What does a Supply Chain Manager do?

Supply chain managers must solve any problems a company has with its shipping network.
Supply chain managers research and contract raw material suppliers.
A supply chain manager should understand the relationship between supply and demand.
A supply chain manager in a small organization may find vendors and authorize purchase orders as well as ensure delivery.
A supply chain manager may use an automated system to track stock and place orders when needed.
An illustration of a supply chain.
Article Details
  • Originally Written By: John B Landers
  • Revised By: A. Joseph
  • Edited By: Bronwyn Harris
  • Last Modified Date: 01 November 2015
  • Copyright Protected:
    Conjecture Corporation
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A supply chain manager is responsible for managing and organizing the activities involved with the identification, acquisition, production and distribution of the goods that a company provides to its customers. Supply chain management typically begins with the acquisition of raw resources and ends with the delivery of the final goods to customers. A manager in this field must have the ability to communicate, negotiate and coordinate events with business partners and service firms in a variety of sectors, including manufacturing, transportation and warehousing. Information management and distribution management are also important aspects of this job.


A Critical Role

Supply chain management is often considered to be just as critical to a company's success as other functions, such as sales, marketing or finance. Managers are expected to master the ongoing challenges of effectively and efficiently managing limited resources by obtaining the best prices for raw materials and purchasing the necessary quantities without tying up valuable resources in inventory. A supply chain manager must ensure that there is always an optimal quantity of materials and supplies on hand for meeting production schedules and other needs of the organization. He or she also must ensure that an appropriate quantity of goods are stored in warehouses or delivered to retail outlets in a timely fashion so that customers' demands can be met at all times. If those demands cannot be met because of low supply, the company will miss potential sales, and if the supply is too great, the company's storage costs might rise and reduce its profits.


In some organizations, these managers might manage particular areas of the supply chain, supervise contract development or play key roles in the product design process. Not only are they active in inventory control and product development, many supply managers also are responsible for making assessments and creating policies. They often are required to be proactive and versed in strategic planning and formulating partnerships to create better value for their companies. One of their key goals is to reduce costs and increase efficiency at every step in the supply chain without sacrificing quality or safety.

Evolving Responsibilities

At one time, the supply chain manager position essentially was a contract management job that involved coordinating and supervising the work of suppliers, producers, distributors and dealers. Tasks that were associated with this position were primarily manual functions consisting of purchasing, ordering and inventory control. Many of these tasks have become automated. The duties of a supply chain manager have grown and developed over the years, and the responsibilities for those in this position now often depend on the size of the company.

Career Opportunities

Jobs as supply chain managers are available in every segment of industry. Supply chain management is utilized in government, manufacturing and communication. The retail, education and service sectors also offer opportunities to supply chain management professionals. Some individuals in this field focus on specialized areas to develop expertise, such as warehousing, e-commerce or technology.


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Discuss this Article

Post 5

I want to know the definition of duties and customs in supply chain management.

Post 4

Supply Chain Managers deal with the entire business process, but Operations Managers only deal with manufacturing or production.

Post 3

Okay, so what is the difference between Supply Chain Management and Operations Management?

Post 2

@anon166571- I agree, it is a very good description of the job.

Do you think supply chain management jobs were affected by the latest recession? I only say that because I heard a report say that purchase of goods and services was down.

Post 1

good topic.i t has given me a basic idea of SCM.

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