SUPPLY CHAIN MANAGEMENT: GENERAL REVIEW
Supply-chain management plays a central role in the management of a companyÆs value-chain. Essential to the effectiveness of a companyÆs supply-chain management are the concepts and procedures associated with cycle-time reduction and just-in-time resource management (Sharland, Eltantawy, & Giunipero, 2003). This research presents a general review of supply-chain management that includes (a) its importance to a firmÆs management of its value-chain and (b) the contributions of cycle-time reduction and just-in-time resource management to effective supply-chain management.
Reviewing Supply-Chain Management, Its Importance in the Management of a CompanyÆs Value-Chain, and the
Contributions of Cycle-Time Reduction and
Just-in-Time Resource Management to Effective Supply-Chain Management
Waste, considered in the context of managing production operations, refers to any activity that detracts from the creation of value. In the current environment of global business operations, competitive advantages derive in large part from the integration and coordination of the various activities of the value chain. In such an environment, it is important to reduce total costs as well as design, production, and distribution times (Nichols, 2003).
The global environment in which business functions today requires achievement of high standards of performance in quality, timeliness, total costs, and customer service. To reach these levels of performance simultaneously, a company must change and improve all the phases in the value chain continuously. In each phase of the value chain (design, purchasing, production, and distribution), these actions must involve organization and management, management systems, and technology management and application (Dasgupta, 2003).
The reduction in costs throughout the operation chain and the compression of time within the supply chain make it possible to ...