A supply-chain network (SCN) is an evolution of the basic

supply chain In commerce, a supply chain is a network of facilities that procure raw materials, transform them into intermediate goods and then final products to customers through a distribution system. It refers to the network of organizations, people, acti ...

. Due to rapid technological advancement, organizations with a basic supply chain can develop this chain into a more complex structure involving a higher level of interdependence and connectivity between more organizations, this constitutes a supply-chain network. A supply-chain network can be used to highlight interactions between organizations as well as to show the flow of information and materials across organizations. Supply-chain networks are now more global than ever and are typically structured with five key areas: external suppliers, production centers, distribution centers (DCs), demand zones, and transportation assets.

Overview

All organizations can purchase the components to build a supply-chain network, it is the collection of physical locations, transportation vehicles and supporting systems through which the products and services firm markets are managed and ultimately delivered. Physical locations included in a supply-chain network can be manufacturing plants, storage warehouses, carrier cross-docks, major distribution centers, ports, intermodal terminals whether owned by a company, suppliers, a transport carrier, a

third-party logistics provider Third-party logistics (abbreviated as 3PL, or TPL) in logistics and supply chain management is an organization's use of third-party businesses to outsource elements of its distribution, warehousing, and fulfillment services. Third-party logistic ...

, a retail store or an end customer. Transportation modes that operate within a supply-chain network can include the many different types of trucks, trains for boxcar or intermodal unit movement, container ships or cargo planes. There are many systems which can be utilized to manage and improve a supply-chain network include Order Management Systems, Warehouse Management System, Transportation Management Systems, Strategic Logistics Modelling, Inventory Management Systems, Replenishment Systems, Supply Chain Visibility, Optimization Tools and more. Emerging technologies and standards such as the

RFID Radio-frequency identification (RFID) uses electromagnetic fields to automatically identify and track tags attached to objects. An RFID system consists of a tiny radio transponder, a radio receiver and transmitter. When triggered by an electromag ...

and the GS1 Global Stand