Certify and Increase Opportunity.
Be
Govt. Certified SCM Professional
Importance of Supply Chain Management
Supply Chain Management plays a pivotal role in all organizational activities and is indispensible to operational efficiency. Organizations are progressively relying on effective supply chains to compete in the global market. Nowadays, competition is not only restricted between companies but also between supply chains. For many companies, supply chains determine a considerable portion of product cost and quality as well as increase their prospects for innovation and competitiveness.
In the 21st century, changes in the business environment have added to the development of supply chain networks. Rapid globalization, expansion of multinational companies, strategic alliances, changes in technology and environmental concerns, etc have all led to changes in the way members of the supply chain are communicating and coordinating with each other.
Global markets are expanding beyond traditional boundaries and are re-inventing the way demand and supplies are being managed. International corporations are increasingly looking for markets abroad. In an effort to decrease the cost of manufacturing, companies are looking for production centers where cost of materials and labour is cheap. In a paradigm shift, companies are purchasing materials globally from various vendors to supply raw materials to their factories present in different countries. The finished goods out of these different factory locations then go through different chains of distribution channels involving warehouses , distributors, retailers and finally to the end customer.
Inventory for any organization means value and is an asset. They are the cost drivers and directly affect the revenue of the company. Every business has a standard for inventory turnaround that is favorable for the business. Inventory turnaround refers to the number of times the inventory is sold and replaced in a period of time. In an international business scenario, the finished goods are stored at many distribution centers. Since any loss of inventory anywhere in the supply chain results in a loss of profit, greater control of inventory and visibility of inventory are important advantages of the Supply chain management process.
SCM provides many tools and techniques that help businesses identify problems and offers solutions for the external as well as internal disturbances in the business environment. The most significant thing in business it o manage competition while creating new customers. SCM helps to make business efficient and competitive. This makes SCM one of the most essential business processes in the world today.
Test Your Supply-Chain Management Skills By Taking Our Practice Tests on This Link
Apply for Supply Chain Certification Now!!
http://www.vskills.in/certification/Supply-Chain-Management-Certification
