Supply Chain Management and Sustained Competitive

Question: Discuss about the Supply Chain Management and Sustained Competitive. Answer: Introduction: In the present business environment, supply chain management has become an integral part for the organizations. It helps organizations to enhance the operational efficiency that can create direct impact on the satisfaction level of the customers. Particularly in the globalized business environment, almost all the major organizations utilize complex supply chain network to deliver products at the expected destination within the given time period. Effective utilization of supply chain management has helped organization to gain competitive advantage in the market. However, increasing complexity of the supply chain management has also created several challenges for the organizations to handle to maintain the efficiency level of the operational processes. Opportunities in the supply chain management: Globalization in the business operation has provided supply chain management huge opportunity to develop a global network in order to capture of foreign market effectively (Hsu et al. 2013). Furthermore, global business structure has helped organization to implement innovative strategies in the supply chain processes so that it can able to gain competitive advantage in the market. Shorter life cycle of the products and changing market structure has induced organizations to utilize lean supply chain process. Therefore, organizations have to identify the best lean strategies so that it can able to deliver product at the desired destination effectively (Monczka et al. 2015). Utilization of innovative technology in the supply chain management has provided opportunity for the organization to enhance the effectiveness of the operational process. Moreover, it also helped organizations to implement complex supply chain management process so that it can able maintain the satisfaction level of the customers. Effective utilization of technology in the supply chain processes also helped organizations to penetrate global market in a much more effective way. Issues in the supply chain management: As per the article by Christopher (2016), organizations also have to face several issues in order to utilize its supply chain process effectively. Now, supply chain management reflects providing right products in the right quality to the right place at the right time so that customers remain satisfied. However, increasing competition in the market has also influenced customers to raise their expectation level regarding the kind of services they are receiving at the time of purchasing a product. Therefore, it creates difficulties in the effective utilization of the supply chain management for the organizations (Barney 2012). Furthermore, governments of different countries have implemented several rules and regulations for maintaining the health safety issue. Specifically, it has created huge challenges for the supply chain management of the oil and gas industry. Competitive business environment has also creating pressure for the organizations to reduce costs in the operational process . Therefore, it has emerged as a challenge for the supply chain management to develop strategies in such a way so that it can able to fulfill all the requirements in a comparatively cheaper cost (Pagell and Shevchenko 2014). Moreover, global business structure has also increases the possibility of risks that organizations have to face in order to conduct its businesses properly. Thus, organizations will have to focus on the factors like global sourcing, market challenges and credit availability in order to reduce the risk factors in an appropriate way (Seuring 2013). Furthermore, developing strong interpersonal relationship with the suppliers is one of the major issues that organizations will have to face for effective utilization of the operational process. Conclusion: The above discussion highlights the fact that supply chain management is among the necessary factors that organizations have to utilize in order to gain competitive advantage in the market. However, effective utilization of supply chain process depends on several factors that organizations will have to handle in a proper way. Thus, organizations will have to be extremely careful at the time of developing any strategy regarding supply chain management so that it can able to make desired impact on the effectiveness of the operational processes for the organizations. References: Barney, J.B., 2012. Purchasing, supply chain management and sustained competitive advantage: The relevance of resourceà ¢Ã¢â€š ¬Ã‚ based theory.Journal of Supply Chain Management,48(2), pp.3-6. Christopher, M., 2016.Logistics supply chain management. Pearson Higher Ed. Hsu, C.W., Kuo, T.C., Chen, S.H. and Hu, A.H., 2013. Using DEMATEL to develop a carbon management model of supplier selection in green supply chain management.Journal of Cleaner Production,56, pp.164-172. Monczka, R.M., Handfield, R.B., Giunipero, L.C. and Patterson, J.L., 2015.Purchasing and supply chain management. Cengage Learning. Pagell, M. and Shevchenko, A., 2014. Why research in sustainable supply chain management should have no future.Journal of Supply Chain Management,50(1), pp.44-55. Seuring, S., 2013. A review of modeling approaches for sustainable supply chain management.Decision support systems,54(4), pp.1513-1520.