Critical Factors Affecting Supply Chain Management

Read these sections for an in-depth look at the supply chain management factors that affect a business' operations. These sections explore environmental factors, internal company issues, governmental factors, the role of IT, logistics, suppliers, and more.

Identification of Supply Chain Management factors

Customer satisfaction

The customer's perception is not always the same as the product manufacturer's perception. Customers may give more value to low cost, on time delivery, delivery date certainty, or receiving a customized product. According to Kurata and Num, manufacturers and retailers are always looking for practical after-sales policies that will permit them to enhance customer satisfaction levels. Furthermore, an analysis conducted by Ou, Liu, Hung and Yen showed that customer-firm-supplier relationship management improves operational performance and customer satisfaction. Based on this, a sub-factor customer service is identified.


Customer service

The goal of the companies is to give customers the best service in an efficient and effective manner, without forgetting about information such as product description, product availability, order status, shipping dates, and assisting them in all what they need. Quayle states that customer service is defined by demand forecasting, service levels, order processing, parts/service support, and aftermarket operations.