In simple terms, supply chain management is the flow of raw materials supplied from supplier to finished good finally reaching the end consumer. The SCM determines complete process by taking right quantity and making sure it reaches the customer at the right time. Supply chain management is largely related to logistical process and largely falls under FMCG industry. The supply chain network starts with the delivery of raw material from supplier to a manufacturer, ending with the finished product for the end consumer.
There are number of modules involved in supply chain management area-
Production planning- This involves creating and ideating various strategies for future prospects.
Sales and operations- From forecasting to creating data, the process involves formulating sales and operations.
Capacity planning- Determining the labor and facilities for the manufacturing prospects
Supply chain management is the backbone of any business organization, and logistics is the major part of SCM. Companies need to ensure that the SCM is finely formulated to keep the process of development and production smooth. For the smooth flow of SCM, there is requirement of good supply chain finance with high potential.