Question

What recent changes have caused supply chain management to gain importance?

Short answer

Supply chain managementmanages the proper flow of goods and services from its manufacturing locations to its ultimate users.

Step-by-step solution

Supply chain management

Supply chain management handles the proper channel through which the steady supply of goods and services could be maintained to its ultimate users from production facilities. It also includes the supply of raw materials to businesses that indulge in the production sector.

Recent changes have caused supply chain management to gain importance

• Supply chain managementassures right delivery time Every customer wants that its product should be delivered on time if delivery took late it results in diminishing the customer's satisfaction for example if Diwali present is delivered the next day of Diwali then it reduces the customer's satisfaction for the product
• Improve profit leverages:Every company or firm has supply chain managers.The role of supply chain managers is to control the overall cost of the supply chain.Hence,it increases the profit of the company
• Establishing customer satisfaction: A proper supply chain management assures the proper supply of goods and services along with after-sales services, which establish customer satisfaction towards the product as well as faith in the company.