ABSTRACT
Supply chain management has changed significantly in recent years and several noticeable changes are evident. Underlying these changes is the role played by the customer. All customers, and not just end customers, want more for less; they are more demanding, and they want their products and services in shorter lead times and at lower prices. A growing trend in supply chain design is the flow of information throughout the chain using information technology and communication.
The initial perspective uses the Weta Group of Companies to demonstrate how creative arts play an important role in the supply chain for major international movie productions.
This chapter examines the role of supply chains as they get products to customers. It discusses the dynamics of the supply chain and the responsibility and placement of inventory. The real essence of this chapter is to view the supply chain as consisting of all the interactions that exist from original supplier to end customer. Too often organisations try to optimise their own position in the supply chain to the detriment of the entire supply chain.
This is not a chapter on production industries alone. Service industries play a very important role in supply chain management by facilitating the flow of goods and information. Additionally, service providers use products during the execution of their services. End consumers measure service performance in conjunction with supply chain performance.
The chapter discusses the bullwhip effect, discusses the triple-A approach to supply chains, and includes a section on choosing suppliers.
