ACCT701 Operations Management For Products And Services

Problems affecting success of supply chain management: 

Appropriate management of supply chain is the greatest way of ensuring smooth flow of products and services as per the requirements of the customers. However, in the volatile business environment, there are certain issues, which are being faced by the corporate entities in the way of attaining success from supply chain manner. Christopher (2016) commented that rapid development of globalization is one of the major issues, in the way of appropriate management of supply chain by increasing its cost. This is resulting in increased cost of products and services. In addition to that, Sustainable growth in the market is also a major issue in effective supply chain management. This issue is hampering the ability to the firm to supply their products in all the segment of market.

Supply chain strategies to ensure organizational effectiveness: 

In order to mitigate the issues, it is the prime responsibility of corporate entities to adapt effective strategies, which can help them to manage their supply chain with utmost efficiency. Advanced inventory management is one of the most important supply chain strategies needs to be implemented by the corporate entities in order to streamline the internal operation of warehouse and thereby ensure smooth flow of products and services (Hugos, 2018). Coca-Cola- the leader in the global food and beverage industry is following this strategy in order to cope up with the requirements of diverse range of customers. With the assistance of this strategy, Coca-Cola is becoming able to initiate flexibility in their stock management.

As the size of market is developing in a rapid manner, it is important to improve the production system. This is the key of delivering product in every segment of product. There lies the success of famous retail brand Zara as they have implemented automatic production procedure. Intense competition in the market is acting as a driving force behind Zara to ensure ample supply of their products. Thus, Zara has executed automation in their production process in order to attain speed in their operation (Forbes. 2018).

References:

Christopher, M. (2016). Logistics & supply chain management. Pearson UK.

Forbes. (2018). Zara Uses Supply Chain To Win Again. [online] Available at: https://www.forbes.com/sites/kevinomarah/2016/03/09/zara-uses-supply-chain-to-win-again/ [Accessed 27 Oct. 2018].

Hugos, M. H. (2018). Essentials of supply chain management. John Wiley & Sons.