The reforms have occurred due to the amplified market competition to deliver better value to their customers. A new system had definitely succeeded in delivering higher values to the clients - thanks to Supply Chain Management.
Supply Chain Management or SCM is a blend of art combined with technology which works to improve the business ways, functions, processes that are a part of a product formation and its delivery. Supply Chain Management is clearly defined as "A combination of various processes that start from the initial phase of the product till the finished consumption of the same product by the consumer. It is a process which involves the planning, implementation of these plans, and controlling of the product manufacture with the intention of providing complete satisfaction to the customer." (Kim, 2006). The basic activities that are encompassed within a supply chain are resource collection, procurement, warehousing, transport management activities, co-ordination with partners, suppliers and most importantly - the customers. The fundamental nature of Supply Chain Management combines the complete supply and demand management related to a product.
However, like every other discovered technology that fades away with time and gets replaced by a new one, supply chain management, has also lost the interest of the organizations. The practice of managing the supply chain has been employed by companies around the globe, which engage in critical activities. Furthermore, the intensifying international financial system and the world-wide set up of e-commerce also whetted the intended importance of supply chain management and have distorted the old techniques so that they obtain benefit by promoting the supply chain approach and planning, as an aggressive tool. By incorporating supply chains with customer affiliation plans and an effectual financial organization, it has turned out to be far easier for any company to stay in positive control of its business actions and produce the results that are intended for (Chopra and Maendil, 1999). Though, as per the study conducted, there has been a noteworthy documentation on the subject of the optimal output that could have been achieved as compared to what the companies are getting at present.
Most of the companies are now not able to check the real time data involved with a supply chain disruptions, and irregularities. The executives are not able to identify the scope of unfavorable actions, and as a result they are forced into intricate and hasty situations. These effects can bring about disaster for a company existing in the present competitive world, by escalating their manufacturing and delivery operating costs, increasing inventory and delaying their products into the market. At the same time the lack of well-timed data also thwarts the organizations from making use of opportunities.
The entry of SCOR into the scene has offered a number of methods to companies in order to gain more competitive advantage. Quick response theory, better communication between trading partners, mutual scheduling, forecasting, and replacement are the initial levels of Supply chain synchronization, (Choudhary, & Tiwari, 2006). Also, SCOR