Economics/Supply Chain


What is a supply chain ? How it is used in economizing the cost ?

Supply chain concept
Supply chain concept  
I thank you for selecting the all experts and me to answer your question. It is a new and important concept all over the world. It is becoming popular in the current global business.
A manufacturing organization gets raw materials, produces a product and sells to their customers.
In this process,
a) There is a movement of raw materials from the supplier to the company– This is an inward supply movement.
b) There is a  movement of finished goods to the dealers, retailers, whole salers  or customers – There is an outward supply movement.
c) If we plan and synchronise both these movements through a single or  a group of transport operator, then it is  a supply chain.
d) Movement of materials is called logistics

70% of the Multi National Companies are using third party logistics (3PL- From Fortune 1000 companies).
Finding transport companies to do this chained supply of inward raw materials and outward finished goods is called Outsourcing
a) These goods movement jobs are given on contract to Logistic  companies.  
b) Supply chain is  Transaction based.
c) It is  Relationship based between a raw material supplier, producer and the distributors/customers for the finished goods.
d) The Location familiarity of the transporter is important.
e) Experience of the logistic company is important.
f) Logistic company’s  Weight & Size handling ability is to be studied and selected.
g) The Value of goods versus delivery cost should be competitive.  
h) A supply chain  reduces the finished goods stock.
i) Planned Air, Sea, Rail, Road chain  saves time, cost and systems performance.
j) Supply chain improves the transportation Verses building Warehouses
k) Enterprise Resource Planning (ERP) software can  locate performance based logistics for Reduction in delivery cost.
l) Frequent evaluation of the logistic  (Delivery time, Quantity delivered, Damages etc.. is essential in Supply chain.  
This  are  the total concept of supply chain.


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Basically a B.Sc (Physics) from the University of Madras, India. Started the career in production engineering under German and Italian experts. MBA in Management from IIM, Ahmedabad (India). Ph.D (Management) from the University of Bomaby (the first ever awarded in this subject). Headed the computer centres of Multi nationals; "Data Processing expert" of the Commonwealth, London (To implement World Bank and UNDP Computer softwares); "Consultant Adviser" to the Caribbean Development Bank (CDB), Barbados. Associated with Nobel Laureate in Economic Science-1979, Arthur Lewis (Past President of CDB) & 4 more on his introduction. Visiting professor to many universities. A Trained ISO 9001:2000 Quality Auditor. Over 40 years of combined experience in Accounts, Computer Software, Economics, Engineering, Management, Science, Technology, Research & Development and Qulaity systems. Author of over 60 Application Research papers. Currently a free-lance consultant in ISO Quality Systems, Socio-Economic development acceleration, Innovative software designs. Can answer any question in Theoritical/Applied-economics with an in-depth and innovative dimension. I DO NOT ANSWER : 1. STATISTICAL data & analysis. 2. PRIVATE questions, as they do not appear for PUBLIC view & search 3. Examination & Project report oriented questions. Website


Experience in the area Over 40 years in Industrial, Service and Economic development sectors. Socio-economic development oriented expertise (1982-86). With Commonwealth Fund for Technical Cooperation, London as a "Data Processing Expert". With Caribbean Development Bank, Barbados (UNDP,World bank set up) as a "Cnsultant Adviser". See "" and "". National & International awards. R & D Author at and

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See full details at (1) D.Litt in Computer Science - 1983. World University, USA. (2) Ph.D - 1975. First management doctorate awarded by the University of Bombay, India, after the inception of the subject. (3) MBA – 1966. IIM, Ahmedabad. India. First batch. 4) B.Sc - 1959. Physics. University of Madras, India

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