Keely L. Croxton and colleagues (2001) outline that nowadays supply chain management has become a key business process, which can ensure that company’s success in the world’s trade market. This chapter deals with supply chain management, as a field of study of many researchers, as well as its international component, and factors which influence the success in international supply chain management process. The chapter 2 will be divided into the following parts: supply chain management - an overview; international supply chain management; human factor in supply chain management; cultural factor in supply chain management.
2.2 Supply Chain Management – An overview Prior to understanding international supply chain management …show more content…
The main risks here include, but not limited to, uncertainty about delivery time, industry trends, and failure of delivery due to technical problems, outsourcing, and offshoring.
Robert Handfield (2011) outlined that supply chain management bases on two major fundamentals. The first is the idea that the entire organization, and in some cases, not one, is represented by one single product, delivered to a customer. The second idea is that supply chain management has existed long before it was outlined as a specific field of study and research.
Modern supply chain management can be presented by the following …show more content…
Here, the company is to focus on strategic decision of the entire organization, including the smallest departments, which participate in supply chain management process, as well as coordination with partner companies, or warehouses;
- Tactical activity aims to adopt measures, which will ensure that the company will receive financial profit. This activity utilizes such practices as cooperation with logistic companies to receive discounts for transportation process, or cooperation with warehouses to receive discounts for inventory storages.
- Organizational. This activity identifies the speed of processing orders, as well as the speed of communication with customers and partners, and the working speed of warehouses employees.
Understanding supply chain management process as a whole, and its components, activities and strategies is essential for understanding human role in this process, as well as researching whether culture will influence supply chain management.
2.3 International supply chain management Previously, the researcher has outlined the main features of supply chain management as a whole. Here, it is essential to understand peculiarities of international supply chain management process, and how human and cultural factor influence