Decision Phases in a Supply Chain

Successful supply chain management requires many decisions relating to the flow of information, product, and funds. Each decision should be made to raise the supply chain surplus. These decisions fall into three categories or phases, depending on the frequency of each decision and the time frame during which a decision phase has an impact. As a result, each category of decisions must consider uncertainty over the decision horizon. 

The design, planning, and operation of a supply chain have a strong impact on overall profitability and success. It is fair to state that a large part of the success of firms such as Wahnart and Seven-Eleven Japan can be attributed to their effective supply chain design, planning, and operation. 

In later chapters, we develop concepts and present methodologies that can be used at each of the three decision phases described earlier. Most of our discussion addresses the supply chain design and planning phases. 

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