One of the top benefits of supply chain management is that it strategically selects supplies based on cost, quality, and reliability, uses data analytics to predict short-term demand changes, and shares transportation resources with other companies to reduce shipping costs.
Components of supply chain management
| Planning | Sourcing |
| Demand Forecasting | Supplier Selection |
| Capacity Planning | Procurement |
| Inventory Planning | Contract Management |
| Manufacturing | Delivery |
| Production Scheduling | Order Fulfillment |
| Quality Control | Distribution |
| Workflow Management | Transportation Management |
| Returns | Enabling Technologies |
| Reverse Logistics | Supply Chain Software |
| Returns Processing | Data Analytics |
| Recycling and Disposal | Internet of Things (IoT) |
Supply chain also includes supporting functions such as customer service, finance and accounting, human resources and more.