Is the management of the flow of goods and services and includes all processes that transform raw materials into final products. It involves the active streamlining of a business' supply-side activities to maximize customer value and gain a competitive advantage in the marketplace.
Supply Chain Management construct a connected network with suppliers to develop and implement supply chains that are as efficient and economical as possible. Supply chains cover everything from production, to product development, to the information systems needed to direct these undertakings.
Supply Chain Management strive to centrally control or link the production, shipment, and distribution of a product. By managing the supply chain, companies are able to cut excess costs and deliver products to the consumer faster. This is done by keeping tighter control of internal inventories, internal production, distribution, sales, and the inventories of company vendors.
Supply Chain Management is based on the idea that nearly every product that comes to market results from the efforts of various organizations that make up a supply chain.