A supply chain is a network between a company and its suppliers to produce and distribute a specific product or service. The functions of a supply chain include product development, marketing, operations, distribution, finance and customer service. A company creates a network of suppliers ("links in the chain") that move the product from the suppliers of raw materials to the organisations that deal directly with users. By positioning themselves in this way, they may have to focus on finding suppliers with materials at a lower cost than their competitors.
A supply chain encompasses everything from the delivery of source materials from the supplier to the manufacturer to their eventual delivery to the end user. A supply chain is a connected system of organisations, activities, information and resources designed to source, produce and move goods from their origin to their final destination, typically from a supplier to an end customer. Traditional supply chains had a more localised, bottom-up approach that dictated working closer to the supplier. Supply chain manager: A supply chain manager works closely with external partners and suppliers to produce product, build inventory and sell products to external markets.
The goal of supply chain management is to look holistically at the entire supply chain, from supplier to consumer, and to review three key areas: people, processes and systems, in order to maximise the value of all activities. Supply chain management (SCM) is the oversight of materials, information and finances as they move through a process from supplier to manufacturer to wholesaler to retailer and then to consumer. Supplier quality engineers also work with manufacturers to drive continuous improvements that enhance quality and streamline supply chains for the production of future products.