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Logistics - Alignment Concepts

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Discuss the concept of alignment in the supply chain process. When transporting a product, is the supply chain alignment different for different products such as soft drinks versus clothing? How does the alignment affect the organization's logistics strategy?

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Solution Summary

The expert discusses the concepts of alignment in the supply chain process. Transporting a product is examined.

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Concept of Alignment
Concept of alignment is necessary to follow in business because it creates consistency in the interests of all participants in a supply chain. It is all about the understanding and satisfying the customers by the help of better internal capability of the enterprise. It is alignment of the business with customers and suppliers to operate supply chain successfully. It focuses on the relationship with the customers and suppliers and involves sharing information freely and rapidly. This is particularly valuable, when customer demand is uncertain, such as in the retail industry (Gattorna, 2009).
There is also involvement of IT applications such as customer relationship management, supplier relationship management and key performance indicators to retain loyal customers and suppliers. It is very compulsory for the organization that its IT strategy and business strategy should be matched to ...

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