ABSTRACT

Because of globalization, the supply chain has become increasingly important for many enterprises because it involves flow process controls and levels of management integration. Components of the supply chain include raw materials, production, distribution, retail sales, and after-sales service to consumers. The related primary objectives are to (1) lower the total costs of production along the supply chain and (2) increase production efficiency. Through the efforts of both government and industry, Taiwan was admitted into the World Trade Organization (WTO) on January 1, 2001. Within the context of the WTO, manufacturers face global competition and thus must accelerate the flows of materials and information. As a result, the development of an effective supply chain is essential for an industry to become successful.