An Introduction to the Supply Chain and the Firm's Position within It Essay

An Introduction to the cede range and the Firms Position at bottom It - Essay ExampleDiscussion A ply Chain may be seen as a series or network of facilities and distribution channels which facilitate the procurement, processing and conversion of raw materials into sinless products and their distribution from the place of performance to the final customer through a series of distribution stages. The stages are characterized by the distributer at the given stage and the activities that are performed by the distributor to ensure the livery of the product to the end customer (Wiley 2012). The supply bowed stringed instrument usually takes diverse forms. The structure of the firm varies in length, size, shape and the kind of activity involved. Also, a firm may be part of more than adept interconnected supply chains, whose final outcome might be differentially diverse (Enporion 2009). Thus the Supply chains may sometimes more appropriately be referred to as Supply networks. For e xample Kelloggs the world leading breakfast cereal and snack producer, sources raw materials from different sources which are functionally as well as geographically diverse. Further, Kelloggs collaborates with a huge network of distributors handle wholesalers, retailers and other outlets exchangeable hotels etc to make its product reach to the end customers (The Times 2012). Once the concept of a Supply chain as part of the value chain is established, the concept of Supply Chain Management (SCM) comes to the fore. However it is burning(prenominal) to understand the concept of logistics first. Logistics is concerned with Flow of materials and information to and from a firms boundaries aiding in the production and distribution of its products to the customers. At the same time, supply chain is a network of companies performing these logistical activities in concert to bring a product or products to the market. Also, a supply chain, apart from the logistical activities, also include s activities like marketing, finance and customer service. Supply Chain management thus is concerned with the coordinated activities of production, location and origin among the various participants of a supply chain. The activities are directed such that a mix of responsiveness and cogency that is best suited to the market is carry throughd (Wiley 2012). Supply chain management is therefore concerned with the efficiency and posture of a supply chain. One of the major objectives of a supply chain is to reduce the logistical costs. Also, it strives to achieve an incentive within the system to remove waste from the processes or activities involved. It is through effective Supply Chain management that a firm can achieve the objective of a giving a ruin and differentiated value to the end customer. Kelloggs for instance achieves this value through activities like partnering with supermarkets like Tesco. It follows confining relationships with such partners. It has come up with a s helf ready unit at Tesco, which helps gives better picking and visibility to customers. Also, it augurs well for the sales both for Tesco as well as for Kelloggs. In the recent years, Supply Chain Management has assumed an increasingly important role. This is so due the increasing globalization and industrial competition. From the perspective of stakeholders of a supply chain