Supply chain network

A supply chain is a network between a company and its suppliers to produce and distribute a specific product to the final buyer. Supply chains, in their most fundamental realization, consist of manufacturers and suppliers, distributors, retailers, and consumers at the demand markets.

Supply chains and supply networks both describe the flow and movement of materials & information, by linking organizations together to serve the end-customer. This network includes different activities, people, entities, information, and resources.

‘Network’ describes a more complex structure, where organizations can be cross-linked and there are two-way exchanges between them; ‘chain’ describes a simpler, sequential set of links.

The most important of a supply chain network flow is to assess company policies and programs and to meet targets to accomplish long‐term strategic objectives.

There are three flows: logistics network, communications network, and financial network. Flows of information and money through the network are as vital as flows of products themselves.

Information conveys demand all the way from customers to manufacturers, and it also helps partners in the supply chain communicate orders, invoices and payments. The complexity of supply chain networks often results in intricate flows of information and payment.
Supply chain network