The Importance Of Supply Chain Management

Register to read the introduction… Short distance can take the route of trucking, packaging and a great example of this is Wal-Mart "hub and spoke" system where the hub was the distribution centers and the "spoke" was the local stores. Same way Wal-Mart revolutionized the supply chain system, Amazon's futuristic drone delivery is looking very promising. The long distance shipment takes the route of railroad, air, package water, and pipeline. The rail is used for long distance, bulk items, and slower process compared to trucking. Trucking is for getting from point A to B to point C. It's a fast process and has little to no risk or damage. Air travel is more costly, and is for small shipment. A great example of the evolution of shipment through air is amazon's plan of shipment through drones Packaging is fast and commonly used and takes items and drops it on your front door. The water shipment is used for international shipping and good example of water shipping is oil. Oil is also used to transport through the use of …show more content…
The use of IT brought forth the use of bar codes to uniquely identify items and keep track of them. A business that doesn't use bar codes is the equivalent of a business that doesn't monitor what they sell and at what rate. These lines provide data for computers to manipulate and thus reduce cost. Bar codes are like numbers that need to be accessed at a moment’s notice and failure to provide this upon the request of let's say other businesses, statistician and even a judge. Another advancement of IT is satellite tracking via GPS and this helps drivers get correctly coordinated and better management. GPS advantages are better Route directions, Cargo tracking, Fuel cost tracking. GPS can help monitor emergencies like your trucks being pulled over or accidents reports and making sure your drivers and not slacking off or taking a nap at a local gas