Directions for Supply Chain Strategic Coordination: Discussion and Proposals

Abstract

Global companies and markets require greater flexibility and agility to compete, leading to supply chains (SC), structures in which each link is responsible for adding value through the operations it performs and aiding them to focus on optimization of operations and integrated logistics. From this productive arrangement, competition occurs now among SCs and no longer among individual companies. The companies in an SC reap the benefits of large-scale production through differentiation, minimizing the traditional trade-off. In this paper, fundamentals for managing SC operations relying on a manufacturer setting of competitive priorities are assessed. Agility is the main criterion, a key condition for the competitiveness. From an extensive literature review of supply chain management (SCM), definition of structural and infrastructural characteristics, strategies and their hierarchy, and a detailed analysis of the manufacturing strategy is discussed. Finally, some directions for SCM strategic management are proposed.