Tuesday, November 19, 2019

Describe the cycle view of supply chain processes and explain why Essay

Describe the cycle view of supply chain processes and explain why organizations need to integrate their processes - Essay Example Supply chain activities make up processes, which may be described as cycles because it involves constant flow of information, goods, services, and funds between different stages. The processes in a supply chain involve service providers and manufactures, who produce goods and services for customers. The customers transfer funds to the manufacturers, who then convey point of sales data as well as replenishment orders via trucks back to the stores (Sinha, 2009). The manufacturer transfers funds to the distributor after the products are replenished. The distributors provide pricing information and offer delivery schedules to the manufacturers. All these processes show that the supply chain activities are cycles that are interlinked and work hand in hand. The supply chain stages consist of various players who include; customers, retailers, distributors, manufacturers and the components, which are the raw materials suppliers. Each stage sometime may not be represented in the supply chain because the chain would depend on the customer’s needs and the roles of the stages involved (Sinha 2009). Schniederjans and LeGrand (2012) stated that the customer order cycle occurs at the customer and retailer level and this is where all processes are directly involved in receiving and filling the customer’s order. The customer starts the cycle at the retailers’ shop by ordering what goods they need and the retailer works on fulfilling the customer’s demand. This interaction between the retailer and customer ends when the customer receives the order. The replenishment cycle occurs at the retailer and distributor level and includes all the processes involved in replenishing the retailer’s inventory/ stock. The retailer is the customer in this case, and places an order to replenish inventories to meet his and her customers’ needs or to make sure he or she has enough stock of the good quality of products available in the market (Fredendall,

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