Editing Supply chain management (section)

==Origin of the term and definitions==
In 1982, [[Keith Oliver]], a consultant at [[Booz Allen Hamilton]], introduced the term "supply chain management" to the public domain in an interview for the [[Financial Times]].<ref name="handfield" /> In 1983 [[Wirtschaftswoche|WirtschaftsWoche]] in Germany published for the first time the results of an implemented and so called "Supply Chain Management project", led by [[Wolfgang Partsch]].<ref>{{Cite news|url=https://archiv.wiwo.de/dosearch?explicitSearch=true&q=wolfgang+partsch&x=0&y=0&dbShortcut=%3A5%3A46%3AALLEQUELLEN-1_%3A5%3A46%3AALLEQUELLEN&searchMask=7009&TI%2CUT%2CDZ%2CBT%2COT%2CSL=&KO%2CRU=&AU=&CO%2CC2%2CTA%2CKA%2CVA%2CZ1=&MM%2COW%2CUF%2CMF%2CAO%2CTP%2CVM%2CNN%2CNJ%2CKV%2CZ2=&CT=&CT%2CDE%2CZ4%2CKW=&BR%2CGW%2CN1%2CN2%2CNC%2CND%2CSC%2CWZ%2CZ5%2CAI%2CBC%2CKN%2CTN%2CVN%2CK0%2CB4%2CNW%2CVH=&Z3%2CCN%2CCE%2CKC%2CTC%2CVC=&DT_from=&DT_to=&timeFilterType=selected&timeFilter=NONE|title=Der Weg zur Integration|last=Dr. Burkhardt|first=Rainer|date=1982|work=WirtschaftsWoche}}</ref>

In the mid-1990s, the term "supply chain management" gained popularity when a flurry of articles and books came out on the subject. Supply chains were originally defined as encompassing all activities associated with the flow and transformation of goods from raw materials through to the end user or final [[consumer]], as well as the associated information flows. [[John Thomas Mentzer|Mentzer]] ''et al.'' consider it worthy of note that the final consumer was included within these early definitions.<ref name=mentzer />{{rp|2}} Supply chain management was then further defined as the integration of supply chain activities through improved supply chain relationships to achieve a competitive advantage.<ref name="handfield">{{cite book |url=http://www.mypearsonstore.com/bookstore/introduction-to-supply-chain-management-9780136216162 |author1=Robert B. Handfield |author2=Ernest L. Nichols |title=Introduction to Supply Chain Management|date=1999|publisher=Prentice-Hall|location=New York|isbn=0-13-621616-1|page=2}}</ref>

In the late 1990s, "supply chain management" (SCM) rose to prominence, and operations managers began to use it in their titles with increasing regularity.<ref>David Jacoby (2009), Guide to Supply Chain Management: How Getting it Right Boosts Corporate Performance (The Economist Books), Bloomberg Press; 1st edition, {{ISBN|978-1576603451}}</ref><ref>Andrew Feller, Dan Shunk, & Tom Callarman (2006). BPTrends, March 2006 - Value Chains Vs. Supply Chains</ref><ref>Blanchard, D., (2010), ''Supply Chain Management Best Practices'', 2nd. Edition, John Wiley & Sons, {{ISBN|9780470531884}}</ref> A supply chain, as opposed to supply chain management, is a set of firms who move materials "forward",<ref name=masters /> or a set of organizations, directly linked by one or more upstream and downstream flows of products, services, finances, or information from a source to a customer. Supply chain management is the management of such a chain.<ref name=mentzer />

