Supply Chain Management Strategies

Mentzer et al. (Ballou, 2004), "Supply Chain Management (SCM) is defined as a systematic strategic coordination of traditional business functions, as well as strategies for these business functions within specific enterprises and supply chains Improve the long-term performance of individual companies and supply chains (page 5). To build efficient and successful supply chain management, an efficient and successful supply chain management system consists of five basic Elements must be taken into account and adopted.

Supply chain management strategy has become a modern part of the company's strategy. Success depends on the practice of that supply chain management and related strategies. The globalization of the company has had a great impact on the way the company operates. As such, partners need to integrate global manufacturing, logistics capabilities, global manufacturing, logistics capabilities, supply chain management strategies, and their philosophy and partners. A traditional internal focus strategy to achieve common goals of efficiency, speed, and ultimate customer satisfaction. Supply chain assessment and performance assessment systems are, unlike traditional measures to prevent ongoing improvements, the most important factor to turn supply strategies into action.

Organizations use the supply chain approach to manage operations and minimize costs. Supply chain strategies are often intertwined with supply chain management, but supply chain strategies are wider than other strategies and should be properly managed to compete in the market. The strategy performed is the process of evaluating the cost and benefits an organization can obtain through its operations. The goal of developing most business strategies is to compete effectively while achieving the goals of the organization. Because the analysis and decision making process is included, this idea applies to the implementation of the supply chain strategy.

The competitive advantage of the organization is based on a sustainable, well organized and implemented supply chain management strategy. It is mainly because it is related to the management philosophy that supply chain management is difficult to achieve completely by all businesses or groups of companies, or that it is a success factor that the supply network can enjoy with other supplies It can not be transferred to chain management. You can expect the same level of performance. Therefore, according to the competitive advantage of Ross, it promotes the synchronization of business processes, shares the core competitiveness of risk and cost, utilizes the lack of today's product lifecycle, shortens the time to market , Belongs to supply chain and integrated infrastructure that can predict with new prospects. . Competitive leadership (Ross 1998) The supply chain is part of the organization's competitive advantage