MGT 201 Chapter Notes - Chapter 11: Accounts Payable, Bullwhip, Order Fulfillment
Document Summary
Supply-chain management is the integration of the activities that procure materials and services, transform them into intermediate goods and final products, and deliver them to customers. There are eight key activities that are part of an excellent supply-chain system: transportation vendors, credit and cash transfers, suppliers, distributors, accounts payable and receivable, warehousing and inventory, order fulfillment, sharing customer, forecasting, and production information. Activities of supply chain managers cut across accounting, finance, marketing, and the operations discipline. Firms must achieve integration of strategy up and down the supply chain, and must expect that strategy to be different for different products and to change as products move through their life cycle. These days as businesses are becoming globalized, they highly rely on fast transportation, and vendor reliability. Businesses have fewer suppliers to reduce cost and stay competitive, but this increase their reliance on that one specific suppliers.
