Supply Chain

Logistics management focuses on purchasing, supply, and transportation of raw materials and finished products. The logistics department has evolved over time it be known as the Supply Chain Department. That is according to Mentzer and others, (2001). Supply chain management strategically deals with materials, distribution of the same. It also shows the benefits of the supply chain management to firms through boosting the performance of the same. The management of supply chain structures and activities in industries is different from managing suppliers serving small enterprises. That is because industries require large volumes and diverse materials for their operations to be successful. At times, they may import or transport the items from faraway places, require specialized transport mechanisms, which are timed to ensure that the materials get to the industry in time, and also, in good condition. Also, a company may have many suppliers, requiring the need to keep an updated record of the deliveries, keep account of items supplied and their date of arrival. Also, make new orders should a material become used up or obsolete.

Anderson and Delattre (2002) think that the future will have a significant effect on supply chain management. According to them, the future will experience a need for specialization and interdependence within the supply chain departments. In 2000, Bowersox outlined the trends that would in future, challenge the businesses foundations, while at the same time, and promote value management. The anticipated trends are as follows: service and support delivery will become almost as important as the product to be delivered. Therefore, suppliers are urged to ensure that service and support delivery departments are efficient and professional. Also, there will be collaboration with industries and companies will collaborate to improve their capability. That will be useful when dealing with competition from bigger companies. Finally, organizations will...