View source for Supply chain management

{{Short description|Management of the flow of goods and services}}
{{for|the journal|Supply Chain Management (journal)}}
{{broader|Supply chain}}
{{Business administration}}
{{Business logistics}} 
[[File:Supply and demand network (en).svg|thumb|400px|Supply chain management field of operations: complex and dynamic supply and demand networks<ref name="Wieland-Wallenburg">cf. Andreas Wieland, Carl Marcus Wallenburg (2011): ''Supply-Chain-Management in stürmischen Zeiten''. Berlin.</ref> (cf. Wieland/Wallenburg, 2011)]]
[[File:Supply and demand-stacked4.png|thumb|400px|In an efficient supply chain, agreements are aligned.]]

In [[commerce]], '''supply chain management''' ('''SCM''') deals with a system of [[procurement]] (purchasing raw materials/components), [[operations management]], [[logistics]] and [[marketing channel]]s, through which [[raw material]]s can be developed into finished products and delivered to their [[end user|end customers]].<ref>{{Cite journal|url=https://www.researchgate.net/publication/276212454|last=Kozlenkova|first=Irina |display-authors=etal |volume=91|issue=4|pages=586–609|access-date=28 September 2016|doi=10.1016/j.jretai.2015.03.003|year=2015|title=The Role of Marketing Channels in Supply Chain Management|journal=Journal of Retailing}}</ref><ref name="Ghiani 2004">{{cite book |last1=Ghiani |first1=Gianpaolo |last2=Laporte |first2=Gilbert |last3=Musmanno |first3=Roberto |title=Introduction to Logistics Systems Planning and Control |date=2004 |publisher=John Wiley & Sons |isbn=9780470849170 |page=3-4 |url=https://books.google.com/books?id=KudTAAAAMAAJ |access-date=8 January 2023}}</ref> A more narrow definition of supply chain management is the "design, planning, execution, control, and monitoring of supply chain activities with the objective of creating net value, building a competitive infrastructure, leveraging worldwide logistics, synchronising supply with demand and measuring performance globally".<ref>Cornell Engineering, [https://www.orie.cornell.edu/supply-chain Supply Chain], School of Operations Research and Information Engineering, accessed 27 March 2021</ref><ref>
{{cite web
| url= http://www.apics.org/dictionary/dictionary-information?ID=4202
| title= Supply chain management (SCM)|publisher= APICS Dictionary
| access-date= 2016-07-19
| quote = supply chain management[:] The design, planning, execution, control, and monitoring of supply chain activities with the objective of creating net value, building a competitive infrastructure, leveraging worldwide logistics, synchronizing supply with demand, and measuring performance globally.
}}</ref> This can include the movement and storage of [[raw material]]s, [[work in process|work-in-process inventory]], finished goods, and end to end order fulfilment from the point of origin to the point of consumption. Interconnected, interrelated or interlinked networks, [[marketing channel|channels]] and node businesses combine in the provision of [[Product (business)|products]] and [[Service (economics)|services]] required by end customers in a [[supply chain]].<ref>Harland, C.M. (1996) Supply Chain Management, Purchasing and Supply Management, Logistics, Vertical Integration, Materials Management and Supply Chain Dynamics. In: Slack, N (ed.) Blackwell Encyclopedic Dictionary of Operations Management. UK: Blackwell.</ref>

SCM is the broad range of activities required to plan, control and execute a product's flow from materials to production to distribution in the most economical way possible. SCM encompasses the integrated planning and execution of processes required to optimize the flow of materials, information and capital in functions that broadly include demand planning, sourcing, production, inventory management and logistics—or storage and transportation.<ref>{{Cite web |title=What is Supply Chain Management (SCM)? – Definition from WhatIs.com |url=https://searcherp.techtarget.com/definition/supply-chain-management-SCM |access-date=2020-11-01 |website=SearchERP |language=en}}</ref>

Supply chain management strives for an integrated, multidisciplinary, multimethod approach.<ref>{{Cite journal|last1=Sanders|first1=Nada R.|last2=Wagner|first2=Stephan M.|date=2011-12-01|title=Multidisciplinary and Multimethod Research for Addressing Contemporary Supply Chain Challenges: Multidisciplinary and Multimethod Research|url=https://onlinelibrary.wiley.com/doi/10.1111/j.0000-0000.2011.01027.x|journal=Journal of Business Logistics|language=en|volume=32|issue=4|pages=317–323|doi=10.1111/j.0000-0000.2011.01027.x|url-access=subscription}}</ref> Current {{when|date=March 2021}} research in supply chain management is concerned with topics related to [[Resilience (engineering and construction)|resilience]], [[sustainability]], and [[risk management]],<ref>{{Cite journal|last=Lam|first=Hugo K.S.|date=2018-08-03|title=Doing good across organizational boundaries: Sustainable supply chain practices and firms' financial risk|journal=International Journal of Operations & Production Management|language=en|volume=38|issue=12|pages=2389–2412|doi=10.1108/ijopm-02-2018-0056|issn=0144-3577|doi-access=free}}</ref> among others. Some suggest that the "people dimension" of SCM, ethical issues, internal integration, transparency/visibility, and human capital/talent management are topics that have, so far, been underrepresented on the research agenda.<ref>{{Cite journal|last1=Wieland|first1=Andreas|last2=Handfield|first2=Robert B.|last3=Durach|first3=Christian F.|date=2016-08-04|title=Mapping the Landscape of Future Research Themes in Supply Chain Management|journal=Journal of Business Logistics|volume=37|issue=3|pages=205–212|doi=10.1111/jbl.12131|issn=0735-3766|hdl=10398/d2654c3f-4303-4399-81d2-9d3a89fe79dc|url=https://research-api.cbs.dk/ws/files/45061016/andreas_wieland_mapping_the_landscape_postprint.pdf|hdl-access=free}}</ref>

==Mission==
Supply chain management, techniques with the aim of coordinating all parts of SC, from supplying raw materials to delivering and/or resumption of products, tries to minimize total costs with respect to existing conflicts among the chain partners. An example of these conflicts is the interrelation between the sale department desiring to have higher inventory levels to fulfill demands and the [[warehouse]] for which lower inventories are desired to reduce [[holding cost]]s.<ref>{{Cite journal|date=2016-08-01|title=Optimizing an inventory model with fuzzy demand, backordering, and discount using a hybrid imperialist competitive algorithm|journal=Applied Mathematical Modelling|language=en|volume=40|issue=15–16|pages=7318–7335|doi=10.1016/j.apm.2016.03.013|issn=0307-904X|last1=Sadeghi|first1=Javad|last2=Mousavi|first2=Seyed Mohsen|last3=Niaki|first3=Seyed Taghi Akhavan|doi-access=free}}</ref>

==Origin of the term and definitions==
In 1982, [[Keith Oliver]], a consultant at [[Booz Allen Hamilton]], introduced the term "supply chain management" to the public domain in an interview for the [[Financial Times]].<ref name="handfield" /> In 1983 [[Wirtschaftswoche|WirtschaftsWoche]] in Germany published for the first time the results of an implemented and so called "Supply Chain Management project", led by [[Wolfgang Partsch]].<ref>{{Cite news|url=https://archiv.wiwo.de/dosearch?explicitSearch=true&q=wolfgang+partsch&x=0&y=0&dbShortcut=%3A5%3A46%3AALLEQUELLEN-1_%3A5%3A46%3AALLEQUELLEN&searchMask=7009&TI%2CUT%2CDZ%2CBT%2COT%2CSL=&KO%2CRU=&AU=&CO%2CC2%2CTA%2CKA%2CVA%2CZ1=&MM%2COW%2CUF%2CMF%2CAO%2CTP%2CVM%2CNN%2CNJ%2CKV%2CZ2=&CT=&CT%2CDE%2CZ4%2CKW=&BR%2CGW%2CN1%2CN2%2CNC%2CND%2CSC%2CWZ%2CZ5%2CAI%2CBC%2CKN%2CTN%2CVN%2CK0%2CB4%2CNW%2CVH=&Z3%2CCN%2CCE%2CKC%2CTC%2CVC=&DT_from=&DT_to=&timeFilterType=selected&timeFilter=NONE|title=Der Weg zur Integration|last=Dr. Burkhardt|first=Rainer|date=1982|work=WirtschaftsWoche}}</ref>

In the mid-1990s, the term "supply chain management" gained popularity when a flurry of articles and books came out on the subject. Supply chains were originally defined as encompassing all activities associated with the flow and transformation of goods from raw materials through to the end user or final [[consumer]], as well as the associated information flows. [[John Thomas Mentzer|Mentzer]] ''et al.'' consider it worthy of note that the final consumer was included within these early definitions.<ref name=mentzer />{{rp|2}} Supply chain management was then further defined as the integration of supply chain activities through improved supply chain relationships to achieve a competitive advantage.<ref name="handfield">{{cite book |url=http://www.mypearsonstore.com/bookstore/introduction-to-supply-chain-management-9780136216162 |author1=Robert B. Handfield |author2=Ernest L. Nichols |title=Introduction to Supply Chain Management|date=1999|publisher=Prentice-Hall|location=New York|isbn=0-13-621616-1|page=2}}</ref>

In the late 1990s, "supply chain management" (SCM) rose to prominence, and operations managers began to use it in their titles with increasing regularity.<ref>David Jacoby (2009), Guide to Supply Chain Management: How Getting it Right Boosts Corporate Performance (The Economist Books), Bloomberg Press; 1st edition, {{ISBN|978-1576603451}}</ref><ref>Andrew Feller, Dan Shunk, & Tom Callarman (2006). BPTrends, March 2006 - Value Chains Vs. Supply Chains</ref><ref>Blanchard, D., (2010), ''Supply Chain Management Best Practices'', 2nd. Edition, John Wiley & Sons, {{ISBN|9780470531884}}</ref> A supply chain, as opposed to supply chain management, is a set of firms who move materials "forward",<ref name=masters /> or a set of organizations, directly linked by one or more upstream and downstream flows of products, services, finances, or information from a source to a customer. Supply chain management is the management of such a chain.<ref name=mentzer />

Other commonly accepted definitions of supply chain management include:
* The management of upstream and downstream value-added flows of materials, final goods, and related information among suppliers, company, [[reseller]]s, and final consumers.<ref>Nabil Abu el Ata, Rudolf Schmandt (2016), The Tyranny of Uncertainty, Springer, {{ISBN|978-3662491041}}</ref>
* The systematic, strategic coordination of traditional business functions and tactics across all business functions within a particular company and across businesses within the supply chain, for the purposes of improving the long-term performance of the individual companies and the supply chain as a whole.<ref name=mentzer>{{cite journal | last1 = Mentzer | first1 = J.T. | display-authors = etal | year = 2001 | title = Defining Supply Chain Management | journal = [[Journal of Business Logistics]] | volume = 22 | issue = 2| pages = 1–25 | doi=10.1002/j.2158-1592.2001.tb00001.x}}</ref>
* A customer-focused definition is given by Hines (2004:p76): "Supply chain strategies require a total systems view of the links in the chain that work together efficiently to create customer satisfaction at the end point of delivery to the consumer. As a consequence, costs must be lowered throughout the chain by driving out unnecessary expenses, movements, and handling. The main focus is turned to efficiency and added value, or the end user's perception of value. Efficiency must be increased, and bottlenecks removed. The measurement of performance focuses on total system efficiency and the equitable monetary reward distribution to those within the supply chain. The supply chain system must be responsive to customer requirements."<ref name="Hines2014">{{cite book|author=Tony Hines|title=Supply Chain Strategies: Demand Driven and Customer Focused|url=https://books.google.com/books?id=uPDGBQAAQBAJ|date=10 January 2014|publisher=Taylor & Francis|isbn=978-1-136-70396-6}}</ref>
* The integration of key business processes across the supply chain for the purpose of creating value for customers and stakeholders.<ref>Lambert, 2008 {{full citation needed|date=February 2019}}</ref><ref name=Cooper1997>Cooper, M.C., Lambert, D.M., & Pagh, J. (1997) Supply Chain Management: More Than a New Name for Logistics. The International Journal of Logistics Management Vol 8, Iss 1, pp 1–14</ref>
* According to the Council of Supply Chain Management Professionals (CSCMP), supply chain management encompasses the planning and management of all activities involved in [[Strategic sourcing|sourcing]], procurement, conversion, and [[logistics management]]. It also includes coordination and collaboration with [[channel partner]]s, which may be [[suppliers]], [[intermediaries]], third-party service providers, or [[customers]].<ref name="Kozlenkova 586–609">{{Cite journal |last1=Kozlenkova |first1=Irina V. |last2=Hult |first2=G. Tomas M. |last3=Lund |first3=Donald J. |last4=Mena |first4=Jeannette A. |last5=Kekec |first5=Pinar |date=2015-05-12 |title=The Role of Marketing Channels in Supply Chain Management |url=https://www.researchgate.net/publication/276212454 |journal=Journal of Retailing |volume=91 |issue=4 |pages=586–609 |doi=10.1016/j.jretai.2015.03.003 |issn=0022-4359}}</ref> Supply chain management integrates [[supply and demand]] management within and across companies. More recently, the loosely coupled, self-organizing network of businesses that cooperate to provide product and service offerings has been called the ''[[Extended Enterprise]]''.{{citation needed|date=June 2017}}

