Supply chain management can be defined as a systematic flow of materials, goods, and related information among suppliers, companies, retailers, and consumers. There are three different types of flow in supply chain management −. Material flow. Information/Data flow.
Information flows both upstream and downstream as customers place orders and suppliers provide information about the products and when they will be delivered. Three supply chain flows. Managing a supply chain effectively involves synchronizing these three flows.
Materials flow downstream in the supply chain, starting with raw materials and flowing through value-added steps until a product finally ends up in the hands of a customer. Money flows upstream from the customer through all the supply chain partners that provide goods and services along the way.
Supply Chain Management Flow