Essay On Supply Chain Management

974 Words4 Pages
1 Introduction Supply Chain management concept is an integral part in the procurement of goods and services in the public and private. The government has introduced this mechanism to ensure value for money and high level of service delivery through public institutions. According to the Council of Supply Chain Management Professionals (2018), supply chain management “encompasses the planning and management of all activities involved in sourcing and procurement, conversion, and all logistics management activities. Importantly, it also includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third party service providers, and customers. In essence, supply chain management integrates supply and demand management within and across companies”. Supply Chain Management in the context of South African legislation, includes activities such as hiring, buying and letting, granting of any right and disposal of government property is a vital concept that helps the government met the requirements of this provision. In this assignment will briefly discuss…show more content…
Supply chain management involves entails the management of all these activities along the supply chain to ensure that all the need and wants, present and future of customers are met in an efficient manner. The performance of these activities involves risks inside or outside of all organizations in a specific supply chain. Subsequently, risk management must be applied at every stage of the supply chain management to avoid interruptions in the supply chain that can be caused by eternal or external risks. The external and internal risks include, among other things, demand risks caused misunderstood customer and manufacturing caused by internal disruption of production
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