Mentzer ''et al.'' make a further distinction between "supply chain management" and a "supply chain orientation". The latter term involves a recognition that a business strategy cannot be fulfilled without managing the activities of suppliers and customers upstream and downstream, whereas the former term is used for "the actual implementation of this orientation".<ref name=mentzer />

{{anchor|Supply chain visibility}}'''Supply chain visibility''', in its origins, was concerned with knowledge of the location, production stage and expected delivery date of incoming products and materials, so that production could be planned,<ref>Blanchard, D., [https://www.industryweek.com/supply-chain/article/21964859/predictive-analytics-let-manufacturers-see-more-clearly-into-their-supply-chains Predictive Analytics Let Manufacturers See More Clearly into their Supply Chains], ''IndustryWeek'', published 27 March 2015, accessed 29 November 2022</ref> but the development of the term has enabled it to be used to plan orders using knowledge of potential supplies, and to track post-production processes as far as delivery to customers.<ref>Biel, J., [https://www.netsuite.com/portal/resource/articles/erp/supply-chain-visibility.shtml What Is Supply Chain Visibility (SCV)? Definition & Examples], ''Oracle Netsuite'', published 16 December 2021, accessed 29 November 2022</ref> The [[UK Government]] also uses the term "supply chain visibility" in conjunction with its mandate to ensure that potential suppliers have visibility into future supply opportunities. The government's action note on supply chain visibility covers obligations and appropriate contractual wording requiring prime suppliers to advertise [[sub-contracting]] opportunities and to report on their spend with [[small and medium-sized enterprises]] and voluntary/community organisations within their supply chains.<ref>[[Crown Commercial Service]], [https://www.gov.uk/government/publications/procurement-policy-note-0118-supply-chain-visibility Procurement Policy Note 01/18: Supply Chain Visibility], published on 10 April 2018, accessed on 12 April 2025</ref>

[[Supply chain management software]] includes tools or modules used to execute supply chain transactions, manage supplier relationships, and control associated business processes.<ref name=":0">{{Cite web|date=2021-10-28|title=What is supply chain management (SCM)? Mastering logistics end to end|url=https://www.cio.com/article/2439493/what-is-supply-chain-management-mastering-logistics-end-to-end.html|access-date=2021-12-09|website=CIO|language=en}}</ref> The overall goal of the software is to improve supply chain performance by monitoring a company's supply chain network from end-to-end (suppliers, transporters, returns, warehouses, retailers, manufacturers, and customers).<ref name=":0" />

In some cases, a supply chain includes the collection of goods after consumer use for recycling or the [[reverse logistics]] processes for returning faulty or unwanted products back to producers up the value chain.<ref>{{Cite web |last=c3controls |title=What is Reverse Logistics? |url=https://www.c3controls.com/white-paper/what-is-reverse-logistics/ |access-date=2022-07-02 |website=v2 |language=en-US}}</ref>

==Functions==
Supply chain management is a cross-functional approach that includes managing the movement of raw materials into an organization, certain aspects of the internal processing of materials into finished goods, and the movement of finished goods out of the organization and toward the end consumer. As organizations strive to focus on core competencies and become more flexible, they reduce ownership of raw materials sources and distribution channels. These functions are increasingly being outsourced to other firms that can perform the activities better or more cost effectively. The effect is to increase the number of organizations involved in satisfying customer demand, while reducing managerial control of daily logistics operations. Less control and more supply chain partners lead to the creation of the concept of supply chain management.<ref>{{Cite journal |last1=Kouhizadeh |first1=Mahtab |last2=Sarkis |first2=Joseph |date=2018-10-12 |title=Blockchain Practices, Potentials, and Perspectives in Greening Supply Chains |journal=Sustainability |language=en |volume=10 |issue=10 |pages=3652 |doi=10.3390/su10103652 |issn=2071-1050|doi-access=free |bibcode=2018Sust...10.3652K }}</ref> Supply chain management is concerned with improving trust and collaboration among supply chain partners, thus improving inventory visibility and the [[velocity]] of inventory movement.<ref>{{Cite web |title=Trust, commitment and relationships in supply chain management: A path analysis |url=https://www.researchgate.net/publication/235302628}}</ref><ref>{{Cite book|last1=Hemold|first1=Marc|title=Global Sourcing and Supply Management Excellence in China: Procurement Guide for Supply Experts|last2=Terry|first2=Brian|publisher=Springer|year=2016|pages=30}}</ref>

==Importance==
Organizations increasingly find that they must rely on effective supply chains, or networks, to compete in the global market and networked economy.<ref>Baziotopoulos, 2004 {{full citation needed|date=February 2019}}</ref> In [[Peter Drucker]]'s (1998) new management paradigms, this concept of business relationships extends beyond traditional enterprise boundaries and seeks to organize entire business processes throughout a value chain of multiple companies. According to Drucker, "the greatest change in corporate culture—and the way business is being conducted—may be the accelerated growth of relationships based not on ownership, but on partnership."<ref name=":1">{{Cite web |last1=Greenlaw |first1=Steven A. |last2=Shapiro |first2=David |last3=MacDonald |first3=Daniel |date=2022-12-14 |title=Ch. 1 Introduction - Principles of Economics 3e {{!}} OpenStax |url=https://openstax.org/books/principles-economics-3e/pages/1-introduction |access-date=2024-07-23 |website=openstax.org |language=English}}</ref> This approach allows companies to leverage the strengths and capabilities of various partners to achieve greater efficiency and innovation, ultimately enhancing overall business performance.<ref name=":1" /><ref name=":2">{{Cite web |url=https://www.ascm.org/cscp-certification/ |access-date=2024-07-23 |website=www.ascm.org}}</ref>

In recent decades, globalization, outsourcing, and information technology have enabled many organizations, such as [[Dell]] and [[Hewlett-Packard]], to successfully operate collaborative supply networks in which each specialized business partner focuses on only a few key strategic activities.<ref>Scott, 1993 {{full citation needed|date=February 2019}}</ref> This inter-organizational supply network can be acknowledged as a new form of organization. However, with the complicated interactions among the players, the network structure fits neither "market" nor "hierarchy" categories.<ref>Powell, 1990 {{full citation needed|date=February 2019}}</ref> It is not clear what kind of performance impacts different supply-network structures could have on firms, and little is known about the coordination conditions and trade-offs that may exist among the players. From a systems perspective, a complex network structure can be decomposed into individual component firms.<ref name="ReferenceA">Zhang and Dilts, 2004 {{full citation needed|date=February 2019}}</ref> Traditionally, companies in a supply network concentrate on the inputs and outputs of the processes, with little concern for the internal management working of other individual players. Therefore, the choice of an internal management control structure is known to impact local firm performance.<ref>Mintzberg, 1979 {{full citation needed|date=February 2019}}</ref>

In the 21st century, changes in the business environment have contributed to the development of supply chain networks. First, as an outcome of globalization and the proliferation of multinational companies, joint ventures, [[strategic alliance]]s, and business partnerships, significant success factors were identified, complementing the earlier "[[Just In Time (business)|just-in-time]]", [[lean manufacturing]], and [[agile manufacturing]] practices.<ref>MacDuffie and Helper, 1997 {{full citation needed|date=February 2019}}</ref><ref>Monden, 1993 {{full citation needed|date=February 2019}}</ref><ref>Womack and Jones, 1996 {{full citation needed|date=February 2019}}</ref><ref>Gunasekaran, 1999 {{full citation needed|date=February 2019}}</ref> Second, technological changes, particularly the dramatic fall in communication costs (a significant component of transaction costs), have led to changes in coordination among the members of the supply chain network.<ref>Coase, 1998 {{full citation needed|date=February 2019}}</ref>

Many researchers have recognized supply network structures as a new organizational form, using terms such as "[[Keiretsu]]", "Extended Enterprise", "virtual supply chain",<ref>Knowledge @ Wharton staff writers, [https://knowledge.wharton.upenn.edu/article/supply-chain-management-growing-global-complexity-drives-companies-into-the-cloud/ Supply-chain Management: Growing Global Complexity Drives Companies into the 'Cloud'], published 12 January 2011, accessed 19 June 2024</ref> "[[Global Production Network]]", and "Next Generation Manufacturing System".<ref>Drucker, 1998 {{full citation needed|date=February 2019}}</ref><ref>Tapscott, 1996 {{full citation needed|date=February 2019}}</ref><ref>Dilts, 1999 {{full citation needed|date=February 2019}}</ref> In general, such a structure can be defined as "a group of semi-independent organizations, each with their capabilities, which collaborate in ever-changing constellations to serve one or more markets in order to achieve some business goal specific to that collaboration".<ref>Akkermans, 2001 {{full citation needed|date=February 2019}}</ref>

The importance of supply chain management proved crucial in the 2019-2020 fight against the coronavirus (COVID-19) pandemic that swept across the world.<ref>{{cite web |last1=Saad |first1=Anne |title=Importance of Supply Chain Management |url=https://mydigitalnews.in/supply-chain-management-is-it-important-for-your-business |website=mydigitalnews.in/ |date=24 November 2022 |publisher=Cargoes By DP World |access-date=26 November 2022}}</ref> During the pandemic period, governments in countries which had in place effective domestic supply chain management had enough medical supplies to support their needs and enough to donate their surplus to front-line health workers in other jurisdictions.<ref>{{Cite web|url=https://calgaryherald.com/news/alberta-to-donate-ppe-ventilators-to-other-provinces-amid-hopeful-covid-19-trends|title=COVID-19: Alberta to donate PPE, ventilators to other provinces {{!}} National Post|last1=News|last2=Canada|work=calgaryherald |date=2020-04-12|language=en-CA|access-date=2020-04-13}}</ref><ref>{{Cite web|url=https://www.insidelogistics.ca/covid-19/alberta-sharing-ppe-with-other-provinces-158850/|title=Alberta sharing PPE with other provinces|last=Staff-56|first=Inside Logistics Online|date=2020-04-13|website=Inside Logistics|language=en-US|access-date=2020-04-13}}</ref><ref>{{Cite web|url=https://www.fda.gov/news-events/press-announcements/coronavirus-covid-19-supply-chain-update|title=Coronavirus (COVID-19) Supply Chain Update|last=Commissioner|first=Office of the|date=2020-03-27|website=FDA|language=en|access-date=2020-04-13}}{{dead link|date=May 2025|bot=medic}}{{cbignore|bot=medic}}</ref> The devastating COVID-19 crisis in US has turned many sectors of the local economy upside down, including the country's storied logistics industry. Some organizations were able to quickly develop foreign supply chains in order to import much needed medical supplies.<ref>{{Cite web|url=https://www.cbc.ca/news/politics/canada-building-own-ppe-supply-chain-in-china-1.5530259|title=Canada building its own PPE supply chain in China|date=2020-04-13|website=CBC News}}</ref><ref>{{Cite web|url=https://www.insidelogistics.ca/features/keeping-up-how-to-keep-your-dc-moving-during-the-pandemic/|title=Keeping up: How to keep your DC moving during the pandemic|last=Atkins-80|first=Emily|date=2020-04-03|website=Inside Logistics|language=en-US|access-date=2020-04-13}}</ref><ref>{{Cite web|url=https://european.economicblogs.org/bruegel/2020/garc%c3%ada-herrero-epidemic-tests-china-supply-chain-dominance|title=Epidemic tests China's supply chain dominance|last=García-Herrero|first=Alicia|date=2020-02-17|website=European|language=en-US|access-date=2020-04-13|archive-date=2020-09-30|archive-url=https://web.archive.org/web/20200930080315/https://european.economicblogs.org/bruegel/2020/garc%C3%ADa-herrero-epidemic-tests-china-supply-chain-dominance|url-status=dead}}</ref>

Supply chain management is also important for organizational learning. Firms with geographically more extensive supply chains connecting diverse trading cliques tend to become more innovative and productive.<ref>{{cite journal |last1=Todo |first1=Y. |last2=Matous |first2=P. |last3=Inoue |first3=H. |date=11 July 2016 |title=The strength of long ties and the weakness of strong ties: Knowledge diffusion through supply chain networks |journal=Research Policy |volume= 45|issue= 9|pages=1890–1906 |doi=10.1016/j.respol.2016.06.008 |url=https://www.rieti.go.jp/jp/publications/dp/15e034.pdf |doi-access=free }}</ref>

The security-management system for supply chains is described in ISO/IEC 28000 and ISO/IEC 28001 and related standards published jointly by the [[International Organization for Standardization|ISO]] and the [[International Electrotechnical Commission|IEC]]. Supply Chain Management draws heavily from the areas of operations management, logistics, procurement, and information technology, and strives for an integrated approach.

