Managing SCM Well Require Attention Essay

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The difference between these two methods lies in the fact that whereas the latter works on making itself thinner in order to reach customer as fast as possible, the former attempts to achieve its objectives by strengthening internal communications and operations management.

The research proposition of Caglaino et al. (2006) was that supply chain strategies and manufacturing strategies should be linked in order to be most effective. their study showed the existence of a link between the two dimensions of supply chin system (i.e. The integration of information flows with physical flows (of products itself) and their conclusion was that external integration strategies need to be supported by internal integration within the firm, for both together provide the whole with a coherent approach and potential successes of the project.

Attention to both internal and external details is also important since organizations increasingly find that they need to rely on effective networks in order to best compete in our networked economy.

Globalization, outsourcing, and information technology are scenarios that have compelled hyper industries such as Dell and Hewlett Packard (Cox, 1999) to realize that they have to merge close attention to both external and internal systems in order to successfully operate their huge network of international connections.

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Traditionally, companies, particularly small ones, have focused ion the input and output of the processes, most specially on external processes i.e. The raw material coming in and the end product being delivered to the client. Focus on internal systems and internal management has been ignored. Now key players have realized the importance of internal management too, and internal management, such as communication within the industry is also closely regulated. It is understood that all parts of the SCM model have to be closely seen to in order that an effective product emerge.

Reference

Cagliano, R., Caniato, F. & Spina, G. (2006). The linkage between supply chain integration and manufacturing improvement programmes. International Journal of Operations & Production Management, 26(3/4), 282-299.

Cox, A. (1999). Power, value and supply chain management, Supply Chain….....

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