Management of Supply Chain: Uncertainties related to transporting goods

Running head: SCM
Management of supply chain

SCM 2
Table of Contents
Management of Supply chain................................................................................................................3
Uncertainties related to transporting goods............................................................................................3
Poor coordination of transport on a chunk of suppliers.........................................................................7
Poor administration of transport with respect to suppliers.....................................................................8
Postponements on road because of climate, traffic, or potentially disaster............................................9
Illustration...........................................................................................................................................11
Conclusion...........................................................................................................................................13
References...........................................................................................................................................14

SCM 3
Management of Supply chain
Supply chain management is practiced by an organization for operating its business in a
systematic manner. As per the Council of supply chain Management Professionals (CSCMP),
a procedure of inventory network incorporates an administration as well as arranging all sorts
of exercises into acquirement, strategic administration as well as sourcing. It includes several
elements of collaboration as well as coordination with a different channel. These channels are
suppliers, intermediaries and third-party providers. In addition, supply chain management
includes supply and demand management and it cannot only be performed online and inside
the business but also across organizations.
Uncertainties related to transporting goods
There are different researchers who have recommended that uncertainty exists in supply
chain, hence it should be taken into consideration as a serious concern in the logistics
industry. Uncertainty in supply chain can create due to making changes in activities and it
could be riskier for company. Due to globalization, customer desires a wide range of products
and services but, there is instability in an organizational condition hence, there is a possibility
of occurring hazards in the supply chain (Golob, Kitamura and Long, 2013). It is discovered
that hazard and uncertainty are two main factors that affect decision makers. The role of
uncertainty and dangers is essential ideas with respect to 3PL. There are different
organizations that are competent in terms of distinctiveness because of taking high risk in the
supply chain. Each logistic organization has its individual term and conditions, hence
company that has different branches could face difficulties related to places, customers,
offices abilities of the workforce, strategies as well as guidelines (Parsaei and Sullivan,
2012).
It is discovered that uncertainties in a supply chain creates hazard and creates weakness for
company. There are number of companies at global level that utilizes supply chain approach

SCM 4
inside an organization in order to enhance the efficiency of workers. Moreover, basic
leadership approach is used to make arrangement at a workplace as well as, taking
consideration of every representative. This movement is useful in decreasing uncertainties
from the business and provides higher growth. As per Lu and Tsai (2010), supply chain
uncertainty shows a disappointment circumstance to perform basic leadership in supply chain
practices. The main cause of this uncertainty is the absence of data. There are four kinds of
sources related to uncertainty that could cause mismanagement of supply chain. These are
demand-side uncertainty, process side uncertainty, control side uncertainty and supply-side
uncertainty.
(Sources: Yang, 2011).
Yang (2011) recommended that supply chain management could be performed in a viable
way by diminishing the effect of uncertainty from operation. The role of data innovation has
a noteworthy task in creating value chain management like diminishing stock level and
expanding business procedure, which results in immense consumer loyalty as well as
competitive benefits.