== Supply chain resilience ==
An important element of SCM is [[supply chain resilience]], defined as "the capacity of a supply chain to persist, adapt, or transform in the face of change".<ref name="wieldura">{{Cite journal|last1=Wieland|first1=Andreas|last2=Durach|first2=Christian F.|date=2021|title=Two perspectives on supply chain resilience|journal=Journal of Business Logistics|volume=42|issue=3|pages=315–322|doi=10.1111/jbl.12271|s2cid=233812114|issn=2158-1592|doi-access=free}}</ref> For a long time, the interpretation of resilience in the sense of [[engineering resilience]] (= robustness<ref>{{Cite journal|last1=Durach|first1=Christian F.|last2=Wieland|first2=Andreas|last3=Machuca|first3=Jose A. D.|date=2015|title=Antecedents and dimensions of supply chain robustness: a systematic literature review|journal=International Journal of Physical Distribution & Logistics Management|volume=45|pages=118–137|language=en|doi=10.1108/IJPDLM-05-2013-0133|issn=0960-0035|hdl=10398/9123|s2cid=9820553 |url=https://research.cbs.dk/en/publications/d140c008-3b7b-4f51-a59c-14eb262eb441|hdl-access=free}}</ref>) prevailed in supply chain management, leading to the notion of ''persistence''.<ref name="wieldura" /> A popular implementation of this idea is given by measuring the ''time-to-survive'' and the ''time-to-recover'' of the supply chain, allowing to identify weak points in the system.<ref>Simchi‐Levi, D., Wang, H., & Wei, Y. (2018). Increasing supply chain robustness through process flexibility and inventory. Production and Operations Management, 27(8), 1476-1491.</ref> The APICS Certified Supply Chain Professional (CSCP) program emphasizes the importance of managing risks and enhancing resilience. According to APICS, in order to manage global interruptions and preserve operational continuity, a robust supply chain is vital.<ref name=":2" />

More recently, the interpretations of resilience in the sense of [[ecological resilience]] and [[social–ecological resilience]] have led to the notions of ''adaptation'' and ''transformation'', respectively.<ref name="wieldura" /> A supply chain is thus interpreted as a [[social-ecological system]] that – similar to an ecosystem (e.g. forest) – is able to constantly adapt to external environmental conditions and – through the presence of social actors and their ability to foresight – also to transform itself into a fundamentally new system.<ref name="wiel2021">{{Cite journal|last1=Wieland|first1=Andreas|date=2021|title=Two perspectives on supply chain resilience|journal=Journal of Supply Chain Management|volume=57|issue=1|pages=58–73 |doi=10.1111/jscm.12248|issn=1745-493X|doi-access=free|pmc=7753537}}</ref> This leads to a [[panarchy (ecology)|panarchical]] interpretation of a supply chain, embedding it into a [[system of systems]], allowing to analyze the interactions of the supply chain with systems that operate at other levels (e.g. society, political economy, planet Earth).<ref name="wiel2021" />

For example, these three components of resilience can be discussed for the [[2021 Suez Canal obstruction]], when a ship blocked the canal for several days. Persistence means to "bounce back"; in our example it is about removing the ship as quickly as possible to allow "normal" operations. Adaptation means to accept that the system has reached a "new normal" state and to act accordingly; here, this can be implemented by redirecting ships around the African cape or use alternative modes of transport. Finally, transformation means to question the assumptions of globalization, outsourcing and linear supply chains and to envision alternatives; in this example this could lead to local and circular supply chains that do not need global transportation routes any longer.

== Historical developments ==
Six major movements can be observed in the evolution of supply chain management studies: creation, integration, [[globalization]],<ref name=Movahedi2009>Movahedi B., Lavassani K., Kumar V. (2009) Transition to B2B e-Marketplace Enabled Supply Chain: Readiness Assessment and Success Factors, The International Journal of Technology, Knowledge and Society, Volume 5, Issue 3, pp.&nbsp;75–88</ref> specialization phases one and two, and SCM 2.0.

===Creation era===
The term "supply chain management" was first coined by [[Keith Oliver]] in 1982. However, the concept of a supply chain in management was of great importance long before, in the early 20th century, especially with the creation of the [[assembly line]]. The characteristics of this era of supply chain management include the need for large-scale changes, re-engineering, downsizing driven by [[cost reduction]] programs, and widespread attention to Japanese management practices. However, the term became widely adopted after the publication of the seminal book ''Introduction to Supply Chain Management'' in 1999 by Robert B. Handfield and Ernest L. Nichols, Jr.,<ref>{{cite book | author = Handfield, R., and Nichols, E. | date = 1999 | title = Introduction to Supply Chain Management | publisher = Prentice Hall | location = Upper Saddle River, NJ | isbn = 9780136216162}}</ref> which published over 25,000 copies and was translated into Japanese, Korean, Chinese, and Russian.<ref>{{cite web|url=http://www.poole.ncsu.edu/index-exp.php/directory/dossier/robert-handfield/|title=People - Poole College of Management - NC State University|website=www.poole.ncsu.edu|access-date=26 July 2017}}</ref>

===Integration era===
This era of supply chain management studies was highlighted with the development of [[electronic data interchange]] (EDI) systems in the 1960s and developed through the 1990s by the introduction of [[enterprise resource planning]] (ERP) systems. This era has continued to develop into the 21st century with the expansion of Internet-based collaborative systems. This era of supply chain evolution is characterized by both increasing value-added and reducing costs through integration.{{Citation needed|date=July 2022}}

A supply chain can be classified as a stage 1, 2, or 3 network. In stage 1–type supply chain, systems such as production, storage, distribution, and material control are not linked and are independent of each other. In a stage 2 supply chain, these are integrated under one plan, and enterprise resource planning (ERP) is enabled. A stage 3 supply chain is one that achieves [[vertical integration]] with upstream suppliers and downstream customers. An example of this kind of supply chain is [[Tesco]].{{Citation needed|date=July 2022}}

===Globalization era===
It is the third movement of supply chain management development, the globalization era, can be characterized by the attention given to global systems of supplier relationships and the expansion of supply chains beyond national boundaries and into other continents. Although the use of global sources in organizations' supply chains can be traced back several decades (e.g., in the oil industry), it was not until the late 1980s that a considerable number of organizations started to integrate global sources into their core business.{{citation needed|date=May 2019}} This era is characterized by the globalization of supply chain management in organizations with the goal of increasing their competitive advantage, adding value, and reducing costs through global sourcing.{{Citation needed|date=July 2022}}

===Specialization era (phase I): outsourced manufacturing and distribution===
In the 1990s, companies began to focus on "core competencies" and specialization. They abandoned vertical integration, sold off non-core operations, and outsourced those functions to other companies. This changed management requirements, as the supply chain extended beyond the company walls and management was distributed across specialized supply chain partnerships.{{Citation needed|date=July 2022}}

This transition also refocused the fundamental perspectives of each organization. [[Original equipment manufacturer]]s (OEMs) became brand owners that required visibility deep into their supply base. They had to control the entire supply chain from above, instead of from within. Contract manufacturers had to manage bills of material with different part-numbering schemes from multiple OEMs and support customer requests for work-in-process visibility and [[vendor-managed inventory]] (VMI).{{Citation needed|date=July 2022}}

The specialization model creates manufacturing and distribution networks composed of several individual supply chains specific to producers, suppliers, and customers that work together to design, manufacture, distribute, market, sell, and service a product. This set of partners may change according to a given market, region, or channel, resulting in a proliferation of trading partner environments, each with its own unique characteristics and demands.{{Citation needed|date=July 2022}}

===Specialization era (phase II): supply chain management as a service===
Specialization within the supply chain began in the 1980s with the inception of transportation brokerages, warehouse management (storage and inventory), and non-asset-based carriers, and has matured beyond transportation and logistics into aspects of supply planning, collaboration, execution, and performance management.

Market forces sometimes demand rapid changes from suppliers, logistics providers, locations, or customers in their role as components of supply chain networks. This variability has significant effects on supply chain infrastructure, from the foundation layers of establishing and managing electronic communication between trading partners to more complex requirements such as the configuration of processes and workflows that are essential to the management of the network itself.

Supply chain specialization enables companies to improve their overall competencies in the same way that outsourced manufacturing and distribution has done; it allows them to focus on their core competencies and assemble networks of specific, best-in-class partners to contribute to the overall value chain itself, thereby increasing overall performance and efficiency. The ability to quickly obtain and deploy this domain-specific supply chain expertise without developing and maintaining an entirely unique and complex competency in house is a leading reason why supply chain specialization is gaining popularity.

Outsourced technology hosting for supply chain solutions debuted in the late 1990s and has taken root primarily in transportation and collaboration categories. This has progressed from the application service provider (ASP) model from roughly 1998 through 2003 to the on-demand model from approximately 2003 through 2006, to the software as a service (SaaS) model currently in focus today.

===Supply chain management 2.0 (SCM 2.0)===
{{Advert|date=February 2020}}
The term SCM 2.0 has been coined to describe both changes within supply chains themselves as well as the evolution of processes, methods, and tools to manage them in a new era of globalization and specialization. One element of this is the growing popularity of [[supply chain collaboration]] platforms that connect multiple buyers and suppliers with financial institutions, enabling them to conduct automated supply chain finance transactions.<ref>{{cite web|url=http://www.cgi.com/sites/cgi.com/files/GTR_AcceleratingSupplyChainFinance_Starace_Quote_e.pdf|title=Trade Services and the Supply Chain|access-date=26 July 2017|archive-date=20 July 2013|archive-url=https://web.archive.org/web/20130720190504/http://www.cgi.com/sites/cgi.com/files/GTR_AcceleratingSupplyChainFinance_Starace_Quote_e.pdf|url-status=dead}}</ref>

[[Web 2.0]] is a trend in the use of the World Wide Web that is meant to increase creativity, information sharing, and collaboration among users. At its core, the common attribute of Web 2.0 is to help navigate the vast information available on the Web in order to find what is being bought. It is the notion of a usable pathway. SCM 2.0 replicates this notion in supply chain operations. It is the pathway to SCM results, a combination of processes, methodologies, tools, and delivery options to guide companies to their results quickly as the complexity and speed of the supply chain increase due to global competition; rapid price fluctuations; changing oil prices; short product life cycles; expanded specialization; near-, far-, and off-shoring; and talent scarcity. 

Increasing volatility has characterized supply chains since about 2000. Douglass in 2010 referred to an SCM management style known as "extreme supply chain management", which:{{quote|recognizes the need for collective, rather than sequential, risk management and facilitates collaboration on a new scale that is necessary for survival. It challenges companies to be "perpetually vigilant".<ref name=extreme>Hochfelder, B., [https://www.sdcexec.com/home/article/10326695/extreme-supply-chain-management Executive Memo: Supply chain volatility], ''Supply & Demand Chain Executive'', published 17 August 2011, accessed 10 March 2023</ref>}}

==Business-process integration==
{{more citations needed section|date=June 2013}}
Successful SCM requires a change from managing individual functions to integrating activities into key supply chain processes. In an example scenario, a purchasing department places orders as its requirements become known. The marketing department, responding to customer demand, communicates with several distributors and retailers as it attempts to determine ways to satisfy this demand. Information shared between supply chain partners can only be fully leveraged through [[business process integration]], e.g., using [[electronic data interchange]].

