as a whole unit, then a single large business which encompasses all these areas of business into one business which is the end product can breaks down creating huge deficits and losses.

However, it has never happened that a whole supply chain would ever break down. Small problems can arise in the network causing a disruption in the cycle of business but nothing major has happened until now in the history of supply chain. 

With a supply chain the risk is that a business cannot spread its risks. Even though the supply chain model serves as a one point solution and cuts costs, it does not spread costs. A supply chain follows a standard business cycle and if there is a drastic change to the business cycle, then the supply chain can go haywire. Like any other concept even the supply chain concept has its disadvantages along with the advantages.

More Articles :

• California Supply Chain Technology
• Concentrated Cluster And Supply Chain Management
• Government Supply Chain Risk Management
• How Supply Chain Management Decisions Impact Customer Values
• Importance Of Trust In Supply Chain Management
• Should Strategic Sourcing Be In The Supply Chain
• Supply Chain And Safety Role
• Supply Chain Management Problem Case Study
• Supply Chain Risk Manangment
• Supply Chains And The Componenets