Introduction information should flow throughout the supply


Chain Planning and Control is the balancing of resources and supply in accordance
to market demand in a supply chain context. It is basically the act of
facilitating an efficient and effective way of using resources and assets,
while manufacturing and delivering products based on market demand and
customers requirement. In-order to obtain the satisfaction of end-customer
Supply Chain has to achieve excellence in five operations performance objective
such as Quality, Speed, dependability, flexibility and cost. It is highly
essential to have proper supply chain planning and control to meet all the five
performance objectives. The aim is to decide what and how much to produce and
deliver when and where so that no or minimal wastage will be suffered and also
it decides how products and information should flow throughout the supply
chain.  From a SCPC view it includes
several activities such as overall resource planning, sales and operations
management, demand and supplier management, performance measurement and
management, and event management, in addition to many activities for capacity
and material planning and shop floor scheduling systems.

SCPC’s role in today’s competitive environment

business is in a Global environment. This environment forces every company, to
consider rest of the world in their competitive strategic analysis regardless
of its location, size or primary market base. Companies are not able to isolate
them or ignore external factors such as competitive situations, economic
trends, or technological advancements all over the world. Companies are becoming
truly global with SCPC. The competitiveness among corporate is fuelled by
Liberalization, Privatization and Globalization of economies & companies.
Several factors such as reduced tariffs, improved transportation, and
communication and information technology have enabled Global competitors to make
products and services and make them available for customers worldwide. It has resulted
in higher and varying choice for customers and high pressure on companies to
offer their products and services with high quality and at lower costs at the
fastest time to remain competitive. It has led to higher emphasize on
redesigning internal business processes and working more closely with suppliers
and customers to better integrate planning and control of operations throughout
the supply chain as a way to reduce costs and to improve services. Changes in
technology, infrastructure and globalization have also resulted in greater
uncertainty of customer demands and increasingly dynamic markets. Consumers
have greater access to more choices and the innovations are happening at a
faster pace. Thus a company’s competitive position depends on its ability to
understand the changing customer demands and respond timely with products that
meet their requirements. SCPC tools and techniques allow companies to respond
to these environmental changes quickly and easily. Technological advancements
and the ever-increasing competition among companies are forcing organizations
to revisit their business processes and re-invest in their supply chains in
order to succeed. Previously Supply Chain was considered as the functions of
logistics, purchasing, transportation, and supplies. However, the increasing
profit in business with the effective use of supply chain management system has
made it more widespread and now also focuses on almost every field of a
business such as integration, visibility, streamlined channels and cycle time improvement.

Advantages of SCPC on organization’s competitiveness

SCPC is an
integral part of today’s business and is essential to company’s success and
customer satisfaction. It contributes to an organization’s competitive
advantage in several ways such as:

Improved  Customer Service

Having a
wide variety of choices customer’s expectation today is very high. They want
everything to be perfect and as desired. There is no compromise on their expectation
to have the exact product array with utmost quality and quantity to be
delivered and the products to be available at the right location. Customers
also expect right delivery time and right after sale support. With the help of
SCPC most of the competitive businesses are able to boost customer service.      

Risk Mitigation

business has its own risk, most of which are not easy to be anticipated. Risk
Management is a key task for Business owners, and supply chain management
systems allow for the identification of potential risk factors in an
organization. It also identifies any risks associated with their suppliers. Management
must give priority to mitigate risk in an effective manner no matter it is
causing in which field. Else it can affect the very existence of the business
itself. Proper SCPC is of great help to management by organizing risks and
ascertaining the potential for internal and external factors.

Reduced Operating Costs

It is not
desirable for any firm to hold expensive inventories in their warehouses for a
very long time. SCPC has a great role in reducing this storage time any longer
than necessary. it. Thus the purchasing cost can be kept at a minimal rate.
Also the manufactures depend on supply chains to reliably deliver materials to
assembly plants to avoid any material shortages that can even result in
production shutdown. Efficient supply chain systems in practise can  enable a firm to be more competitive at the
market place.

Quality Assurance

It is a common
trend today for manufactures to shift their manufacturing plants from developed
countries in-order to reduce their production cost to developing countries.
This has caused experienced man power to choose other job options. But it can
result in unexpected costs as the product quality can become a serious issue
within the supply chain. The business costs can still remain high due to huge
training expenses, defects or rework incurred due to poor systems.  One of the advantages of SCPC is that it
incorporates quality measures to improve operations and to assure quality.

Improved Financial Position

costs can be reduced to a great extent by incorporating proper planning and
control by making efficient use of SCPC. Firm profits can be dramatically
increased in this way. Also good SCPC reduces and optimizes the usage of large
fixed assets such as manufacturing plants, warehouses and transportation
vehicles in the supply chain. Graph designing 
tools are greatly being used today for this purpose. Also the cash
inflow is increased with the help of SCPC because it fastens the product flow
to customers.

Faster and accurate Shipping

today’s  business world, timely delivery
of products and services has become the key success for any firm. As E-commerce
is flourishing in the market day-by-day, its of high importance for companies
to arrange their shipping based on varying customer demands and orders. Any
delay in the shipping can result in customer dissatisfaction and cancelling of
order which may in turn affect the reputation of the firm. SCPC is highly
useful to allow business to their products in an optimum way by reducing
shipping cost and avoiding any delays.


The will be
a huge difference in the competitiveness of business that has incorporated an
effective SCPC policy and that does not have proper SCPC management systems.
The scope of SCPC is so wide that it has influence on almost all aspects of the
business. SCPC is an inevitable part of every successfully running business in
today’s globalized economy. 


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