Supply chain business process integration involves collaborative work between buyers and suppliers, joint product development, common systems, and shared information. According to Lambert and Cooper (2000), operating an integrated supply chain requires a continuous information flow. However, in many companies, management has concluded that optimizing product flows cannot be accomplished without implementing a process approach. The key supply chain processes as stated by Lambert (2004)<ref>Lambert, Douglas M., [http://www.scm-institute.org Supply Chain Management: Processes, Partnerships, Performance], 3rd edition, 2008.</ref> are:
* [[Customer relationship management]]
* Customer service management
* Demand management 
* [[Order fulfillment]]
* Manufacturing flow management
* [[Supplier relationship management]]
* Product development and [[commercialization]]
* Returns management

Much has been written about [[demand management]].<ref>{{Cite news|url=https://scm.ncsu.edu/scm-articles/article/lessons-in-demand-management|title=Lessons in Demand Management {{!}} Supply Chain Resource Cooperative {{!}} NC State University|date=2002-09-24|access-date=2018-04-23|language=en}}</ref> Best-in-class companies have similar characteristics, which include the following:
* Internal and external collaboration
* Initiatives to reduce lead time
* Tighter feedback from customer and market demand
* Customer-level forecasting

One could suggest other critical supply business processes that combine these processes stated by Lambert, such as:

; Customer [[service management]] process
: Customer relationship management concerns the relationship between an organization and its customers. [[Customer service]] is the source of customer information. It also provides the customer with real-time information on scheduling and product availability through interfaces with the company's production and distribution operations. Successful organizations use the following steps to build customer relationships:
:* determine mutually satisfying goals for organization and customers
:* establish and maintain customer rapport
:* induce positive feelings in the organization and the customers

=== Business strategy integration ===
Effective business process integration in supply chain management requires not only continuous communication, but also strategic coordination across departments and partner companies. The main reason for this is that it can effectively improve agility.<ref>{{Cite journal |last1=Mellat-Parast |first1=Mahour |last2=E. Spillan |first2=John |date=2014-08-05 |title=Logistics and supply chain process integration as a source of competitive advantage: An empirical analysis |url=https://www.emerald.com/insight/content/doi/10.1108/IJLM-07-2012-0066/full/html |journal=The International Journal of Logistics Management |language=en |volume=25 |issue=2 |pages=289–314 |doi=10.1108/IJLM-07-2012-0066 |issn=0957-4093|url-access=subscription }}</ref> At the same time, this integration can help businesses respond quickly to changes in demand and improve customer satisfaction.

; Inventory management
:Inventory management is concerned with ensuring the right stock at the right levels, in the right place, at the right time and the right cost. Inventory management entails inventory planning and forecasting: forecasting helps planning inventory.

; [[Procurement]] process
: Strategic plans are drawn up with suppliers to support the manufacturing flow management process and the development of new products.<ref>Mirzaee, H., Naderi, B., & Pasandideh, S. H. R. (2018). A preemptive fuzzy goal programming model for generalized supplier selection and order allocation with incremental discount. Computers & Industrial Engineering, 122, 292-302.</ref> In firms whose operations extend globally, sourcing may be managed on a global basis. The desired outcome is a relationship where both parties benefit and a reduction in the time required for the product's design and development. The purchasing function may also develop rapid communication systems, such as [[electronic data interchange]] (EDI) and internet linkage, to convey possible requirements more rapidly. Activities related to obtaining products and materials from outside suppliers involve resource planning, supply sourcing, negotiation, order placement, inbound transportation, storage, handling, and [[quality assurance]], many of which include the responsibility to coordinate with suppliers on matters of scheduling, supply continuity (inventory), hedging, and research into new sources or programs. Procurement has recently been recognized as a core source of value, driven largely by the increasing trends to outsource products and services, and the changes in the global ecosystem requiring stronger relationships between buyers and sellers.<ref>Chick, Gerard, and Handfield, Robert (2014), ''The Procurement Value Proposition: The Rise of Supply Management'', London, Kogan Page</ref>

; [[Product development]] and commercialization
: Here, customers and suppliers must be integrated into the product development process in order to reduce the time to market. As [[product lifecycle|product life cycles]] shorten, the appropriate products must be developed and successfully launched with ever-shorter time schedules in order for firms to remain competitive. According to Lambert and Cooper (2000), managers of the product development and commercialization process must:
:# coordinate with customer relationship management to identify customer-articulated needs;
:# select materials and suppliers in conjunction with procurement; and
:# develop production technology in manufacturing flow to manufacture and integrate into the best supply chain flow for the given combination of product and markets.

Integration of suppliers into the new product development process was shown to have a major impact on product target cost, quality, delivery, and market share. Tapping into suppliers as a source of innovation requires an extensive process characterized by development of technology sharing, but also involves managing intellectual<ref>R. Monczka, R. Handfield, D. Frayer, G. Ragatz, and T. Scannell, ''New Product Development: Supplier Integration Strategies for Success'', Milwaukee, WI: ASQ Press, January, 2000</ref> property issues.

; Manufacturing flow management process
: The manufacturing process produces and supplies products to the distribution channels based on past forecasts. Manufacturing processes must be flexible in order to respond to market changes and must accommodate [[mass customization]]. Orders are processes operating on a just-in-time (JIT) basis in minimum lot sizes. Changes in the manufacturing flow process lead to shorter cycle times (cycle time compression), meaning improved responsiveness and efficiency in meeting customer demand. La Londe and Masters found in 1994 research that improved supply chain management and cycle time compression were complementary strategies adopted by forward-looking businesses in the United States.<ref name=masters>La Londe, B. and Masters, J. M., [https://www.emerald.com/insight/content/doi/10.1108/09600039410070975/full/html Emerging Logistics Strategies: Blueprints for the Next Century], ''International Journal of Physical Distribution & Logistics Management'', Vol. 24 No. 7, pp. 35-47. {{doi|10.1108/09600039410070975}}, accessed 15 September 2023</ref> This process manages activities related to planning, scheduling, and supporting manufacturing operations, such as work-in-process storage, handling, transportation, and time phasing of components, inventory at manufacturing sites, and maximum flexibility in the coordination of geographical and final assemblies postponement of physical distribution operations.

; Physical distribution
: This concerns the movement of a finished product or service to customers. In physical distribution, the customer is the final destination of a marketing channel, and the availability of the product or service is a vital part of each channel participant's marketing effort. It is also through the physical distribution process that the time and space of customer service become an integral part of marketing. Thus it links a marketing channel with its customers (i.e., it links manufacturers, wholesalers, and retailers).

; [[Outsourcing]]/[[partnership]]s
: This includes not just the outsourcing of the procurement of materials and components, but also the outsourcing of services that traditionally have been provided in-house. The logic of this trend is that the company will increasingly focus on those activities in the value chain in which it has a distinctive advantage and outsource everything else. This movement has been particularly evident in logistics, where the provision of transport, storage, and inventory control is increasingly subcontracted to specialists or logistics partners. Also, managing and controlling this network of partners and suppliers requires a blend of central and local involvement: strategic decisions are taken centrally, while the monitoring and control of supplier performance and day-to-day liaison with logistics partners are best managed locally.

;[[Performance measurement]]
: Experts found a strong relationship from the largest arcs of supplier and customer integration to market share and profitability. Taking advantage of supplier capabilities and emphasizing a long-term supply chain perspective in customer relationships can both be correlated with a firm's performance. As logistics competency becomes a critical factor in creating and maintaining competitive advantage, measuring logistics performance becomes increasingly important, because the difference between profitable and unprofitable operations becomes narrower. [[Kearney (consulting firm)|A.T. Kearney Consultants]] (1985) noted that firms engaging in comprehensive performance measurement realized improvements in overall productivity. According to experts,{{who|date=August 2023}} internal measures are generally collected and analyzed by the firm, including cost, customer service, productivity, asset measurement, and quality. External performance is measured through customer perception measures and "[[best practice]]" benchmarking.

;[[Warehouse management system|Warehousing management]]
: To reduce a company's cost and expenses, warehousing management is concerned with storage, reducing manpower cost, dispatching authority with on time delivery, loading and unloading facilities with proper area, inventory management system etc.

;[[Workflow management system|Workflow management]]
: Integrating suppliers and customers tightly into a [[workflow]] (or [[business process]]) and thereby achieving an efficient and effective supply chain is a key goal of [[workflow]] management.

==Theories==
There are gaps in the literature on supply chain management studies at present.<ref>{{Cite web |last1=Ajwang |first1=Akoth Matildah |last2=Aila |first2=Fredrick Onyango |date=3 September 2022 |title=Research Gaps in Supply Chain Risk Management: A Systematic Literature Review |url=https://ijsshmr.com/v1i3/Doc/1.pdf |access-date=15 April 2023 |website=INTERNATIONAL JOURNAL OF SOCIAL SCIENCE HUMANITY & MANAGEMENT RESEARCH}}</ref> A few authors, such as Halldorsson et al.,<ref>Halldorsson, Arni, Herbert Kotzab & Tage Skjott-Larsen (2003). Inter-organizational theories behind Supply Chain Management – discussion and applications, In Seuring, Stefan et al. (eds.), Strategy and Organization in Supply Chains, Physica Verlag</ref> Ketchen and Hult (2006),<ref>Ketchen Jr., G., & Hult, T.M. (2006). Bridging organization theory and supply chain management: The case of best value supply chains. Journal of Operations Management, 25(2) 573-580</ref> and Lavassani et al. (2009), have tried to provide theoretical foundations for different areas related to supply chain by employing organizational theories, which may include the following:
* [[Resource-based view]] (RBV)<ref>{{Cite journal|last1=Kozlenkova|first1=Irina V.|last2=Samaha|first2=Stephen A.|last3=Palmatier|first3=Robert W.|date=2014-01-01|title=Resource-based theory in marketing|url=https://www.researchgate.net/publication/257730291|journal=Journal of the Academy of Marketing Science|volume=42|issue=1|pages=1–21|doi=10.1007/s11747-013-0336-7|s2cid=39997788|issn=0092-0703}}</ref>
* Transaction cost analysis (TCA)
* Knowledge-based view (KBV)
* Strategic choice theory (SCT)
* Agency theory (AT)
* [[Channel coordination]]
* [[Institutional theory]] (InT)
* Systems theory (ST)
* Network perspective (NP)
* Materials logistics management (MLM)
* [[Just-in-time (business)|Just-in-time]] (JIT)
* [[Material requirements planning]] (MRP)
* [[Theory of constraints]] (TOC)
* [[Total quality management]] (TQM)
* Agile manufacturing
* Time-based competition (TBC)
* [[Quick response manufacturing|Quick response manufacturing (QRM)]]
* [[Customer relationship management]] (CRM)
* Requirements chain management  (RCM)
* Dynamic Capabilities Theory
* Dynamic Management Theory
* [[Available-to-promise]]  (ATP)
* Supply Chain Roadmap<ref>{{cite web|url=http://www.supplychainquarterly.com/topics/Strategy/20130306-supply-chain-strategies-which-one-hits-the-mark/|title=Supply chain strategies: Which one hits the mark? – Strategy – CSCMP's Supply Chain Quarterly|website=www.supplychainquarterly.com|access-date=26 July 2017|archive-date=21 July 2017|archive-url=https://web.archive.org/web/20170721120234/http://www.supplychainquarterly.com/topics/Strategy/20130306-supply-chain-strategies-which-one-hits-the-mark/|url-status=dead}}</ref>
*Optimal Positioning of the Delivery Window (OPDW)<ref>{{Cite journal|last1=Tao|first1=Liangyan|last2=Liu|first2=Sifeng|last3=Xie|first3=Naiming|last4=Javed|first4=Saad Ahmed|date=2021-02-01|title=Optimal position of supply chain delivery window with risk-averse suppliers: A CVaR optimization approach|url=http://www.sciencedirect.com/science/article/pii/S0925527320303388|journal=International Journal of Production Economics|language=en|volume=232|pages=107989|doi=10.1016/j.ijpe.2020.107989|s2cid=229465289|issn=0925-5273|url-access=subscription}}</ref><ref>{{Cite journal|last1=Guiffrida|first1=Alfred L.|last2=Nagi|first2=Rakesh|date=2006-07-01|title=Cost characterizations of supply chain delivery performance|url=http://www.sciencedirect.com/science/article/pii/S0925527305000587|journal=International Journal of Production Economics|language=en|volume=102|issue=1|pages=22–36|doi=10.1016/j.ijpe.2005.01.015|issn=0925-5273|url-access=subscription}}</ref>

However, the [[unit of analysis]] of most of these theories is not the supply chain but rather another system, such as the firm or the supplier-buyer relationship. Among the few exceptions is the [[relational view]], which outlines a theory for considering dyads and networks of firms as a key unit of analysis for explaining superior individual firm performance (Dyer and Singh, 1998).<ref>{{cite journal | doi = 10.2307/259056 | volume=23 | issue=4 | title=The Relational View: Cooperative Strategy and Sources of Interorganizational Competitive Advantage | journal=The Academy of Management Review | pages=660| jstor=259056 | year=1998 | last1=Dyer | first1=Jeffrey H. | last2=Singh | first2=Harbir }}</ref>

