Storey and Emberson (2006) has segregated the management of supply chain into three distinct conceptual sections. The first concept deals with product flow that ensures movement of relevant resources from suppliers to manufacturers and from the manufacturers to retailers so that right consumer segment can obtain an access to the products and services at the right time. The next concept involves incorporation of information flow that enables a business to obtain the most updated information regarding the changes in market segment, arrival of new competitors, buyers’ specification and utilization of technologies etc.
as well as the information related to transformation of raw materials into final goods and the delivery status of those goods from inventories to retailers and from retailers to consumers. The third concept of supply chain management i. e. finance flow, assists the organizations in terms of proper execution of working capital management and managing the payment schedules from debtors and wholesalers. In fact, according to the vision of Ali and Habib (2012) regarding supply chain management, the whole system is highly dependent upon efficient process planning and proper execution of the planned procedure in terms of tracking the status of resource procurement process, material and inventory management as well as acquisition and application of obtained information and financial resources (Techtarget, 2015).
Regarding supply chain management, Coyle, Langley, Novack and Gibson (2012) are of the opinion that the management system aids the organizations to control both upstream and downstream flow of operations. Managing upstream operations facilitates the organizations to administer the suppliers’ activities in time-bound and cost effective manner. Similarly, the downstream activities of supply chain management aim to establish enhanced relationship among the wholesalers, retailers and customers of the company and to improve time-to-market of products and minimization of costs so that profit can be maximized.
In summation, the researchers explained supply chain as the system that integrates all parties involved in the production and distribution process with an objective to better management of existing resources and effective to the future needs. According to Shishoo (2012), application of supply chain management is significant in the textile business because the business involves a large number of activities ranging from sourcing of quality cotton and other raw materials to distributing the manufactured products from inventories to wholesalers, distributors and retailers.
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