Downstream Supply Chain Definition

The term “downstream supply chain” refers to the process of moving goods from the manufacturer to the end customer. The downstream supply chain includes all activities and organizations involved in getting the product to the customer, including warehousing, transportation, and retailing.

In a typical manufacturing company, raw materials are received from suppliers and then moved through production facilities where they are turned into finished products. These products are then stored in warehouses until they are needed by customers. When an order is placed, the products are retrieved from the warehouse and shipped to the customer. Depending on the type of product and industry, there may be additional steps in the downstream supply chain, such as assembly or installation.

Downstream supply chains can be very complex, with many different organizations and activities involved. Managing a downstream supply chain effectively requires coordination among all of these different players.