== Organization and governance ==
The management of supply chains involve a number of specific challenges regarding the organization of relationships among the different partners along the value chain. Formal and informal governance mechanisms are central elements in the management of supply chain.<ref>{{Cite journal|last1=Poppo|first1=Laura|last2=Zenger|first2=Todd|date=2002|title=Do formal contracts and relational governance function as substitutes or complements?|journal=Strategic Management Journal|language=en|volume=23|issue=8|pages=707–725|doi=10.1002/smj.249|issn=0143-2095|doi-access=free}}</ref> Particular combinations of governance mechanisms may impact the relational dynamics within the supply chain. The need for [[interdisciplinarity]] in SCM research has been pointed out by academics in the field.<ref>{{Cite journal|last1=Sanders|first1=Nada R.|last2=Zacharia|first2=Zach G.|last3=Fugate|first3=Brian S.|date=2013-06-01|title=The Interdisciplinary Future of Supply Chain Management Research: Interdisciplinary Future of SCM Research|url=https://onlinelibrary.wiley.com/doi/10.1111/deci.12022|journal=Decision Sciences|language=en|volume=44|issue=3|pages=413–429|doi=10.1111/deci.12022|url-access=subscription}}</ref>

==Supply chain centroids==
In the study of supply chain management, the concept of [[centroid]]s has become a useful economic consideration. In [[mathematics]] and [[physics]], a centroid is the [[arithmetic mean]] position of all the points in a [[plane figure]].<ref>Wikipedia Foundation, [[Centroid]], accessed 8 December 2020</ref> For supply chain management, a centroid is a location with a high proportion of a country's population and a high proportion of its manufacturing, generally within {{convert|500|mi|0|abbr=on}}. In the US, two major supply chain centroids have been defined, one near [[Dayton, Ohio]], and a second near [[Riverside, California]].{{citation needed|date=December 2020}}<ref>{{Cite web |last=Berthold |first=Katherine R. |date=2019 |title=Supply Chain Management: A Descriptive Conception |url=https://journals.seagullpublications.com/ijeer/assets/paper/IJ0320191826/f_IJ0320191826.pdf |website=journals.seagullpublications.com}}</ref>

The centroid near Dayton is particularly important because it is closest to the population center of the US and Canada. Dayton is within 500&nbsp;miles of 60% of the US population and manufacturing capacity, as well as 60% of Canada's population.<ref name="daytondailynews.com">Doug Page,[http://www.daytondailynews.com/business/dayton-region-a-crucial-hub-for-supply-chain-managment-457836.html  "Dayton Region a Crucial Hub for Supply Chain Management"] [[Dayton Daily News]], 2009-12-21.</ref> The region includes the interchange between [[Interstate 70|I-70]] and [[Interstate 75|I-75]], one of the busiest in the nation, with 154,000 vehicles passing through per day, of which 30–35% are trucks hauling goods. In addition, the I-75 corridor is home to the busiest north–south rail route east of the [[Mississippi River]].<ref name="daytondailynews.com"/>

A supply chain is the network of all the individuals, organizations, resources, activities and technology involved in the creation and sale of a product. A supply chain encompasses everything from the delivery of source materials from the supplier to the manufacturer through to its eventual delivery to the end user. The supply chain segment involved with getting the finished product from the manufacturer to the consumer is known as the distribution channel.<ref>{{Cite web|title=What is a Supply Chain? - Definition from WhatIs.com|url=https://whatis.techtarget.com/definition/supply-chain|access-date=2020-10-30|website=WhatIs.com|language=en}}</ref>

===Wal-Mart strategic sourcing approaches===
{{Off topic|date=April 2021}}<!--belay copyediting until there is consensus re: whether this material should be in the article-->
In 2010, [[Walmart|Wal-Mart]] announced a big change in its sourcing strategy. Initially, Wal-Mart relied on intermediaries in the sourcing process. It bought only 20% of its stock directly, but the rest were bought through the intermediaries.<ref name="ReferenceB">Cmuscm, 2014 {{full citation needed|date=February 2019}}</ref> Therefore, the company came to realize that the presence of many intermediaries in the product sourcing was actually increasing the costs in the supply chain. To cut these costs, Wal-Mart decided to do away with intermediaries in the supply chain and started direct sourcing of its goods from the suppliers. Eduardo Castro-Wright, the then Vice President of Wal-Mart, set an ambitious goal of buying 80% of all Wal-Mart goods directly from the suppliers.<ref name="ReferenceC">Lu, 2014 {{full citation needed|date=February 2019}}</ref>  Walmart started purchasing fruits and vegetables on a global scale, where it interacted directly with the suppliers of these goods. The company later engaged the suppliers of other goods, such as cloth and home electronics appliances, directly and eliminated the importing agents. The purchaser, in this case Wal-Mart, can easily direct the suppliers on how to manufacture certain products so that they can be acceptable to the consumers.<ref name="ReferenceD">Gilmorte, 2010 {{full citation needed|date=February 2019}}</ref> Thus, Wal-Mart, through direct sourcing, manages to get the exact product quality as it expects, since it engages the suppliers in the producing of these products, hence quality consistency.<ref name="ReferenceC"/> Using agents in the sourcing process in most cases lead to inconsistency in the quality of the products, since the agent's source the products from different manufacturers that have varying qualities.

Wal-Mart managed to source directly 80% profit its stock; this has greatly eliminated the intermediaries and cut down the costs between 5-15%, as markups that are introduced by these middlemen in the supply chain are cut. This saves approximately $4–15 billion.<ref name="ReferenceB"/> This strategy of direct sourcing not only helped Wal-Mart in reducing the costs in the supply chain but also helped in the improvement of supply chain activities through boosting efficiency throughout the entire process. In other words, direct sourcing reduced the time that takes the company to source and stocks the products in its stock.<ref name="ReferenceC"/> The presence of the intermediaries elongated the time in the process of procurement, which sometimes led to delays in the supply of the commodities in the stores, thus, customers finding empty shelves. Wal-Mart adopted this strategy of sourcing through centralizing the entire process of procurement and sourcing by setting up four global merchandising points for general goods and clothing. The company instructed all the suppliers to bring their products to these central points that are located in different markets.<ref name="ReferenceD"/> The procurement team assesses the quality brought by the suppliers, buys the goods, and distributes them to various regional markets. The procurement and sourcing at centralized places helped the company to consolidate the suppliers.

The company has established four centralized points, including an office in Mexico City and Canada. Just a mere piloting test on combining the purchase of fresh apples across the United States, Mexico, and Canada led to the savings of about 10%. As a result, the company intended to increase centralization of its procurement in North America for all its fresh fruits and vegetables.<ref name="ReferenceB"/> Thus, centralization of the procurement process to various points where the suppliers would be meeting with the procurement team is the latest strategy which the company is implementing, and signs show that this strategy is going to cut costs and also improve the efficiency of the procurement process.

Strategic vendor partnerships is another strategy the company is using in the sourcing process. Wal-Mart realized that in order for it to ensure consistency in the quality of the products it offers to the consumers and also maintain a steady supply of goods in its stores at a lower cost, it had to create strategic vendor partnerships with the suppliers.<ref name="ReferenceB"/> Wal-Mart identified and selected the suppliers who met its demand and at the same time offered it the best prices for the goods. It then made a strategic relationship with these vendors by offering and assuring the long-term and high volume of purchases in exchange for the lowest possible prices.<ref name="ReferenceC"/> Thus, the company has managed to source its products from same suppliers as bulks, but at lower prices. This enables the company to offer competitive prices for its products in its stores, hence, maintaining a competitive advantage over its competitors whose goods are a more expensive in comparison.

Another sourcing strategy Wal-Mart uses is implementing efficient communication relationships with the vendor networks; this is necessary to improve the material flow. The company has all the contacts with the suppliers whom they communicate regularly and make dates on when the goods would be needed, so that the suppliers get ready to deliver the goods in time.<ref>Wisner, Leong, & Tan, 2005 {{full citation needed|date=February 2019}}</ref> The efficient communication between the company's procurement team and the inventory management team enables the company to source goods and fill its shelves on time, without causing delays and empty shelves.<ref>Roberts, 2002 {{full citation needed|date=February 2019}}</ref>  In other words, the company realized that in ensuring a steady flow of the goods into the store, the suppliers have to be informed early enough, so that they can act accordingly to avoid delays in the delivery of goods.<ref name="ReferenceC"/>  Thus, efficient communication is another tool which Wal-Mart is using to make the supply chain be more efficient and to cut costs.

Cross-docking is another strategy that Wal-Mart is using to cut costs in its supply chain. Cross-docking is the process of transferring goods directly from inbound trucks to outbound trucks.<ref name="ReferenceB" /> When the trucks from the suppliers arrive at the distribution centers, most of the trucks are not offloaded to keep the goods in the distribution centers or warehouses; they are transferred directly to another truck designated to deliver goods to specific retail stores for sale. Cross-docking helps in saving the storage costs.<ref>Gilmorte, 2010 {{Full citation needed|date=February 2019}}</ref> Initially, the company was incurring considerable costs of storing the goods from the suppliers in its warehouses and the distributions centers to await the distribution trucks to the retail stores in various regions.

==Tax-efficient supply chain management==
Tax-efficient supply chain management is a business model that considers the effect of tax in the design and implementation of supply chain management. As the consequence of globalization, cross-national businesses pay different tax rates in different countries. Due to these differences, they may legally optimize their supply chain and increase profits based on [[tax efficiency]].<ref>{{cite web|url=http://www.investorwords.com/4893/tax_efficient.html|title=What is Tax-efficient? definition and meaning|website=InvestorWords.com|access-date=26 July 2017|archive-date=6 August 2017|archive-url=https://web.archive.org/web/20170806020311/http://www.investorwords.com/4893/tax_efficient.html|url-status=dead}}</ref>{{failed verification|date=April 2019}}

==Sustainability and social responsibility in supply chains==
Supply chain networks are integral to an economy, but their health is dependent on the well-being of the environment and society.<ref>{{Cite journal|last1=Mahmoudi|first1=Amin|last2=Deng|first2=Xiaopeng|last3=Javed|first3=Saad Ahmed|last4=Zhang|first4=Na|title=Sustainable Supplier Selection in Megaprojects: Grey Ordinal Priority Approach|url=https://onlinelibrary.wiley.com/doi/abs/10.1002/bse.2623|journal=Business Strategy and the Environment|year=2021|volume=30|issue=1 |language=en|pages=318–339|doi=10.1002/bse.2623|bibcode=2021BSEnv..30..318M |s2cid=224917346|issn=1099-0836|url-access=subscription}}</ref> [[Supply chain sustainability]] is a business issue affecting an organization's supply chain or logistics network, and is frequently quantified by comparison with SECH ratings, which address social, ethical, cultural, and health footprints. These build on the triple bottom line incorporating economic, social, and environmental aspects.<ref>Khairul Anuar Rusli, Azmawani Abd Rahman and Ho, J.A., Green Supply Chain Management in Developing Countries: A Study of Factors and Practices
in Malaysia. Paper presented at the 11th International Annual Symposium on Sustainability Science and Management (UMTAS) 2012, Kuala Terengganu,
9–11 July 2012. [http://fullpaperumtas2012.umt.edu.my/files/2012/07/BE03-ORAL-PP-278-285.pdf See publication here]. {{Webarchive|url=https://web.archive.org/web/20130511022044/http://fullpaperumtas2012.umt.edu.my/files/2012/07/BE03-ORAL-PP-278-285.pdf |date=2013-05-11 }}</ref><ref>Berthold, K. R., [https://web.archive.org/web/20200507140146/https://journals.seagullpublications.com/ijeer/assets/paper/IJ0320191826/f_IJ0320191826.pdf Supply Chain Management: A Descriptive Conception], ''International Journal for Empirical Education and Research'', 2019, accessed 24 August 2023</ref> The more commonly used ESG terminology represents Environment, Social and Governance. Consumers have become more aware of the environmental impact of their purchases and companies' ratings and, along with [[non-governmental organization]]s (NGOs), are setting the agenda, and beginning to push for transitions to more sustainable approaches such as [[organic farming|organically grown]] foods, [[anti-sweatshop]] labor codes, and locally produced goods that support independent and small businesses. Because supply chains may account for over 75% of a company's [[carbon footprint]], many organizations are exploring ways to reduce this and thus improve their profile.

