Nature and Role of Supply Chain Management in Hospitality Business

The nature, role and
contribution of supply
chain management to a
hospitality business.

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAINBODY....................................................................................................................................3
TASK 1............................................................................................................................................3
P1 Discuss how key supply chain concepts, principles and process are applied throughout the
stage of resourcing, product design , development, logistics and distribution.......................3
TASK 2............................................................................................................................................6
P2 Significance of SCM from the perspective of customers, suppliers, distributors and
retailers...................................................................................................................................6
TASK 3............................................................................................................................................7
P3 Evaluate the cross functional and integrated methods of SCM with other functional areas. 7
TASK 4............................................................................................................................................8
P4 Assess a supply chain strategy along with it, present a proposal for improvement..........8
CONCLUSION .............................................................................................................................11
REFERENCE.................................................................................................................................12

INTRODUCTION
Supply chain management refers to all activities that are related with the flow and
transformation of products or service from initial stage raw material to final stages of production
of finished goods. It involves resources with information inflows for up and down supply chain.
Hence, it includes all legion of system like management, operations and assembly, inventory
management production schedule, order processing, transportation, logistics, consumer service,
warehousing and so on (Hong, Zhang and Shi, 2018). The present report is carried out on hotel
Marriott international in order to exploring all the term of supply chain management. It is a
multinational diversified hospitality company, founded in year 1927 by J. Willard Marriott and
Alice Marriott. In this report discussion about concepts, principles, and process that are
applicable for the stage of resourcing, product design, development and logistics are carried out.
Furthermore the importance of SCM is involved along with it, the cross functional of SCM with
other areas of hospitality industry is covered. At the end of the assignment a supply chin strategy
and a proposal for improvement is devised within hospitality industry.
MAINBODY
TASK 1
P1 Discuss how key supply chain concepts, principles and process are applied throughout the
stage of resourcing, product design , development, logistics and distribution.
Supply chain management encompasses all function and activities which are related with
the flow and transportation of goods such as resourcing, product design development, logistic,
inventory and distribution and many other activities along with this it involves all information
too which is associated with all these activities (Wiengarten and et.al., 2016). It involves a series
of activities and process that need to be executed in effectual way within stipulated time
otherwise product will not be available for the consumer when they needed. In context of chosen
hospitality industry it is explained in detailed as follows:
Concepts of supply chain management:
Supply chin management is the lifeline of company so it need to be effective to keep
smoothing running of function. In which the main function is performed by the manger of SCM
are as follows:

Resource management:The allocation of resources need to be in effective manner in
order to optimize the production at reduces cost.
Information workforce: The sharing of information along with distribution will aids the
mangers of SCM to perform all function on track. If its not done then their will be chances of
breaking the entire chain and that will leads to mismanagement.
Principles of supply chain management:
Consideration of supply chain management principles is important in order to maintain
the balance between expectation of consumer and profit margin of company (Rajeev and et.al.,
2017). In which there are seven principles of SCM that are discussed below in context of Hotel
Marriott international:
Adoption of SCM tool according to the needs of each consumer segment : The group of
people is is divided according to the products or industry they prefer. In which one size fits all
modes in order to serve consumers which leads company towards enhancement of profit and
growth. And for this it is important to adopt a specific tool.