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| Thought Paper |
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Supply Chain Design: Maximising Profit
Through Structural Changes |
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| Abstract |
Over the last few years, Supply Chain management has received a lot of attention due to
extensive globalisation of businesses. Designing or redesigning the physical Supply Chain
in order to achieve certain business objectives is therefore becoming more and more
important. As companies are sourcing, making and delivering products and services
across the globe, several events like revision in local taxes, trade agreements, mergers
and acquisitions force decision makers to rethink of variables like fixed costs in Supply
Chain and variable costs like transportation cost, warehouse operating costs. Also in
course of time, several products get added and several products become obsolete. As a
result of this the old design of a Supply Chain becomes redundant. Thus structural
changes in the Supply Chain, through physical configuration and reconfiguration, are
required to help companies stop revenue leakages. This Paper focuses on Supply Chain
Design (SCD), its importance in today's context and the tools available in the market to
conduct this analysis.
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