For example, in July 2009, [[Wal-Mart]] announced its intentions to create a global sustainability index that would rate products according to the environmental and social impacts of their manufacturing and distribution. The index is intended to create environmental accountability in Wal-Mart's supply chain and to provide motivation and [[infrastructure]] for other retail companies to do the same.<ref>{{cite web|url=http://retailindustry.about.com/b/2009/07/20/u-s-green-retailing-update-will-wal-mart-profit-from-high-supply-chain-standards-while-its-own-environmental-standards-are-low.htm|title=Fun Facts About the Supply Chain and Logistics That Put Cereal On Your Table|access-date=26 July 2017|archive-date=12 April 2014|archive-url=https://web.archive.org/web/20140412173949/http://retailindustry.about.com/b/2009/07/20/u-s-green-retailing-update-will-wal-mart-profit-from-high-supply-chain-standards-while-its-own-environmental-standards-are-low.htm|url-status=dead}}</ref>

It has been reported that companies are increasingly taking environmental performance into account when selecting suppliers.  A 2011 survey by the [[Carbon Trust]] found that 50% of multinationals expect to select their suppliers based upon carbon performance in the future and 29% of suppliers could lose their places on 'green supply chains' if they do not have adequate performance records on carbon.<ref>{{cite web|url=http://www.carbontrust.com/news/2011/11/indirect-carbon-emissions-and-why-they-matter|title=Indirect carbon emissions and why they matter | publisher =Carbon Trust|date=7 Nov 2011|access-date=28 Jan 2014}}</ref>

In addition to environmental concerns, increased globalization within global supply chains challenges human rights and worker exploitation risks within multinational corporations including forced labor and modern slavery. Textiles, agriculture, and manufacturing are some of the industries with significant labor exploitation risks.<ref>{{cite web|author=Lehr, Amy. |year=2020|title=Enforcing the Ban on Imports Produced by Forced Labor in Xinjiang|publisher=Center for Strategic and International Studies|url= https://www.jstor.org/stable/resrep37633}}</ref> There are many different methods governments, corporations, and NGOs use to prevent labor exploitation, including corporate social responsibility,<ref>Deibel, Tayla Ucaryilmaz. 2022. “Corporate Social Responsibility in the Legal Framework of Global Value Chains.” ''Law and Development Review'' 15 (2): 329-356.</ref> export controls,<ref>Kim, Heejin. 2021. “Global Export Controls of Cyber Surveillance Technology and the Disrupted Triangular Dialogue.” ''The International and Comparative Law Quarterly'' 70 (2): 379-415.</ref> import bans,<ref>[[Daniel C. K. Chow|Chow, Daniel C. K.]] 2013. "How China Uses International Trade to Promote its View of Human Rights." ''The George Washington International Law Review'' 45 (4): 681-726</ref> and monitoring labor standards.<ref>Brause, Alberto., Qin, Fei., Locke, Richard. 2007. “Does Monitoring Improve Labor Standards? Lessons from Nike.” ''ILR Review'' 61, (1): 3-31.</ref><ref>Koekkoek, Marieke., Marx, Axel., Wouters, January 2017. “Monitoring Forced Labour and Slavery in Global Supply Chains: The Case of the California Act on Transparency in Supply Chains.” ''Global Policy'' 8 (4): 522-529.</ref>

The US [[Dodd–Frank Wall Street Reform and Consumer Protection Act]], signed into law by President Obama in July 2010, contained a supply chain sustainability provision in the form of the Conflict Minerals law. This law requires SEC-regulated companies to conduct third party audits of their supply chains in order to determine whether any tin, tantalum, tungsten, or gold (together referred to as ''[[conflict minerals]]'') is mined or sourced from the [[Democratic Republic of the Congo]], and create a report (available to the general public and SEC) detailing the due diligence efforts taken and the results of the audit.<ref>{{cite journal |last1=Zhang |first1=Han |last2=Aydin |first2=Goker |last3=Heese |first3=Hans Sebastian |year=2023 |title=Curbing the usage of conflict minerals: A supply network perspective |journal=Decision Sciences |volume=54 |issue=5 |pages=535–553 |doi=10.1111/deci.12580 |doi-access=free }}</ref> The chain of suppliers and vendors to these reporting companies will be expected to provide appropriate supporting information.

Incidents like the [[2013 Savar building collapse]], with more than 1,100 victims, have led to widespread discussions about [[corporate social responsibility]] across global supply chains. Wieland and Handfield (2013) suggest that companies need to audit products and suppliers and that supplier auditing needs to go beyond direct relationships with first-tier suppliers. They also demonstrate that visibility needs to be improved if supply cannot be directly controlled and that smart and electronic technologies play a key role to improve visibility. Finally, they highlight that collaboration with local partners, across the industry and with universities is crucial to successfully managing social responsibility in supply chains.<ref>Andreas Wieland and Robert B. Handfield (2013), The Socially Responsible Supply Chain: An Imperative for Global Corporations, ''Supply Chain Management Review'', Vol. 17, No. 5.</ref> Recent research proposes a two-phase approach for auditing multitier supply networks.<ref>{{cite journal |last1=Zhang |first1=Han |last2=Aydin |first2=Goker |last3=Parker |first3=Rodney |year=2022 |title=Social Responsibility Auditing in Supply Chain Networks |journal=Management Science |volume=68 |issue=2 |pages=1058–1077 |doi=10.1287/mnsc.2020.3950}}</ref> Under this strategy, buyers first audit and drop noncompliant suppliers and then proceed to audit and rectify the remaining ones; when auditing an upper tier, the approach recommends selecting the "least valuable unaudited supplier" as the next candidate for auditing.

== Circular supply chain management ==
Circular Supply Chain Management (CSCM) is  "the configuration and coordination of the organizational functions marketing, sales, R&D, production, logistics, IT, finance, and customer service within and across business units and organizations to close, slow, intensify, narrow, and dematerialise material and energy loops to minimize resource input into and waste and emission leakage out of the system, improve its operative effectiveness and efficiency and generate competitive advantages". By reducing resource input and waste leakage along the supply chain and configure it to enable the recirculation of resources at different stages of the product or service lifecycle, potential economic and environmental benefits can be achieved. These comprise e.g. a decrease in material and waste management cost and reduced emissions and [[resource consumption]].<ref>{{Cite journal|last1=Geissdoerfer|first1=Martin|last2=Morioka|first2=Sandra Naomi|last3=de Carvalho|first3=Marly Monteiro|last4=Evans|first4=Steve|date=July 2018|title=Business models and supply chains for the circular economy|journal=Journal of Cleaner Production|volume=190|pages=712–721|doi=10.1016/j.jclepro.2018.04.159|bibcode=2018JCPro.190..712G |s2cid=158887458|issn=0959-6526|url=https://www.repository.cam.ac.uk/handle/1810/280260}}</ref>

==Components==

===Management components===
SCM components are the third element of the four-square circulation framework.{{clarify|what is this and what are the other elements|date=March 2021}} The level of integration and management of a business process link is a function of the number and level of components added to the link.<ref name=ellram>Ellram, L. M. and Cooper, M. C., [https://www.emerald.com/insight/content/doi/10.1108/95740939080001276/full/html Supply Chain Management, Partnership, and the Shipper ‐ Third Party Relationship], ''International Journal of Logistics Management'', volume 1, no. 2, 1990</ref><ref>Houlihan, 1985 {{full citation needed|date=February 2019}}</ref> Consequently, adding more management components or increasing the level of each component can increase the level of integration of the business process link.

Literature on [[business process reengineering]],<ref>Macneil ,1975{{full citation needed|date=February 2019}}</ref><ref>Williamson, 1974{{full citation needed|date=February 2019}}</ref><ref>Hewitt, 1994 {{full citation needed|date=February 2019}}</ref> buyer-supplier relationships,<ref>Stevens, 1989{{full citation needed|date=February 2019}}</ref><ref name=ellram /><ref>Houlihan, 1985{{full citation needed|date=February 2019}}</ref> and SCM<ref name=Cooper1997/><ref>Lambert ''et al.'',1996{{full citation needed|date=February 2019}}</ref><ref>Turnbull, 1990 {{full citation needed|date=February 2019}}</ref> suggests various possible components that should receive managerial attention when managing supply relationships. Lambert and Cooper (2000) identified the following components:
* Planning and control
* Work structure
* [[Organizational structure|Organization structure]]
* Product flow facility structure
* Information flow facility structure
* Management methods
* Power and leadership structure
* Risk and reward structure
* Culture and attitude

However, a more careful examination of the existing literature<ref name="ReferenceA"/><ref>Vickery ''et al.'', 2003{{full citation needed|date=February 2019}}</ref><ref>Hemila, 2002{{full citation needed|date=February 2019}}</ref><ref>Christopher, 1998{{full citation needed|date=February 2019}}</ref><ref>Joyce ''et al.'', 1997{{full citation needed|date=February 2019}}</ref><ref>Bowersox and Closs, 1996{{full citation needed|date=February 2019}}</ref><ref>Williamson, 1991{{full citation needed|date=February 2019}}</ref><ref>Courtright ''et al.'', 1989{{full citation needed|date=February 2019}}</ref><ref>Hofstede, 1978{{full citation needed|date=February 2019}}</ref> leads to a more comprehensive understanding of what should be the key critical supply chain components, or "branches" of the previously identified supply chain business processes—that is, what kind of relationship the components may have that are related to suppliers and customers. Bowersox and Closs (1996) state that the emphasis on cooperation represents the synergism leading to the highest level of joint achievement. A primary-level channel participant is a business that is willing to participate in responsibility for inventory ownership or assume other [[financial risk]]s, thus including primary level components.<ref>Bowersox and Closs, 1996 {{full citation needed|date=February 2019}}</ref> A secondary-level participant (specialized) is a business that participates in channel relationships by performing essential services for primary participants, including secondary level components, which support primary participants. Third-level channel participants and components that support primary-level channel participants and are the fundamental branches of secondary-level components may also be included.

Consequently, Lambert and Cooper's framework of supply chain components does not lead to any conclusion about what are the primary- or secondary-level (specialized) supply chain components<ref>see Bowersox and Closs, 1996, p.&nbsp;93 {{full citation needed|date=February 2019}}</ref> —that is, which supply chain components should be viewed as primary or secondary, how these components should be structured in order to achieve a more comprehensive supply chain structure, and how to examine the supply chain as an integrative one.

===Power in supply chain management===
Andrew Cox, Joe Sanderson and Glyn Watson argue that the [[economic power|power]] resources of buyers and suppliers should be analyzed in order to understand how a supply chain relationship operates. In some cases, a purchasing firm may exercise more power over its suppliers, in other cases, suppliers may have more power; yet again there will be cases where buyers and suppliers may be interdependent or may have no real power over each other.<ref>Andrew Cox, Joe Sanderson and Glyn Watson, "Wielding Influence", in ''Supply Management'', April 2000</ref> Cox, Sanderson and Watson have written extensively on the operation of power regimes within a supply chain context;<ref>University of Birmingham, [https://www.birmingham.ac.uk/schools/business/staff/profile.aspx?ReferenceId=6699 Professor Glyn Watson], accessed 22 March 2022</ref> they have described their work for themselves as "a new perspective on managing in supply chains and networks".<ref>Andrew Cox, Joe Sanderson and Glyn Watson, [https://togarsim.tripod.com/power/cox.pdf Power Regimes: a New Perspective on Managing in Supply Chains and Networks], research for the 10th International Annual [[IPSERA]] Conference 2001, accessed 2 October 2023</ref> Other studies of power in supply chain relationships have looked at drivers impacting on the potential integration of supply chains. A study by Michael Maloni and W. C. Benton in 1998 looked at whether potential [[asymmetries]] in inter-firm power within a supply chain could prevent the implementation of effective supply chain execution. Maloni and Benton note that until their research, "little power research" had been presented in the supply chain literature. Using [[French and Raven's bases of power|French and Raven's typology of the sources of power]] in the context of the [[automotive industry]], they aimed to analyse the effects of distinct power strategies on relationships between buyers and sellers, and upon supply chain performance and satisfaction. Their findings showed that:
*expert and [[referent power]] sources lent themselves to "significant positive effects" on supply chain relationships;
*reward power had a somewhat beneficial impact
*coercive and legal/legitimate power bases, which they describe as "completely mediated power strategies", led to "significant negative relationships".

