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Introduction to Supply Chain

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Supply Chain Management
Definition, Introduction and Fundamental Concepts

* Definition
A supply chain is a global network used to deliver products and services from raw material to customers through an engineered flow of information, physical distribution and cash.
3 entities 4 flows , to connect
A basic supply chain Is formed of a supplier a producer and the customer , connected with four basic flows : 1- The flow of physical material and services from supplier to the producer to transform them into consumable products for distribution to the final customer 2- The flow of cash back to the raw material supplier; 3- the flow of information back and forth along the chain ; 4- and the reverse flow of product for repair, or disposal
A supplier / a vendor /a seller may provide :- * raw material s * services * Energy * Components
A producer receives the material , supplies services to turn them into consumable products or services such as : * Products(airplanes, cars, furniture,..) * Power (electric, fuel ,..) * Professional services(guided tours, engineering services,..) * Government Services(educational , health care,..)
A producer deliver the finished product to a customer that receives its final customer and consumers * There are three main types of Supply Chain Strategies :- a- Stable – appropriate for chains that use efficient execution with efficient cost & time performance and do not require real time information such as a table salt manufacturer, producing a continuously needed product b- Reactive- acts with entities that acts to fulfill timely demand from trade partners’ sales and depend on marketing strategies (demands of a sports team) c- Efficient reactive- which focuses on efficiency and cost management on the total delivered finished goods or services, aligned with...

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