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A supply chain is a complex logistics system that consists of facilities that convert raw materials into finished products and distribute them [1] to end consumers [2] or end customers. [3] Meanwhile, supply chain management deals with the flow of goods in distribution channels within the supply chain in the most efficient manner. [4][5]
Supply chain management is a cross-functional approach that includes managing the movement of raw materials into an organization, certain aspects of the internal processing of materials into finished goods, and the movement of finished goods out of the organization and toward the end consumer.
A raw material, also known as a feedstock, unprocessed material, or primary commodity, is a basic material that is used to produce goods, finished goods, energy, or intermediate materials that are feedstock for future finished products. As feedstock, the term connotes these materials are bottleneck assets and are required to produce other products.
The contract manufacturer is likely to have relationships formed with raw material suppliers or methods of efficiency within their production. [4] [page needed] Quality – Contract manufacturers are likely to have their own methods of quality control in place that helps them to detect counterfeit or damaged materials early.
Business administration. Materials management is a core supply chain function and includes supply chain planning and supply chain execution capabilities. Specifically, materials management is the capability firms use to plan total material requirements. The material requirements are communicated to procurement and other functions for sourcing.
Textile factory (Germany, c. 1975). The textile industry is primarily concerned with the design, production and distribution of textiles: yarn, cloth and clothing. The raw material may be natural, or synthetic using products of the chemical industry.
Silicon wafer manufacturers. A partial list of major producers of wafers (made of high purity silicon, mono- or polycrystalline) includes: GlobalWafers. Okmetic. Renewable Energy Corporation. Shin-Etsu Handotai. Siltronic. SUMCO. WaferPro.
The Food and Drug Administration (FDA) defines HACCP as "a management system in which food safety is addressed through the analysis and control of biological, chemical, and physical hazards from raw material production, procurement and handling, to manufacturing, distribution and consumption of the finished product". [4]
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