They concluded that "prudent use of power" can be beneficial for both the power source and the power target.<ref>Maloni, I. and Benton, W. C., ''The Effects of Inter-Firm Power on Supply Chain Relationships'', 83rd Annual ISM International Conference Proceedings, 1988</ref>

===Reverse supply chain===
[[Reverse logistics]] is the process of managing the return of goods and may be considered as an aspect of "aftermarket customer services".<ref>MBX Global, [http://www.mbxglobal.com/en/services/freight-services/reverse-logistics Reverse Logistics] {{Webarchive|url=https://web.archive.org/web/20201022003206/http://mbxglobal.com/en/services/freight-services/reverse-logistics |date=2020-10-22 }}, accessed 19 August 2020</ref> Any time money is taken from a company's warranty reserve or service logistics budget, one can speak of a reverse logistics operation. Reverse logistics also includes the process of managing the return of goods from store, which the returned goods are sent back to warehouse and after that either warehouse scrap the goods or send them back to supplier for replacement depending on the warranty of the merchandise.

== Supply Chain Engineering ==
Although it has the same goals as [[supply chain engineering]], supply chain management is focused on a more traditional [[management]] and [[business]] based approach, whereas supply chain engineering is focused on a [[mathematical model]] based one.<ref name="ravi">{{cite book |last1=Ravindran |first1=Ravi |title=Supply chain engineering : models and applications |last2=Warsing |first2=Donald Jr. |date=29 March 2017 |publisher=CRC Press |isbn=9781138077720}}</ref>

==Digitizing supply chains==
Consultancies and media expect the performance efficacy of digitizing supply chains to be high.<ref>{{Cite web|url=https://www.mckinsey.com/business-functions/operations/our-insights/supply-chain-40--the-next-generation-digital-supply-chain|title=Supply Chain 4.0 – the next-generation digital supply chain {{!}} McKinsey|website=www.mckinsey.com|language=en|access-date=2020-03-29}}</ref> [[3D printing|Additive manufacturing]] and [[blockchain]] technology have emerged as the two technologies with some of the highest economic relevance.

;Additive manufacturing: The potential of additive manufacturing is particularly high in the production of spare parts, since its introduction can reduce warehousing costs of slowly rotating spare parts.<ref>{{Cite journal|last1=Heinen|first1=J. Jakob|last2=Hoberg|first2=Kai|date=December 2019|title=Assessing the potential of additive manufacturing for the provision of spare parts|journal=Journal of Operations Management|language=en|volume=65|issue=8|pages=810–826|doi=10.1002/joom.1054|issn=0272-6963|doi-access=free|hdl=10419/230133|hdl-access=free}}</ref> Digitizing technology bears the potential to completely disrupt and restructure supply chains and enhance existing production routes.<ref>{{Cite journal|last1=Durach|first1=Christian F.|last2=Kurpjuweit|first2=Stefan|last3=Wagner|first3=Stephan M.|date=2017-11-06|title=The impact of additive manufacturing on supply chains|journal=International Journal of Physical Distribution & Logistics Management|language=en|volume=47|issue=10|pages=954–971|doi=10.1108/IJPDLM-11-2016-0332|issn=0960-0035}}</ref>

;Blockchain: In comparison, research on the influence of blockchain technology on the supply chain is still in its early stages. The [[Conceptual writing|conceptual]] literature has argued for a considerably long time that the highest performance efficacy is expected in the potential for automatic contract creation.<ref>{{Cite news|last1=Iansiti|first1=Marco|url=https://hbr.org/2017/01/the-truth-about-blockchain|title=The Truth About Blockchain|date=2017-01-01|work=Harvard Business Review|access-date=2020-03-29|last2=Lakhani|first2=Karim R.|issue=January–February 2017|issn=0017-8012}}</ref> [[Empirical evidence]] contradicts this hypothesis: the highest potential is expected in the arenas of verified [[customer review]]s and [[Certification mark|certifications]] of product quality and standards.<ref>{{Cite journal|last1=Durach|first1=Christian F.|last2=Blesik|first2=Till|last3=Düring|first3=Maximilian|last4=Bick|first4=Markus|date=2020-03-09|title=Blockchain Applications in Supply Chain Transactions|journal=Journal of Business Logistics|volume=42|language=en|pages=7–24|doi=10.1111/jbl.12238|issn=0735-3766|doi-access=free|hdl=10419/230076|hdl-access=free}}</ref> In addition, traditional supply chain has many drawbacks such as lack of transparency and trust, and some of them can be solved by blockchain technology.<ref>{{Cite journal |last1=Tönnissen |first1=Stefan |last2=Teuteberg |first2=Frank |date=June 2020 |title=Analysing the impact of blockchain-technology for operations and supply chain management: An explanatory model drawn from multiple case studies |url=https://linkinghub.elsevier.com/retrieve/pii/S026840121930101X |journal=International Journal of Information Management |language=en |volume=52 |pages=101953 |doi=10.1016/j.ijinfomgt.2019.05.009|s2cid=181437777 |url-access=subscription }}</ref> The technological features of blockchains support transparency and traceability of information, as well as high levels of reliability and immutability of records.<ref>{{Cite journal|last1=Hastig|first1=Gabriella M.|last2=Sodhi|first2=ManMohan S.|date=2020|title=Blockchain for Supply Chain Traceability: Business Requirements and Critical Success Factors|journal=Production and Operations Management|language=en|volume=29|issue=4|pages=935–954|doi=10.1111/poms.13147|s2cid=214419889|issn=1059-1478|url=https://openaccess.city.ac.uk/id/eprint/23275/1/Manuscript-BChain-FINAL-25-Nov2019.pdf}}</ref> That helps traditional supply chain management to be more efficient and reliable.

==Systems and value==
Supply chain systems configure value for those that organize the networks. Value is the additional revenue over and above the costs of building the network. Co-creating value and sharing the benefits appropriately to encourage effective participation is a key challenge for any supply system. Tony Hines defines value as follows: "Ultimately it is the customer who pays the price for service delivered that confirms value and not the producer who simply adds cost until that point".<ref name="Hines2014"/>

==Global applications==
Global supply chains pose challenges regarding both quantity and value. Supply and value chain trends include:
* [[Globalization]]
* Increased cross-border sourcing
* Collaboration for parts of value chain with low-cost providers
* Shared service centers for logistical and administrative functions
* Increasingly global operations, which require increasingly global coordination and planning to achieve global optimums
* Complex problems involve also midsized companies to an increasing degree

These trends have many benefits for manufacturers because they make possible larger lot sizes, lower taxes, and better environments (e.g., culture, infrastructure, special tax zones, or sophisticated OEM) for their products. There are many additional challenges when the scope of supply chains is global. This is because with a supply chain of a larger scope, the lead time is much longer, and because there are more issues involved, such as multiple currencies, policies, and laws. The consequent problems include different currencies and valuations in different countries, different tax laws, different trading protocols, vulnerability to natural disasters and cyber threats,<ref>{{cite web| url = http://www.inboundlogistics.com/cms/article/5-steps-to-protect-your-supply-chain-from-cyber-threats/| title = Demrovsky, Chloe. ''5 Steps to Protect Your Supply Chain From Cyber Threats''. Inbound Logistics, May 4, 2017.| date = 4 May 2017}}</ref> and lack of transparency of cost and profit.

==Roles and responsibilities==
Supply chain professionals play major roles in the design and management of supply chains. In the design of supply chains, they help determine whether a product or service is provided by the firm itself (insourcing) or by another firm elsewhere (outsourcing). In the management of supply chains, supply chain professionals coordinate production among multiple providers, ensuring that production and transport of goods happen with minimal quality control or inventory problems. One goal of a well-designed and maintained supply chain for a product is to successfully build the product at minimal cost. Such a supply chain could be considered a competitive advantage for a firm.<ref name="auto">Enver Yücesan, (2007) Competitive Supply Chains a Value-Based Management Perspective, PALGRAVE MACMILLAN, {{ISBN|9780230515673}}</ref><ref>David Blanchard (2007), Supply Chain Management Best Practices, Wiley, {{ISBN|9780471781417}}</ref>

Beyond design and maintenance of a supply chain itself, supply chain professionals participate in aspects of business that have a bearing on supply chains, such as [[sales forecasting]], [[quality management]], strategy development, [[customer service]], and [[systems analysis]]. Production of a good may evolve over time, rendering an existing supply chain design obsolete. Supply chain professionals need to be aware of changes in production and business climate that affect supply chains and create alternative supply chains as the need arises.

In a research project undertaken by [[Michigan State University]]'s Broad College of Business, with input from 50 participating organizations, the main issues of concern to supply chain managers were identified as capacity/resource availability, talent ([[recruitment]]), [[complexity]], threats/challenges ([[Supply chain risk management|supply chain risk]]s), compliance and cost/purchasing issues. Keeping up with frequent changes in regulation was identified as a particular concern.<ref>Daugherty, P. ''et al'' (n.d.), [http://www.apics.org/docs/default-source/scc-non-research/supply-chain-issues.pdf Supply Chain Issues: What's Keeping Supply Chain Managers Awake at Night?], APICS ''Beyond the Horizon'' series</ref> Complexity within supply chains has also been highlighted in ''Supply Chain Digest'' and by [[Gartner]] as a perennial challenge.<ref>Gilmore, D., [https://www.scdigest.com/assets/FirstThoughts/08-06-12.php?cid=1750&ctype=content Supply Chain Complexity Crisis], ''Supply Chain Digest'', published 12 June 2008, accessed 4 December 2022</ref><ref>Gartner for Supply Chain Leaders, [https://emtemp.gcom.cloud/ngw/globalassets/en/supply-chain/documents/trends/how_to_reduce_supply_chain_complexity.pdf How to Reduce Supply Chain Complexity], accessed 4 December 2022</ref>

Supply chain consultants may provide expert knowledge in order to assess the productivity of a [[supply chain]] and, ideally, to enhance its productivity. Supply chain consulting involves the transfer of knowledge on how to exploit existing assets through improved coordination and can hence be a source of competitive advantage: the role of the consultant is to help management by adding value to the whole process through the various sectors from the ordering of the raw materials to the final product.<ref>S. H. Ma, Y. Lin, Supply chain management, Beijing, China, Machinery Industry Press, 2005</ref> In this regard, firms may either build internal teams of consultants to tackle the issue or engage external ones: companies choose between these two approaches taking into consideration various factors.<ref>Melissa Conley-Tyler, A fundamental choice: internal or external evaluation?, Evaluation Journal of Australasia, Vol. 4 (new series), Nos. 1 & 2, March/April 2005, pp. 3–11.</ref>

The use of external consultants is a common practice among companies.<ref>Goldberg, B and Sifonis, J G (1994), Dynamic planning: the art of managing beyond tomorrow, Oxford University Press, New York</ref> The whole consulting process generally involves the analysis of the entire supply chain process, including the countermeasures or correctives to take to achieve a better overall performance.<ref>Shuangqin Liu and Bo Wu, Study on the Supply Chain Management of Global Companies</ref>

== Skills and competencies ==
Supply chain professionals need to have knowledge of managing supply chain functions such as transportation, [[warehousing]], [[Field inventory management|inventory management]], and [[production planning]]. In the past, supply chain professionals emphasized [[logistics]] skills, such as knowledge of [[shipping]] routes, familiarity with warehousing equipment and [[distribution center]] locations and footprints, and a solid grasp of [[freight rate]]s and fuel costs. More recently, supply chain management extends to logistical support across firms and management of global supply chains.<ref>{{cite web|url=http://www.scmr.com/article/skills_and_competencies_that_supply_chain_professionals_will_need|title=Skills and Competencies That Supply Chain Professionals Will Need|website=www.scmr.com|access-date=26 July 2017}}</ref> Supply chain professionals need to have an understanding of [[business continuity]] basics and strategies,<ref>Betty A. Kildow (2011), Supply Chain Management Guide to Business Continuity, American Management Association, {{ISBN|9780814416457}}</ref> and Tramarico ''et al'' noted that several processes from other disciplinary theories, including the resource-based view, supply chain design and interorganizational relationships are integral to a mature understanding of supply chain management.<ref>Tramarico, C. L. ''et al''., [https://www.scielo.br/j/prod/a/LW3fNxVVCTLTqT5c59RtCfn/?format=pdf&lang=en Multi-criteria analysis of professional education on supply chain management], ''Production'', 29, e20180087, 2019, page 5, accessed 30 July 2023</ref> A shortage of skilled supply chain professionals was highlighted in a study by the [[Massachusetts Institute of Technology]] published in 2010, which highlighted plentiful supply of staff with "narrow technical skillsets" but shortages in the numbers of job applicants with "broader business skills".<ref>Wailgum, T., [https://www.cio.com/article/282721/enterprise-software-supply-chain-talent-in-demand-and-out-of-stock.html Supply Chain Talent: In Demand and Out of Stock?], ''[[CIO (magazine)|CIO]]'', published 15 November 2010, accessed 28 August 2023</ref><ref>Cottrill, K., [https://ctl.mit.edu/sites/default/files/library/public/MIT_WP_SC_Talent.pdf Are You Prepared for the Supply Chain Talent Crisis?] {{Webarchive|url=https://web.archive.org/web/20230828225731/https://ctl.mit.edu/sites/default/files/library/public/MIT_WP_SC_Talent.pdf |date=2023-08-28 }}, ''MIT Center for Transportation & Logistics'', Fall 2010, accessed 28 August 2023</ref>

