Comprehensive Analysis Of Three Key Flows In Supply Chain Management
global supply chain
In the vast arena of business management, one field that stands as a backbone of every enterprise is Supply Chain Management (SCM).
An efficient Supply Chain ensures a seamless flow of goods, information, and finances, making business operations efficient and competitive.
In the vast arena of business management, one field that stands as a backbone of every enterprise is Supply Chain Management (SCM).
Three critical flows in Supply Chain Management: Material/Product Flow, Information Flow, and Financial Flow.
Material or Product flow is a key aspect of supply chain management, the material or product flow refers to the physical movement of goods from the point of origin (supplier) to the point of consumption (customer).
Material or product flow flow is typically unidirectional - moving from the supplier to the customer .
The information flow in supply chain management is bi-directional, moving from suppliers to customers and vice versa.
Information flow encompasses all data exchanges, including order transmission, delivery status updates, and real-time tracking.
The financial flow involves the movement of money from the customer to the supplier, typically after the product delivery and verification
Financial flow can also move from the supplier to the customer, as in the case of credits or rebates.