Welcome, I’m Gary Patterson. Let’s talk about what is the basic element of supply chain management. Simplicity example I’ll say is everyone has got a Smart phone, you’d like it to work and you’d like it to keep working at least for the life of your Telecom contract. So the first thing we’ve got to do is that supply chain has to get the right materials at the right place at the right time so they can manufacture it so they can do a quality job at a price that lets them keep giving us a reasonable deal on the phone. Because when you don’t do this, the other issue is if the manufacturer and supplier doesn’t make enough profit to keep innovating, all of a sudden they start cutting corners and our phone doesn’t work as well. Apply this phone issue to any issue whatever you make or manufacture, you want their supply chain to do the proper job, get the right people in place, the right time, the right materials and do a good job of maintaining service. When that happens, everyone is happy and our Smart phones work and we like the next new Smart phone that comes out. Thank you.
http://smallbusiness.chron.com/basic-purpose-supply-chain-management-78098.html