...It is a document which evidences the contract of carriages between the shipper and the carrier for carriage of goods Supply Chain Management | SCM Cloud
...It is a document which evidences the contract of carriages between the shipper and the carrier for carriage of goods




...It is a document which evidences the contract of carriages between the shipper and the carrier for carriage of goods

Challenges of supply chain management


It is clear that throughout the whole supply chain a large number of concerns is capturing our minds. According to the position of an organization in the supply chain the points of analysis and supply chain management strategies are different for different organizations.

The enormous rate at which supply chains are being stretched and diversified worldwide is making the chain too complex to be managed and controlled. Identifying areas of possible weaknesses and challenges across the chain and adopting strategies to minimize their possible effects on a company is one of the best supply chain management practices.

Increasing cost pressure

It is no secret cost reduction and cost avoidance are being more challenging in today's constantly increasing cost pressure. Costs associated with procurement, inbound and outbound logistics, storage and maintenance of inventory are considered as major costs, which can be reduced by effective supply chain management. If research on the current trends of cost, probable reasons behind them and alternative options could be done at an earlier time, there is a greater chance to minimize the effect of cost increase on your company.

Changing customer demand

Supply chain managers are looking for ways to minimize the effect of continuously and rapidly changing demand on the supply chain. Increasingly complex pattern and volatility of customer demand are creating tremendous pressure on the supply chain. To anticipate and react to the variable customer and consumer demand a company and the supply chain as well should be as agile as possible. It is better to adopt pull supply chain management strategies to respond this variable demand.

Uncertainties in supply delivery

Your company's ability to deliver the right products to your customers can be totally damaged if you do not get the right supplies from your suppliers. If your suppliers or suppliers' suppliers or any other entity located in the upstream of supply chain fails to maintain product quality or delivery lead time the whole supply chain may be affected. Among the delivery uncertainties delay in lead time, non-conformities of deliveries with the specifications are major.



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