Answered Essay: Can the same supply chain process work for another company? Or does it depend on the product or service? Please explain in 200 words.

Can the same supply chain process work for another company? Or does it depend on the product or service? Please explain in 200 words.

Expert Answer

The basic supply chain framework remains same, but the intricate parts differ and at times depends upon the product or service. For example, let’s compare a tractor industry and an airline. As far the framework is concerned, there is a supplier/ vendor, manufacturer and customer with the different departments of the supply chain as Buyer, operations, marketing and finance. But when we look at the product they are dealing in, here tractor is a product that is used to gain profit and hence the tractor manufacturing and distribution is an essential part of the process, while in airline, the seats are the products which needs to be sold every time. The distribution involves moving the materials from the factory or distribution centers to the retailer and to the customers, in a tractor industry. While in an airline industry, the customer is brought to the product via a retailer. In a tractor industry the logistics and transportation incurs cost and hence is a critical part of the process while in an airline industry there is no logistics and transportation involved, hence selling the product becomes an important part of the supply chain process.

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