abhishreshthaa
Abhijeet S
Origin of SCM
In the past it was often the case the relationship with upstream suppliers and downstream customers (such as distributors or retailers) were adversarial rather than co-operative.
It is still the case today that some companies try to achieve cost reductions or profit improvements at the expense of their supply chain partners. Companies such as these do not realize that simply transferring costs upstream or downstream does not make them more competitive.
The reason for this is that ultimately all costs find their way to the final market place to be reflected in price paid by the end user.
The leading edge companies recognize the fallacy of this conventional approach and instead seek to make the supply chain as a whole more competitive.
In the past it was often the case the relationship with upstream suppliers and downstream customers (such as distributors or retailers) were adversarial rather than co-operative.
It is still the case today that some companies try to achieve cost reductions or profit improvements at the expense of their supply chain partners. Companies such as these do not realize that simply transferring costs upstream or downstream does not make them more competitive.
The reason for this is that ultimately all costs find their way to the final market place to be reflected in price paid by the end user.
The leading edge companies recognize the fallacy of this conventional approach and instead seek to make the supply chain as a whole more competitive.