A large firm in the automotive aftermarket business wants to improve its current situation,which is characterized by excess inventory,incomplete information,high logistics costs,slow reactions to environmental change,and loss of profits at the retail level.Will supply chain management be of any help to the business?
A)Yes,supply chain management is designed to coordinate and integrate all the activities from raw materials to product consumption.
B)No,supply chain management is only applicable to distribution strategies for products being sold in the business market.
C)Yes,supply chain management,unlike other management philosophies,is not customer-driven.
D)No,supply chain management requires an extensive investment in time and resources to make it worthwhile.

Question

Quizplus · Accepted Answer

Supply chain management is designed to address the issues mentioned by the firm, such as excess inventory, incomplete information, high logistics costs, and slow reaction to environmental change. It aims to coordinate and integrate all activities from raw materials to product consumption, thus improving efficiency, reducing costs, and enhancing customer satisfaction. While it does require investment in time and resources, the potential benefits for the firm are significant.

A Large Firm in the Automotive Aftermarket Business Wants to Improve