Saturday, 29 December 2012

Integration Of The Supply Chain


To offer their products to final consumers, the company integrates performance largely depends on their partner relationships. The company is now on its own, but with support and integration with downstream partners can compete effectively. Integration of upstream and downstream industry chain integration platform through any medium or adjacent to each other.

In the past, the buyer - supplier relationship, the buyer usually reduce the cost of purchased goods through aggressive negotiations. Generally, a win-lose situation where the supplier margins have declined sharply, to lead these to meet the needs of the buyer. Is the integration of power series. A win-win situation, the supplier and the buyer in the form of strategic partnership. Continuous improvement approach based on mutual benefit to both sides. This approach is less invasive and are entitled to respect for each vendor.

In Malaysia, an example of a local company that integrates the automotive supply chain Malaysian car maker Proton is.. Supplier of protons from logistics companies has been reduced from 14 to 3 business firms. This is simply to reduce waste and to reduce the transaction, which do not add value to the company at least. Provider proton reduction help reduce the cost of cars sold, and with high quality.

Sovereign Razamith art of business management at Warwick University in the UK are facing their masters.To learn more about supply chain management, please visit http://supplylogistic.blogspot.com

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