Supply chain integration:challenges and solutions

Since its introduction by management consultants in the early 1980s, supply chain management (SCM) has been primarily concerned with the integration of processes and activities both within and between organisations. The concept of supply chain integration (SCI) is based on documented evidence that suggests that much of the waste throughout businesses is a consequence of fragmented supply chain configurations. However, there is also evidence to suggest that the achievement of higher levels of intra- and inter-firm integration presents an array of managerial challenges. The need for innovation in all aspects of SCM is widely recognised. Given the pivotal role of the integration paradigm within SCM, any meaningful innovation in this area must focus heavily on this issue. This chapter outlines some of the challenges by exploring the evolving SCM business context. It goes on to relate SCM theory to the widely cited Porter value chain concept. The core of the chapter provides a detailed description of SCI based on a wide variety of literature. It does so with particular reference to the challenges inherent in implementing an integrated business paradigm with a view to identifying a range of possible innovative solutions. The adoption of more integrated supply chain structures raises questions regarding the nature of both internal and external customer/supplier relationships. The effective management of such relationships is, therefore, given particular focus

Supply Chain Analysis

This chapter focuses on supply chain strategies that benefit organizations to meet the global challenges and business success. The chapter supports understanding of functional coordination in supply chain management, importance of supply chain partnership and performance measures, bullwhip cause-effect and consequences, business promotion strategies, and approach to synchronize operation schedule to improve supply chain operations. Bullwhip effect is often seen as a challenge to improve supply chain performances. It also discusses the strategies to reduce bullwhip effect, various well-known contract agreements that are currently practiced by many supply chain organizations, its impact and benefits on supply chain success