What Does Supply Chain Planning Mean?
Supply chain planning (SCP) is a strategy for maintaining a balance between the supply of and the demand for goods and services. There are software tools available for these purposes. SCP is one of the primary elements of supply chain management, the other being supply chain execution.
Techopedia Explains Supply Chain Planning
Supply chain planning covers many aspects of a company’s overall supply chain. It includes the use of tools for inventory, sales or production. SCP also includes strategies such as just-in-time inventory, where more precise planning allows for more manageable inventory storage requirements.
SCP tools come in different types. Typically, these tools include a dashboard design where planners can look at what is being ordered and how raw materials go through the life-cycle process and are made into products. Multi-screen dashboards can make elements of business processes transparent using specific interface strategies such as the use of flowcharts and diagrams.
SCP, and supply chain management in general, is valuable to modern businesses. They help businesses automate, monitor and control their processes using modern tools. All of these help them save money and allow them to work more efficiently in competitive fields and markets.