Strategic Purchasing and LogisticsQuestion: Describe a similarity or a difference between a modern supply chain versus earlier distribution channels?Answer: Although the current strategy implemented in supply chain management varies a lot from the conventional distribution channels, but still there is a very crucial resemblance and is listed as a pre-requisite for a successful channel. This involves procurement of raw materials. Every organization needs a supplier or multiple suppliers for obtaining raw materials so that the order from customers can be fulfilled at the earliest. This also gives time to the organization for assessing the quality of raw materials received thereby regulating the quality and freshness of theproduct delivered. The tenders passed for the procurement of raw material give enough time for the suppliers to assess the need of the market and also that of the company. Both the traditional and modern supply chains, however, differ in the strategies being adopted for associating more customers, but still, the foundation parameters for starting and initiating these supply chain management are same.Question: The supply chain extends from needs identification to products delivery and includes several independent activities. Please describe your perspective of the criticality of one of these functional areas?Answer: Supply chain involves several critical steps that are monitored by various individual parties. However, at all time there is a real time data sharing and communication between the focal company and its partners. This may involve links with suppliers that further communicate with various suppliers for obtaining raw materials and connection with the wholesale distributorswhich are further linked to retailers. Suppliers play an imperative and crucial role in any supply chain management as they are responsible for providing quality raw materials, raw materials at competitive prices that are otherwise available at higher prices in the market. All these parameters control the cost and quality of the product leading to greater consumer satisfaction and help supplier to build stronger alliances and effective management. Apart from providing substantial components for manufacturing any commodity, suppliers also tend to play a fundamental role in assessing the launch of new products. They can share the information with their clients which helps the focal company to compete with other brands available and update their products as per the demands of the customers.
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Importance of Supply Chain Management for KFClg...