discussion 4.4.docx - Class The relationship between order and supply is absolute with running a business one cannot be separated from the other An

discussion 4.4.docx - Class The relationship between order...

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Class, The relationship between order and supply is absolute, with running a business, one cannot be separated from the other. An order is made by a customer (this also can be a department within the own company), after the handling of the order, the product/service is to be supplied to the customer. Directly coupled to that is a financial aspect, which is related to the way the company is handling the processes of for example stock. Simplifying the process gives two possibilities, push- or pull based strategy. Both strategies with their own financial challenges. The push-based strategy works well for supply chains that focus on the immediate delivery of off-the-shelf, standardized goods (Coyle, Langley, Novack & Gibson, 2017, p. 179), and push-based strategy works for customer specific products. The right strategy for each of the products and services must be determined by the supply chain manager. Tight integration with the company’s warehouse management environment will help ensure a seamless, end-to-end ordering process, from purchase to picking and fulfillment.
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