SCM Models

Abstract

In this chapter, a basic concept of the SCM is discussed. A key factor for the SCM might be to control the dynamic interactions among the supply chain partners. Supply chains form a multi-echelon system to offer the products to the customers efficiently. However, they are composed of various partners whose purpose and interests do not always harmonize. In addition, supply chain processes are so long and complex that unexpected results might be happened for supply chains. The information distortion within the supply chains is the one of the major obstacles to control the supply chain effi- ciently and effectively. As a result, supply chains would be damaged by the bullwhip effect and the boom and bust. To highlight the character of SCM, a comparison is also made among the similar concepts, the business logistics, the physical distribution and Keiretsu.