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Top 10 most asked questions on supply chain management

Supply Chain

Blog Date
December 23,

Demand for supply chain management is rising, with companies in all industries looking for ways to optimize their supply chains. The reasons for this are clear: supply chains are complex, and there are many opportunities for improvement.

Want more detailed information on the supply chain? Check out our blog on supply chain management for detailed information.

What is supply chain management?

Supply chain management is a field that deals with the movement of goods and services from their initial production to the point of sale. In some cases, this may include the reverse flow of goods back to their point of origin for recycling or disposal. Supply chain management aims to ensure a smooth flow of goods throughout the entire process.

Want to know more about the highest paying job in the supply chain field? Check out our blog on high paying jobs in supply chain management to know more!

Most asked questions about supply chain management

Supply chain management is a complicated topic with many facets, and many questions exist.

Here are the most commonly asked questions we get about supply chain management:

  • How does supply chain management create more value?

Supply chain management creates value by ensuring that a company’s supply chain is up-to-date, efficient, and cost-effective. This is done by optimizing inventory levels and streamlining the flow of goods through the supply chain. For example, if you have a warehouse full of products that are not selling well, you should move them out of the warehouse as quickly as possible to make room for new products that are likely to sell better.

Is supply chain crucial for retailers? Check out our blog on the supply chain for retailers for more information.

  • How can supply chain management help in increasing revenue and cutting down costs?

Supply chain management aims to optimize the entire process of getting a product from its point of origin to its arrival at your customer’s door. This process involves many different steps, including sourcing raw materials, manufacturing those materials into finished products, packaging those products for shipping, and finally delivering them to their destination.

Supply chain management is an integral part of any company’s operations because it helps them achieve three goals:

  1. Increase revenue by improving efficiency.
  2. Reduce costs by cutting down on waste.
  3. Improve inventory management. 

Want to know how the supply chain helps the FCMG industry? Check out our blog on supply chain and FCMG industry to know more,,

  • What are the challenges in supply chain management?

Here are the top challenges faced in supply chain management:

  1. Material scarcity: There aren’t enough materials to fulfill demand, which can lead to shortages and price increases.
  1. Increasing freight prices: This is due to various factors, including an increase in the cost of fuel, labor shortages, and the costs associated with complying with new regulations.
  1. Difficult demand forecasting: Demand can be challenging to forecast because it’s hard to predict what consumers will buy when they buy it and where they’ll buy it from—especially when dealing with a global market.
  1. Port congestion: All ports sometimes experience some congestion (this is why so many companies rely on air freight), but recent events have made this problem worse.
  1. Changing consumer attitudes: Consumers are becoming more environmentally conscious and demanding more transparency regarding their purchases.

Want to know how to start a career in supply chain? Check out our blog on career in supply chain management to know more.

  • How to gradually improve the supply chain?

When it comes to supply chain management, there are a few simple ways you can start improving your company’s supply chain. Here are several ways to ensure your supply chain runs as smoothly as possible.

  1. Company-owned inventory
  2. Distribution Network
  3. Supply Chain Council
  4. Technology
  5. Build healthy supplier relationships

  • What is the role of logistics in supply chain management?

Logistics is the process of planning, implementing, and controlling the efficient, effective movement of goods from point A to point B or from one company to another. Logistics includes everything between raw materials and finished goods, including transportation, storage, and packaging. Logistics also has services like transportation scheduling, inventory management, and quality control.

  • How to tackle transportation issues during warehousing?

There are several ways for you to tackle transportation issues during warehousing.

  1. Make sure you have an accurate inventory count before shipping out your products.
  2. Scrutinize the packages before shipping them out, and ensure they are in good condition and suitable for transport.
  3. Be aware of the maximum load capacity of each vehicle or container so that you can handle a load of packages at a time.
  4. Ensure that all vehicles or containers arrive at their destination on time so customers can receive their orders quickly and efficiently!
  5. Ensure your drivers are licensed and trained in safe driving practices.
  6. Have a plan for road accidents, including who will handle things when they happen, where they’ll be taken, and how long they will take to get back on the road after an accident occurs.

  • What is the importance of using supply chain software, and how to choose it?

The importance of using supply chain software is that it helps companies to achieve their goals with more efficiency and effectiveness. It also helps them reduce costs while increasing productivity, which can help them improve their profits.

For example, suppose a company is trying to increase its production output by 10%. In that case, it can use supply chain management software to create a plan for the entire supply chain from raw materials through manufacturing and distribution channels until the products reach their final destinations. 

  • How to find the best suppliers for a particular product?

When looking for a specific product supplier, it can be difficult to know where to start.

Here are some tips for finding the best supplier:

  1. Certifications – The best, most reliable suppliers have certifications that demonstrate their commitment to safety and quality standards.
  1. Optimize distribution channels in manufacturing and shipping locations – Make sure your supply chain is optimized to achieve the most cost savings with the fewest supply chain issues.
  1. Expertise in target market – Find suppliers who are experts in their field and can provide you with the highest quality products at competitive prices. 
  1. Production capacity – Although it’s tempting to go for a supplier who promises you a lot of output, make sure they can produce what they promise. 
  1. Geopolitical climate – Be aware of the geopolitical environment when choosing a supplier. This includes political climates with a high risk for conflict or war and the potential for natural disasters or other events that could disrupt your supply chain operations.
  • What are the main challenges related to supply chain management that companies face?

SCM is a daunting task for any company, large or small. Even the most experienced managers encounter challenges that can affect their ability to manage supply chains effectively.

The following are some of the most common challenges related to supply chain management that companies face:

  1. Increased costs
  2. Supply Chain complexity
  3. Demands for improved speed, Quality, and service
  4. Risk in the Supply Chain creates pressure

  • How to avoid bottlenecks in the supply chain?

When running a supply chain, it’s important to ensure that your products are getting to where they need to go on time. But what happens when things don’t go according to plan?

This section will give tips for avoiding bottlenecks in your supply chain.

  1. Identification
  2. Evaluation of the data
  3. Outsourcing to reliable and experienced 3PL partners
  4. Strategizing

Pursue PGCP in SCM with Online Manipal

Manipal Academy of Higher Education (MAHE) offers an online PGCP in SCM that allows students to study online without having to move anywhere. Available on Online Manipal portal, this page will give you all the knowledge you need to become an effective supply chain manager. You will learn how to plan, manage and control your company’s supply chain processes to achieve maximum efficiency while staying within budget constraints. 

Key takeaways: 

  • Supply chain management manages all of the steps in a supply chain, from raw materials to end users.
  • It’s important because it helps companies understand their costs and profits and allows them to be more strategic about their supply chains and how they manage them.
  • Supply chain management also helps companies reduce wastes and increase efficiency by ensuring they’re only producing what they need at any given time. This can help reduce costs and pollution caused by excess production or overproduction.


Information related to companies and external organizations is based on secondary research or the opinion of individual authors and must not be interpreted as the official information shared by the concerned organization.

Additionally, information like fee, eligibility, scholarships, finance options etc. on offerings and programs listed on Online Manipal may change as per the discretion of respective universities so please refer to the respective program page for latest information. Any information provided in blogs is not binding and cannot be taken as final.

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