Introduction: A seamless supply chain improves inventory management, keeps waste to a minimum and frees up capital that would otherwise be tied up in stock. Supply chain management is a process which outlines foundational key requirement and does not happen in isolation. To explain supply chain integration and the implementation one need to understand that key processes that are interwoven into activities of the organization and across the network of organizations. In this essay, select one of the processes that frame the implementation of supply chain management and how this process interacts with other functions or SCM processes.
Solution
Supply Chain Process in Operations Management
Independent competition is a thing of the past; today, competitiveness is measured by the ability of companies to maintain a seamless supply chain. Although there lacks a standard description of the such a process, some scholars define the term as “systematic and strategic coordination of the traditional business functions and the tactics across business functions within a particular company, and across businesses within the supply chain, for purposes of improving the long-term performance of the individual companies and the supply chain as a whole” (Li, 2014, p. 2). Notably, the supply chain is the management of processes and activities of a firm, ranging from sourcing of raw materials to distribution of finished products to end-users. Despite being a holistic management strategy, the supply chain is pillared against several processes, such as customer service management, which interconnect to improve inventory management, reduce waste, and free up capital within and across firms.
Eight key processes entail the core of supply chain management, among them customer service management. As literature suggests, customer service management is the firm’s face to the customer as it ranks as the first process in the supply chain that links the two parties (Croxtan, Garcia-Dastugue, Lambert & Rogers, 2001; Knemeyer, Lambert & Garcia-Dastugue, 2014). Azmi, Hamid, Hussin, and Ibtishamiah (2017) add that customer service management contributes to quick detection of potential logistics-related failures and institution of capabilities to recover from the service miscarriages. Generally, the process acts as the sole link between customer information and product and services agreement (PSA) in a supply chain.
Customer service management comprises strategic and operational processes, both of which have different sub-processes. For instance, the strategic process constitutes four sub-processes, namely: development of customer service strategy, response procedures, infrastructure for implementation of response procedure, and framework of metrics. Each of the sub-processes in the strategic level occurs sequentially. Consequently, the strategic process of customer service management commences with the identification of deliverables of the process and staffing needs. The strategy culminates in the development of framework metrics that facilitate the identification of problems and improvement opportunities in the administration of the PSA. As observed by Croxtan et al. (2001), the key objective of the sub-processes at the strategic level is to create an infrastructure for implementing the PSA and providing customers with a contact point to an organization. Similarly, the operational process comprises four sub-processes, which include; recognition of events that occur within the established infrastructure, evaluation of situations and alternatives, implementation of solutions, as well as monitoring and reporting (Croxtan et al. 2001). Unlike the strategic level, the operational process deals with external activities that are purposed to inform customers about issues in the supply chain and the approach adopted to solve the problems.
The customer service management process does not exist in isolation; instead, it interacts with seven other processes namely: customer relationship, demand, order fulfilment, manufacturing flow, supplier relationship, product development, and returns management to create a seamless supply chain. For instance, Croxtan et al. (2001) observe that when an internal or external event is identified at the operational level, the supply chain management team determines a set of alternatives to mitigate the disruption. The alternative responses interrupt activities in other processes; thus, intensive coordination is established across the entire chain. For example, if an event, such as floods, occurs in one stage of the process, it is likely to disrupt the delivery of the PSA in the customer service management and subsequent activities in the supply chain. Therefore, the fact that events in the customer service management disrupt activities in other areas implies that the eight management processes in the supply chain are interrelated.
The second manner in which customer service management interacts with other functions in the supply chain is through the interdependence of key outputs. Studies show that the customer service management process relies heavily on outcomes from other processes. For instance, the deliverables and PSA managed in the customer service management are significant results from the related relationship management process. Consequently, the customer service management process primarily interacts with the seven-supply management process to improve inventory management.
In conclusion, the supply chain management is pillared against eight key processes that interact with each other significantly. Customer service management, one of the processes in the supply chain, interrelates with the other seven processes of the supply chain to improve inventory management and free up capital that is often tied up in slow-moving stock. The involved activities provide a contact point between organizations and customers. Additionally, it is at the customer service management process where teams identify internal and external events that are likely to impact service delivery, as well as evaluate and implement solutions to offset the effect of issues in the supply chain. The interconnectedness between customer service management and other supply chain processes can be identified in the ripple effect of a single event in other areas, and the significant reliance on similar output from one process to the other.
References
Azmi, I., Hamid, A., Hussin, N., Ibtishamish, N. (2017) Logistics and supply chain management: The importance of integration for business processes. Journal of Emerging Economics and Islamic Research, 5(4), 73-80.
Croxtan, K., Garcia-Dastugue, S., Lambert, D., & Rogers, D. (2001). The supply chain management processes. The International Journal of Logistical Management, 12(2), 3-36. DOI: 10.1108/09574090110806271.
Knemeyer, M., Lambert, D., & Garcia-Dastugue, S. (2004). The customer service management process. International Journal of Logistics Management, 14(2), 15-31. DOI: 10.1108/09574090310806576.
Li, X. (2014). Operations management of logistics and supply chain: Issues and directions. Discrete Dynamics in Nature and Society, 2014 (1), 1-7. DOI: http://dx.doi.org/10.1155/2014/701938
Order an Essay Now & Get These Features For Free:
Turnitin Report
Formatting
Title Page
Citation
Outline
