1. What is a supply chain?
In the commercial field, everyone is talking about the supply chain, and the core of international commerce also focuses on the supply chain, so what exactly is a supply chain?
Supply chain (Supply chain) refers to a series of processes including but not limited to "mining, processing, etc. , production, integration, packaging, sales, transportation” and other behaviors, and finally complete the whole process of successfully delivering the above-mentioned required products or services to the user, as well as the actors at each link and node, collectively referred to as the supply chain .
From another perspective: the supply chain includes a system of multiple subjects such as raw material suppliers, suppliers, manufacturers, warehouses, transporters, distributors, retailers, and end customers.
2. What are the links in the supply chain?
There are generally six business links in the supply chain:
1. Plan
Where there is a demand, there is a demand plan or order, including the basic parameters and attributes of the demanded object, demand time, quantity, delivery method, location and other factors.
2. Purchasing
Where there is a need, there is a process of buying, that is, the procurement link. In this link, it is necessary to solve core business content such as finding and determining suppliers, determining quality, price, determining delivery methods, and payment methods.
3. Pay
There is buying and selling, that is, the transaction process with funds, that is, payment. Payment may be made before or after production.
4. Production
Including raw material mining, processing and reprocessing, including physical assembly, also covers chemical fusion, and also includes packaging of finished products.
5. Logistics
The delivery of demand will generate the process of transportation, and logistics is an important link. Logistics connects every node in the supply chain into a line.
6. Acceptance
Delivery is not the end, and successful delivery is the last link in the supply chain. The meaning of success includes after-sales links such as returns, maintenance and repairs, as well as positive comments from users on the demanded items. It also includes the value pursuit of the supply chain.
3. How many types of supply chains are there?
There are many types of supply chains, which can be divided into different types according to different classification standards:
1. Divided according to different scopes
(1) Internal supply chain: refers to the supply and demand network composed of purchasing department, production department, warehousing department, sales department, etc. involved in the production and circulation process of the enterprise's internal products.
(2) External supply chain: refers to the supply and demand network composed of raw material suppliers, manufacturers, storage and transporters, retailers and final consumers involved in the production and circulation of products related to the enterprise outside the enterprise.
The internal supply chain and the external supply chain together constitute the supply chain of the enterprise's products from raw materials to finished products to consumers.
2. Divided according to the degree of complexity
(1) Direct supply chain: In the upstream and downstream flow of products, services, funds and information, it is composed of the company, the company's suppliers and the company's customers.
(2) Extended supply chain: Including direct suppliers and customers of direct customers, all these members participate in the upstream and downstream flow of products, services, funds and information.
(3) Terminal supply chain: including all organizations involved in the upstream and downstream flow of products, services, funds, and information from terminal suppliers to terminal consumers.
3. Divided according to different stability
(1) Stable supply chain: The supply chain formed based on relatively stable and single market demand has strong stability.
(2) Dynamic supply chain: The supply chain formed based on relatively frequent changes and complex demands is highly dynamic.
4. According to different capacity requirements
(1) Balanced supply chain: A supply chain has a certain and relatively stable equipment capacity and production capacity (combination of the capabilities of all node enterprises, including suppliers, manufacturers, transporters, distributors, retailers, etc.), but User demand is in a process of constant change, when the capacity of the supply chain can meet user demand, the supply chain is in a balanced state.
(2) Slanted supply chain: When market changes intensify, resulting in increased supply chain costs, increased inventory, and increased waste, the company is not operating in an optimal state, and the supply chain is in a skewed state.
5. According to different functions
(1) Effective supply chain: It mainly reflects the physical function of the supply chain, that is, the transformation of raw materials into parts, semi-finished products, products, and transportation in the supply chain at the lowest cost.
(2) Reactive supply chain: It mainly reflects the function of the market intermediary of the supply chain, that is, to distribute products to the market that meets the needs of users, and to respond quickly to unexpected needs.
(3) Innovative supply chain: It mainly reflects the customer demand function of the supply chain, that is, according to the preferences of final consumers or fashion guidance, and then adjusts product content and form to meet market demand.
6. According to the different status of enterprises in the supply chain
(1) Leader-type supply chain: refers to the node enterprise of a certain member in the supply chain that occupies a dominant position in the entire supply chain and has a strong ability to radiate and attract other members. This enterprise is usually called a core enterprise or a leading enterprise .
(2) African-led supply chain: It means that the status of enterprises in the supply chain is not much different from each other, and the importance to the supply chain is the same.
4. Characteristics of the supply chain
1. Complexity
The supply chain covers many types, types, and regions of enterprises. Compared with a single enterprise, the supply chain is more complex in many aspects such as structure, scale, and management mode.
2. Dynamic
Due to the complex and changeable market environment, enterprises in the supply chain need real-time dynamic updates to adapt to the changing environment and achieve the overall optimization of the supply chain.
3. Intersectionality
The node enterprises in the supply chain may provide products and services for the node enterprises in multiple supply chains, forming the characteristics of many supply chains intersecting each other.
4. To meet customer needs as the goal
In the operation process of the supply chain, under the guidance of the plan, the supply chain realizes the integrated flow of the four streams is based on the pull of end demand, and the goal is to meet the end customer demand.
5. Importance of supply chain
1. Supply chain management plays an important role in improving the overall efficiency of logistics
By strengthening supply chain management, the entire circulation process of commodities can be fully optimized, the circulation path of commodities can be shortened, so that commodities can reach the demand side in the shortest path and in the shortest time, greatly improving the overall efficiency of logistics, Highlight the rapidity of logistics. In the current development of logistics enterprises, transportation efficiency is an important indicator to measure logistics enterprises. Judging from the current development of logistics enterprises, after applying the theory of supply chain management, the overall work efficiency of logistics enterprises has been significantly improved. Therefore, we should have a comprehensive and correct understanding of the role of supply chain management.
2. Supply chain management plays an important role in promoting the rapid and healthy development of logistics
From the perspective of social development, the development of e-commerce has driven the rapid development of the logistics industry. How to improve the overall level of the logistics industry in the face of new opportunities and achieve rapid and healthy development has become an important development goal of logistics companies. Based on this practical need, logistics enterprises can only ensure the rapid and healthy development of logistics enterprises by actively using the powerful means of supply chain management to strengthen the management of supply chain processes and making supply chain management an important support for logistics enterprises. To this end, we should realize the important role and influence of supply chain management on logistics enterprises, and use supply chain management as an effective means correctly.
6. Advantages of the supply chain
Supply chain management revolves around the organic integration of suppliers, manufacturers, warehouses, distribution centers and distributors, so it includes activities at many levels of the enterprise, including strategic, tactical and operational levels.
1. To the manufacturer
Reduce costs, achieve volume discounts and stable prices, increase product quality while reducing inventory levels, improve time management, shorten delivery lead times, and increase reliability.
2. For suppliers
Ensure stable market demand, better understanding of user needs, improve operation quality, improve parts production quality, reduce production costs, and improve response speed to changes in buyer's delivery time.
3. For both parties
It can effectively reduce duplication among members, eliminate redundant steps in the process, and make the supply chain process low-cost and efficient.
The above is the whole content of " What is a supply chain (Supply chain) " shared this time , I hope it will be helpful to everyone. Recommendation of the previous supply chain article: The first low-code project in practice! 2 people and 14 days to quickly build an e-commerce enterprise supply chain management platform