Other commonly accepted definitions of supply chain management include:
* The management of upstream and downstream value-added flows of materials, final goods, and related information among suppliers, company, [[reseller]]s, and final consumers.<ref>Nabil Abu el Ata, Rudolf Schmandt (2016), The Tyranny of Uncertainty, Springer, {{ISBN|978-3662491041}}</ref>
* The systematic, strategic coordination of traditional business functions and tactics across all business functions within a particular company and across businesses within the supply chain, for the purposes of improving the long-term performance of the individual companies and the supply chain as a whole.<ref name=mentzer>{{cite journal | last1 = Mentzer | first1 = J.T. | display-authors = etal | year = 2001 | title = Defining Supply Chain Management | journal = [[Journal of Business Logistics]] | volume = 22 | issue = 2| pages = 1–25 | doi=10.1002/j.2158-1592.2001.tb00001.x}}</ref>
* A customer-focused definition is given by Hines (2004:p76): "Supply chain strategies require a total systems view of the links in the chain that work together efficiently to create customer satisfaction at the end point of delivery to the consumer. As a consequence, costs must be lowered throughout the chain by driving out unnecessary expenses, movements, and handling. The main focus is turned to efficiency and added value, or the end user's perception of value. Efficiency must be increased, and bottlenecks removed. The measurement of performance focuses on total system efficiency and the equitable monetary reward distribution to those within the supply chain. The supply chain system must be responsive to customer requirements."<ref name="Hines2014">{{cite book|author=Tony Hines|title=Supply Chain Strategies: Demand Driven and Customer Focused|url=https://books.google.com/books?id=uPDGBQAAQBAJ|date=10 January 2014|publisher=Taylor & Francis|isbn=978-1-136-70396-6}}</ref>
* The integration of key business processes across the supply chain for the purpose of creating value for customers and stakeholders.<ref>Lambert, 2008 {{full citation needed|date=February 2019}}</ref><ref name=Cooper1997>Cooper, M.C., Lambert, D.M., & Pagh, J. (1997) Supply Chain Management: More Than a New Name for Logistics. The International Journal of Logistics Management Vol 8, Iss 1, pp 1–14</ref>
* According to the Council of Supply Chain Management Professionals (CSCMP), supply chain management encompasses the planning and management of all activities involved in [[Strategic sourcing|sourcing]], procurement, conversion, and [[logistics management]]. It also includes coordination and collaboration with [[channel partner]]s, which may be [[suppliers]], [[intermediaries]], third-party service providers, or [[customers]].<ref name="Kozlenkova 586–609">{{Cite journal |last1=Kozlenkova |first1=Irina V. |last2=Hult |first2=G. Tomas M. |last3=Lund |first3=Donald J. |last4=Mena |first4=Jeannette A. |last5=Kekec |first5=Pinar |date=2015-05-12 |title=The Role of Marketing Channels in Supply Chain Management |url=https://www.researchgate.net/publication/276212454 |journal=Journal of Retailing |volume=91 |issue=4 |pages=586–609 |doi=10.1016/j.jretai.2015.03.003 |issn=0022-4359}}</ref> Supply chain management integrates [[supply and demand]] management within and across companies. More recently, the loosely coupled, self-organizing network of businesses that cooperate to provide product and service offerings has been called the ''[[Extended Enterprise]]''.{{citation needed|date=June 2017}}

Mentzer ''et al.'' make a further distinction between "supply chain management" and a "supply chain orientation". The latter term involves a recognition that a business strategy cannot be fulfilled without managing the activities of suppliers and customers upstream and downstream, whereas the former term is used for "the actual implementation of this orientation".<ref name=mentzer />

{{anchor|Supply chain visibility}}'''Supply chain visibility''', in its origins, was concerned with knowledge of the location, production stage and expected delivery date of incoming products and materials, so that production could be planned,<ref>Blanchard, D., [https://www.industryweek.com/supply-chain/article/21964859/predictive-analytics-let-manufacturers-see-more-clearly-into-their-supply-chains Predictive Analytics Let Manufacturers See More Clearly into their Supply Chains], ''IndustryWeek'', published 27 March 2015, accessed 29 November 2022</ref> but the development of the term has enabled it to be used to plan orders using knowledge of potential supplies, and to track post-production processes as far as delivery to customers.<ref>Biel, J., [https://www.netsuite.com/portal/resource/articles/erp/supply-chain-visibility.shtml What Is Supply Chain Visibility (SCV)? Definition & Examples], ''Oracle Netsuite'', published 16 December 2021, accessed 29 November 2022</ref> The [[UK Government]] also uses the term "supply chain visibility" in conjunction with its mandate to ensure that potential suppliers have visibility into future supply opportunities. The government's action note on supply chain visibility covers obligations and appropriate contractual wording requiring prime suppliers to advertise [[sub-contracting]] opportunities and to report on their spend with [[small and medium-sized enterprises]] and voluntary/community organisations within their supply chains.<ref>[[Crown Commercial Service]], [https://www.gov.uk/government/publications/procurement-policy-note-0118-supply-chain-visibility Procurement Policy Note 01/18: Supply Chain Visibility], published on 10 April 2018, accessed on 12 April 2025</ref>

[[Supply chain management software]] includes tools or modules used to execute supply chain transactions, manage supplier relationships, and control associated business processes.<ref name=":0">{{Cite web|date=2021-10-28|title=What is supply chain management (SCM)? Mastering logistics end to end|url=https://www.cio.com/article/2439493/what-is-supply-chain-management-mastering-logistics-end-to-end.html|access-date=2021-12-09|website=CIO|language=en}}</ref> The overall goal of the software is to improve supply chain performance by monitoring a company's supply chain network from end-to-end (suppliers, transporters, returns, warehouses, retailers, manufacturers, and customers).<ref name=":0" />

In some cases, a supply chain includes the collection of goods after consumer use for recycling or the [[reverse logistics]] processes for returning faulty or unwanted products back to producers up the value chain.<ref>{{Cite web |last=c3controls |title=What is Reverse Logistics? |url=https://www.c3controls.com/white-paper/what-is-reverse-logistics/ |access-date=2022-07-02 |website=v2 |language=en-US}}</ref>