Home Supplychain Videos Supply Chain Basics Series What does a Supply Chain Manager manage in a Supply Chain?

What does a Supply Chain Manager manage in a Supply Chain?


What does a Supply Chain Manager manage in a Supply Chain? So in this video what we’re going to see are – – What is Supply Chain Management?

Prerequisite Videos (see them in the same order as given)

What is Supply Chain – Part I
What is Supply Chain? – Part II
A Dream Career in Supply Chain Operations Roles

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Transcript of video

Hello everyone welcome back to the supply chain basic series I am Alvis Lazarus your supply chain Mentor at SupplyChainWay.com

What we have seen till now in this basic series are 1. what is supply chain and 2. what are all the roles within supply chain if you have not seen those videos I have given those Links at the description of this video you can go through those videos and then come back and listen to this video so that you will get a continuity of this topic in this session we are going to discuss about what is Supply Chain management so let’s get it started.

So, This is the supply chain model we have seen in the previous videos now the question is – what is supply chain management?.

To put this question in a different way.

What is that is getting managed within a supply chain? To answer the question I’m going to quickly rearrange the supply chain model Model a little bit so that it is very easy to explain the same so I put all the key stakeholders into a single line so the first thing we manage within a supply chain is the product.

So let me explain the product flow within the supply chain.

So in terms of product it all starts from the supplier shipping the raw material to the manufacturer.

The manufacturer converts the raw material into the finished product and then through the distribution sends it to the retailer and then the retailer.

ships the product to the customer.

So if you see the product flow.

It moves from the supplier to the manufacturer.

to the distributor.

to the retailer and and to the customer so the flow of product is from the left to the right in terms of the moment of product in supply chain the second one what we manage in a supply chain is the information; there is an interaction between the manufacturer and the retailer /

customer; there is an interaction between the manufacturer and supplier if you see that the information is not one way

It is always two ways so that means the manufacturer send some information like the purchase orders and related communication the supplier communicates back the readiness of the product information is always to and fro within the supply chain so the information flow could becould be an oral communication it could be on emails or it would be a digital communication through some of the Systems and Technology.

Third one is

Cash. Moment the raw material is sent to the manufacturer the manufacturer pays the supplier.

And then the manufacturer after the conversion of raw material to the finished product the manufacturer sends that finished goods to the retailer and the retailer has to make the payment to the manufacturer and finally the retailer sells the product…

to the customer and the customer makes the payment for it so if you see the flow of cash.

All the funds which are going to the supply chain is actually funded by the customer and the cash moves from the right-hand side to the left hand side.

So these are the three things which are managed within the supply chain.

Product, Information and cash; so this explains what is Supply Chain management if you have any questions around this feel free to drop a note in the comments section down to this video I would be glad to answer them for you. thank you so much.

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