Chapter 9 Summary: Managing Supplier Quality in the Supply Chain

Chapter 9 Summary: Managing Supplier Quality in the Supply Chain
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This chapter explains the function of buying, logistics, and merchant development in the management of the supply chain. It expounds on the consistency of the companies and their competence concerning customer satisfaction. Moreover, this chapter focuses on the primary factors that affect customer satisfaction. The association between the producers, suppliers, and customers shall be of significant consideration in improving quality control and promoting an adequate and timely company performance (Thomas, 2013).
Chapter 9 highlights two main concepts, namely, the value chain and the supplier alliances and development. The value chain is a method of divides the central activities of a firm to assist it in reducing the financial costs and to ascertain and categorize the foundations of the existing competitions. The value chain contains a network of various value chains that involves the company procedures, inbound and outbound logistics, services, advertising, and sales and revenues (Thomas, 2013).
Under the value chain, the chain of customers and the management of the supply chain take place. Qualitatively, the mobilization of the customer power allows the value chain to segregate human capacities depending on their function. This concept is revealed when the person is assigned on a specific task (i.e., task number four). This person shall view the perspective of a customer when purchasing an item in this particular task. In this way, this person will be able to identify all the possible customers, their needs and demands, and the direction of evaluating the products. Through this method, the item shall become free of faults before it is released to the market, which is task number five. The value chain governs all the stakeholders, including the suppliers, producers, and finally, the consumers. The original idea in this process is to prioritize the necessities of the customers in every task to make the products ultimately satisfying because of their flawlessness. On the other hand, the supply chain management expands to the economic aspects of the value chain. Figure 1 illustrates a summary of the processes within this system (Thomas, 2013).
5715005883910Figure SEQ Figure \* ARABIC 1. The Process of Managing the Supply ChainFigure SEQ Figure \* ARABIC 1. The Process of Managing the Supply Chain571500698500
It is evident in this figure that the management of the supply chain is a complex process that also involves all the stakeholders mention under the value chain. This concept also focuses on the details of the stakeholders. This figure shows that various plants, distributors, suppliers, and customer groups are included. Portraying the aspects of the supply chain provide a more realistic view of the value chain. In this figure, it can be noticed that the value chain emphasizes more on the inbound logistics and outbound logistics which are the activities within the supply chain and the links between the multiple groups of consumers and suppliers. Because of its complexity, the management of the supply chain becomes more challenging (Thomas, 2013).
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