Supply Chain Management (SCM)


Supply chain management historically comprises operational functions like logistics, transportation and warehousing. Best practice companies address SCM by integrating these core value creation functions in an end-to-end process. Efforts to optimize a company's supply chain must therefore focus on a thorough weighting of costs and benefits and a clear understanding of customers' needs.

Several crucial questions have to be answered:

  • Is the supply chain in line with the business strategy?
  • How can the complexity of global sales vs. global logistics be reconciled?
  • How can the company best meet customer demand while holding minimal inventory stock?
  • What measures have to be taken along the full length of the supply chain in order to improve its overall performance?


Introducing an order processing center for a manufacturer of components to reduce working capital and increase on-time delivery