You can think of a supply chain as a living, ever-changing organism that is affected by a near-endless number of factors. Resource scarcity, climate, political and social issues—they can and do affect how a supply chain functions. When the operations of one segment fails, even briefly, all segments of the supply chain are affected, and all are susceptible to the disruptions and deviations that result. It’s a fact that we learned all too well during the COVID-19 pandemic.
But what if a supply chain can become a cohesive unit, a united force of companies that don’t just depend on each other but actually work together toward a common goal?
It’s possible through integrated supply chain management (ISCM), a strategy that calls for streamlining the supply chain process from start to finish and optimizing it using the latest data-driven insights.
Today’s supply chain management professionals are rarely siloed within their own segment of the supply chain. Instead, their reach and scope are much broader. They join forces with other segments to reduce operational costs, minimize risk, and create a healthier, more robust supply chain system that can quickly adapt to changes in the marketplace.
Supply chain management involves planning, coordinating, and controlling the activities within a company’s supply chain. In integrated supply chain management, SCM makes a distinct shift from being an exclusively internal set of processes. By considering all external factors too, managers see the supply chain as an integrated whole instead of a collection of segmented steps.
In integrated supply chain management, supply chain management is no longer just about the company; it’s also about other companies, people, resources, and activities within the supply chain.