Supply Chain Management (SCM), defined here as the construction of productive systems spanning over organizational borders with suppliers and customers and integrated via humanbased and information technology systems to satisfy final customer requirements, is introduced as a key concept to accelerate Romania’s economic transition as it approaches EU membership, as well as to develop a modern supplier network. We introduce SCM from a system perspective along three broad areas: input, operations, output and system integration activities. We close by introducing constraints to SCM implementation in Romania. The first major constraint involves a lack of appropriate physical and human capital. Modernization of antiquated equipment and training employees in modern operations practices are prime requisites. The second major constraint, and perhaps the more difficult to change, deals with a lack of social capital among Romanian firms and adapting to appropriate managerial and worker values and attitudes
