ABSTRACT

In Chapter 2 we discussed, in the context of global supply chains, the need for a total supply chain management approach, and we introduced the concept of building blocks. The importance of each building block is explained in this chapter. No block stands alone; each is a component of the whole. In combination, the blocks show activities, stages and processes of the extended supply chain. The sequence of processes creates a flow between different stages to fulfil a customer’s need for a product or service. The processes of making things happen within a supply chain can be viewed as a sequence of progressive cycles (e.g., planning cycle) or the nature of the response to a customer order (e.g., push or pull). There are debates between supporters of make-to-order policy and make-to-forecast policy, as if one policy is better than the other, regardless of customers, demand patterns, products or organisations. Therefore, we aim to answer the following questions in this chapter:

• What are the process views of a supply chain? • What are the building blocks of a supply chain? • Are all the building blocks suited to all organisations?