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Supply Chain Planning Definition

oboloo Glossary

Supply Chain Planning Definition

Supply chain planning is the process of managing and aligning resources, materials, services, information, and finances in order to maximize operational efficiency and customer satisfaction. Procurement plays an integral role in the supply chain planning process; from understanding supplier capabilities and capacities, to negotiating purchase orders and contracts, to maintaining adequate inventory levels. The goal of supply chain planning is to optimize processes and create a seamless supply chain that ensures products are delivered on time and at the best possible price. With careful planning and efficient procurement strategies, companies can reduce costs, improve lead times, increase efficiency, and build strong relationships with their suppliers.

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