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Supply chain management is the streamlining of a business' supply-side activities to maximize customer value and to gain a competitive advantage in the marketplace. Supply chain management (SCM) represents an effort by suppliers to develop and implement supply chains that are as efficient and economical as possible.REAKING DOWN 'Supply Chain Management-SCM'. Typically, SCM will attempt to centrally control or link the production, shipment and distribution of a product. By managing the supply chain, companies are able to cut excess fat and provide products faster.
Supply chain management is a systematic approach to managing the distribution of goods from producers of raw materials, through manufacturers and eventually down to end users. poorly management supply chain, on the other hand, can bring production to a halt. Without reliable delivery of inputs, assembly lines can lie dormant while employees have no work to perform, which could leave a company unable to fulfill time-sensitive orders.