Supply Chain Management and E-Commerce

Before determining whether or not these terms can be considered either mutually exclusive, or mutually inclusive, it is essential to agree upon definitions of both terms. "Supply Chain Management" is usually considered to be interchangeable with the science of "logistics," of which it is a subset. The primary arbiter of the concept of logistics is the non-profit standards association, the Council of Logistics Management.

The definition they give is "the process of planning, implementing, and controlling the efficient, effective flow, and storage of goods, services, and related information from point of origin to point of consumption for the purpose of conforming to customer requirements" (Minahan, 1996, 48). This organization, by extension and conventional usage, then determines that "supply chain management is the implementation of macro-and-micro management techniques that are designed to ensure that products are delivered on time and on budget" (Minahan, 1996, 50). "E-Commerce" is a much more unwieldy term, used in the literature to suggest everything from selling books online to transferring bank account information between governments.

Because it is unwieldy, and is used by so many scholars to mean so many things, the term is also very flexible and can be used in any argument, when its broadest interpretation, that of doing electronically what was once done manually, is considered. G

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ts, ones which allow normal transport through air, land and sea transportation channels, then there are few problems. But what about when a country of consumption (or origin) like Indonesia is going through the political unrest that it is enduring right now? Most bills of lading have the "Acts of God" clauses that indemnify the shipper or shippers from events and circumstances beyond normal means of control. But what affect does such a circumstance have on companies in the country of origin and the country of consumption who need the products each other has routinely sent to each other in more peaceful times? (Wilson, 1996, 35). Is there a difference in shipping a container of computers from San Francisco to Riyadh, and sending packets of E-mail from San Francisco to Riyadh? Is one good more important or more valuable than the other? Before coming to a quick answer, consider the possibility that the E-mail message contains instructions to transfer payment of $1 billion from a bank in Malaysia to a bank in Mecca? There is certainly an aspect of "commerce" in this situation. In fact, the E-mail message went through more countries (and even into outer space) than the container shipment. Are there logistical concerns with th
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Approximate Word count = 1214
Approximate Pages = 5 (250 words per page)

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