Supply management plays a major role in any business organization. As such, there is every need for managers and all stakeholders to embrace good supply chain management while executing their management and leadership roles.
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What are the advantages of maintaining good supply chain management? This essay gives an analysis of the impact of maintaining good supply chain management in any form of business.
It is worth noting that supply management does not function alone; many other departments are always involved in ensuring its success and economical impact. However, the number of departments involved solely depends on the size of a given organization. While this is the case, it has been found that supply chain managers must work with certain departments in order to realize set goals and objectives of the organization.
These departments include engineering, finance, operations, marketing, quality and information technology (Burt, Petcavage & Pinkerton, 2010). Importantly, these departments must maintain certain relationships to promote effective business performance.
Firstly, any supply chain management has to closely work with the engineering department in order to establish supplies to be procured at any given moment during the operation of the business. Besides this acquisition, the engineering department makes purchases for products which may have been configured or designed.
It is therefore important for supply managers to liaise with the department to ensure that all required materials for manufacturing of relevant products are purchased in time (Burt, Petcavage & Pinkerton, 2010). On the other hand, manufacturers and the operations departments heavily depend on the supply manager to supply material for manufacturing to take place.
Good supply chain management therefore ensures that materials are procured early enough to avoid delays in product manufacturing. Constant communication is a necessity in ensuring that materials are availed timely to avoid disappointing customers with delays.
Similarly, quality is a major requirement in any organization. All departments have no option but to ensure that products being produced are of high quality beyond the expectations of customers. Good supply chain management ensures that products manufactured satisfy the needs of customers through collaboration with the quality department (Burt, Petcavage & Pinkerton, 2010).
In the event the quality does not meet required standards, supply managers must take full responsibility to correct the error and assure customers of future quality products. In addition, good supply chain management guarantees a good relationship with the marketing department whose mandate is to paint a positive image of the company and its products among current and potential customers within the market.
As a result, customers are assured of quality through marketers as the organization introduces new products into the market. A good supply chain management focuses on opportune manufacturing, quality products and identification of the target market (Batten, 2008). This approach is important to enable marketers to communicate with customers.
Moreover, good supply chain management must embrace the role of information technology in every business operation. It allows proper coordination augmented through an elaborate communication infrastructure and a tracking system. Supply chain managers have to work with the information department to ensure correct and up to date systems are being used to store and process business information and data (Burt, Petcavage & Pinkerton, 2010).
Based on the above analysis, it suffices to mention that good supply chain management significantly impacts the running of any form of business. There is every need for managers in charge to closely work with all departments in order to meet the needs of customers through quality and timely manufacturing of required products.
Batten, L. (2008). Supply Chain Management 100 Success Secrets – 100 Most Asked Questions: The Missing Scm Software, Logistics, Solution, System and Process Guide. London: Lulu.com.
Burt, D. N., Petcavage, S. D., & Pinkerton, R. L. (2010). Supply management (8th Ed.). McGraw‐Hill: Boston.