===Certification===
Individuals working in supply chain management can attain [[professional certification]] by passing an exam developed by a third party certification organization. The purpose of certification is to guarantee a certain level of expertise in the field. The knowledge needed to pass a certification exam may be gained from several sources. Some knowledge may come from college courses, but most of it is acquired from a mix of on-the-job learning experiences, attending industry events, learning best practices with their peers, and reading books and articles in the field.<ref>Colin Scott (2011), Guide to Supply Chain Management, Springer, {{ISBN|9783642176753}}</ref> Certification organizations may provide certification workshops tailored to their exams.<ref>Carol Ptak & Chad Smith (2011), Orlicky's 3rd Edition, McGraw Hill {{ISBN|978-0-07-175563-4}}</ref>

=== University rankings ===
The following North American universities rank high in their master's education in the SCM World University 100 ranking, which was published in 2017 and which is based on the opinions of supply chain managers: [[Michigan State University]], [[Penn State University]], [[University of Tennessee]], [[Massachusetts Institute of Technology]], [[Arizona State University]], [[University of Texas at Austin]] and [[Western Michigan University]]. In the same ranking, the following European universities rank high: [[Cranfield School of Management]], [[Vlerick Business School]], [[INSEAD]], [[Cambridge University]], [[Eindhoven University of Technology]], [[London Business School]] and [[Copenhagen Business School]].<ref>{{cite web|url=http://www.scmworld.com/top-100-universities|title=University 100 - SCM World|access-date=26 July 2017|archive-date=3 July 2017|archive-url=https://web.archive.org/web/20170703154240/http://www.scmworld.com/top-100-universities|url-status=dead}}</ref> 

The following universities rank high in the 2016 [[Eduniversal]] Best Masters ranking for supply chain and logistics: [[Massachusetts Institute of Technology]], [[KEDGE Business School]], [[Purdue University]], [[Rotterdam School of Management]], [[Pontificia Universidad Catolica del Peru]], [[Universidade Nova de Lisboa]], [[Vienna University of Economics and Business]] and [[Copenhagen Business School]].<ref>{{cite web|url=http://www.best-masters.com/ranking-master-supply-chain-and-logistics.html|title=Choose a Master, an MS or an MBA in Supply Chain and Logistics|website=www.best-masters.com|access-date=26 July 2017}}</ref>

=== Organizations ===
A number of organizations provide certification in supply chain management, such as the Council of Supply Chain Management Professionals (CSCMP),<ref>{{cite web| url = https://cscmp.org/| title = Council of Supply Chain Management Professionals}}</ref> IIPMR (International Institute for Procurement and Market Research), [[APICS]] (the Association for Operations Management), ISCEA ([[International Supply Chain Education Alliance]]) and IoSCM (Institute of Supply Chain Management). APICS' certification is called ''Certified Supply Chain Professional'', or CSCP, and ISCEA's certification is called the ''Certified Supply Chain Manager'' (CSCM), CISCM (Chartered Institute of Supply Chain Management) awards certificate as ''Chartered Supply Chain Management Professional'' (CSCMP). Another, the Institute for Supply Management, is developing one called the ''Certified Professional in Supply Management'' (CPSM)<ref name=Jacoby>David Jacoby, 2009, Guide to Supply Chain Management: How Getting it Right Boosts Corporate Performance (The Economist Books), Bloomberg Press; 1st edition, {{ISBN|9781576603451}}. Chapter 10, Organising, training and developing staff</ref> focused on the procurement and sourcing areas of supply chain management. The Supply Chain Management Association (SCMA) is the main certifying body for Canada with the designations having global reciprocity. The designation Supply Chain Management Professional (SCMP) is the title of the supply chain leadership designation.

==== Topics addressed by selected professional supply chain certification programmes ====
{{split|Comparison of supply chain certification programmes|date=October 2017|section=list|discuss=Talk:Supply chain management/Archives/2017#Comparison of supply chain certification programmes}}
The following table compares topics addressed by selected professional supply chain certification programmes.<ref name=Jacoby />

{| class="wikitable sortable"
|-
! Awarding body
! {{verth|[[Chartered Institute of Procurement & Supply]] (CIPS)}}
! {{verth|Supply Chain Management Association (SCMA)<br/>Supply Chain Management Professional (SCMP)}}
! {{verth|International Institute for Procurement and Market Research (IIPMR)<br/>Certified Supply Chain Specialist (CSCS)<br/>and Certified Procurement Professional (CPP)}}
! {{verth|[[Institute for Supply Management]] (ISM)<br/>Certified Professional in Supply Management (CPSM)}}
! {{verth|The Association for Operations Management (APICS)<br/>Certified Supply Chain Professional (CSCP)}}
! {{verth|[[International Supply Chain Education Alliance]] (ISCEA)<br/>Certified Supply Chain Manager (CSCM)}}
! {{verth|American Society of Transportation and Logistics (AST&L)<br/>Certification in Transportation and Logistics (CTL)}}
! {{verth|The Association for Operations Management (APICS)<br/>Certified Production and Inventory Management (CPIM)}}
! {{verth|[[International Supply Chain Education Alliance]] (ISCEA)<br/>Certified Supply Chain Analyst (CSCA)}}
! {{verth|Institute of Supply Chain Management (IOSCM)}}
! {{verth|[[Institute for Supply Management]] (ISM)<br/>Certified Purchasing Manager (CPM)}}
! {{verth|[[International Supply Chain Education Alliance]] (ISCEA)<br/>Certified Demand Driven Planner (CDDP)}}
! {{verth|Chartered Institute of Supply Chain Management (CISCM)<br/>awards certificate as<br/>Chartered Supply Chain Management Professional (CSCMP)}}
|-
| [[Procurement]] || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}}
|-
| [[Strategic sourcing]] || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}}
|-
| [[New product development]] || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}}
|-
| Production, lot sizing || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}}
|-
| [[Quality (business)|Quality]] || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}}
|-
| [[Lean Six Sigma]] || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}}
|-
| [[Inventory]] management || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}}
|-
| [[Warehouse]] management || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}}
|-
| [[Network design]] || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}}
|-
| Transportation || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}}
|-
| [[Demand management]], [[Sales and operations planning|S&OP]] || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}}
|-
| Integrated SCM || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}}
|-
| [[Customer relationship management|CRM]], [[customer service]] || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}}
|-
| [[Pricing]] || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || Yes || {{yes2|High}}
|-
| [[Risk management]] || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}}
|-
| [[Project management]] || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}}
|-
| [[Leadership]], people management || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}}
|-
| Technology || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{yes2|High}}
|-
| [[Theory of constraints]] || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{yes2|High}}
|-
| Operational accounting || {{yes2|High}} || {{yes2|High}} || {{yes2|High}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{no2|Low}} || {{yes2|High}} || {{no2|Low}} || {{no2|Low}}
|}

==See also==
* [[Beer distribution game]]
* [[Demand-chain management]]
* [[Military supply chain management]]

==References==
{{Reflist|30em}}

==Further reading==
{{Refbegin|2}}
* Ferenc Szidarovszky and Sándor Molnár (2002) ''Introduction to Matrix Theory: With Applications to Business and Economics'', World Scientific Publishing. [http://www.worldscientific.com/worldscibooks/10.1142/4595 Description] and [http://www.worldscientific.com/doi/suppl/10.1142/4595/suppl_file/4595_chap01.pdf preview].
* [http://www.fao.org/ag/ags/publications/docs/AGSF_OccassionalPapers/agsfop17.pdf FAO, 2007, Agro-industrial supply chain management: Concepts and applications. AGSF Occasional Paper 17 Rome.] {{Webarchive|url=https://web.archive.org/web/20100525151051/http://www.fao.org/ag/Ags/publications/docs/AGSF_OccassionalPapers/agsfop17.pdf |date=2010-05-25 }}
* Haag, S., Cummings, M., McCubbrey, D., Pinsonneault, A., & Donovan, R. (2006), Management Information Systems For the Information Age (3rd Canadian Ed.), Canada: McGraw Hill Ryerson {{ISBN|0-07-281947-2}}
* Halldorsson, A., Kotzab, H., Mikkola, J. H., Skjoett-Larsen, T. (2007). Complementary theories to supply chain management. Supply Chain Management, Volume 12 Issue 4, 284–296.
* Hines, T. (2004). Supply chain strategies: Customer driven and customer focused. Oxford: Elsevier.
* Hopp, W. (2011). Supply Chain Science. Chicago: Waveland Press.
* Kallrath, J., Maindl, T.I. (2006): Real Optimization with SAP® APO. Springer {{ISBN|3-540-22561-7}}.
* Kaushik K.D., & Cooper, M. (2000). Industrial Marketing Management. Volume29, Issue 1, January 2000, Pages 65–83
* Kouvelis, P.; Chambers, C.; Wang, H. (2006): ''Supply Chain Management Research and Production and Operations Management: Review, Trends, and Opportunities.'' In: Production and Operations Management, Vol. 15, No. 3, pp.&nbsp;449–469.
* Larson, P.D. and Halldorsson, A. (2004). Logistics versus supply chain management: an international survey. International Journal of Logistics: Research & Application, Vol. 7, Issue 1, 17–31.
* Simchi-Levi D., Kaminsky P., Simchi-levi E. (2007), Designing and Managing the Supply Chain, third edition, [[McGraw-Hill]]
* Stanton, D. (2020), ''Supply Chain Management For Dummies'', Second Edition. Wiley New York. {{ISBN|978-1119677017}}
* Houlihan, J.B. (1985), "International Supply Chain Management", [[International Journal of Physical Distribution & Logistics Management|International Journal of Physical Distribution & Materials Management]], Vol. 15 No. 1, pp.&nbsp;22–38. {{doi|10.1108/eb014601}}
* {{cite journal|title = Adopting new technologies for supply chain management|journal = Transportation Research Part E: Logistics and Transportation Review|volume = 39|number = 2|pages = 95–121|year = 2003|issn = 1366-5545|doi = 10.1016/S1366-5545(02)00041-8|url = https://www.sciencedirect.com/science/article/pii/S1366554502000418|author = Kirk A. Patterson and Curtis M. Grimm and Thomas M. Corsi| bibcode=2003TRPE...39...95P |url-access = subscription}}
* Douglas J. Thomas, Paul M. Griffin, Coordinated supply chain management, [[European Journal of Operational Research]], Volume 94, Issue 1, 1996, Pages 1–15, {{ISSN|0377-2217}}, {{doi|10.1016/0377-2217(96)00098-7}}
* {{cite journal|title = Issues in Supply Chain Management: Progress and potential|journal = Industrial Marketing Management|volume = 62|pages = 1–16|year = 2017|issn = 0019-8501|doi = 10.1016/j.indmarman.2016.12.002|url = https://www.sciencedirect.com/science/article/pii/S001985011630308X|author = Douglas M. Lambert and Matias G. Enz|url-access = subscription}}
* Keah Choon Tan, "A framework of supply chain management literature", [[Journal of Purchasing and Supply Management|European Journal of Purchasing & Supply Management]], vol. 7, no. 1, (2001), pp.&nbsp;39–48, {{ISSN|0969-7012}}, {{doi|10.1016/S0969-7012(00)00020-4}} 
* {{cite journal |author=Croxton, Keely L.; García-Dastugue, Sebastián J.; Lambert, Douglas M.; Rogers, Dale S. |title=The Supply Chain Management Processes |url= |journal=[[International Journal of Physical Distribution & Logistics Management]] |year=2001 |publisher=[[Emerald Group Publishing]] |volume=12 |issue=2 |pages=13–36 |doi=10.1108/09574090110806271 |access-date=}}
{{refend}}

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[[Category:Supply chain management]]
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