These flows cut across multiple functions and
areas both within a company and across companies
(and sometimes industries). Coordination
and integration of these flows within and across
companies are critical to effective supply chain
management. However managing these flows effectively
is a daunting task, particularly for global
corporations. A global corporation’s supply chain
now usually consists of multiple enterprises located around the world. Furthermore, each of these
enterprises is involved in a wide variety of supply
chain activities—order fulfillment, international
procurement, acquisition of new information technology,
and customer service. There are complex
relationships such as multiple suppliers serving
multiple customers, or a supplier who may be a
customer or even a competitor in different parts
of the chain. This complexity is why some people
refer to supply chains as “supply networks” or
“supply webs”