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Supply Chain Management

Supply Chain Management

Supply Chain Management

The most important concepts of Project Supply Chain Management Supply chain management are the management of the flow of goods and services and includes all processes that transform raw materials into final products. It involves the active streamlining of a business’s supply-side activities to maximize customer value and gain a competitive advantage in the marketplace. Kloppenborg, et al, (2019).

There are nine knowledge areas and requirements related to implementing for supply-chain improvements:

Project Integration Management

Follows a strategy that fits with other projects & programs including individual tasks, tools, & methodology for the completion of the project. PIM also controls the detail of the cost, staff required, mitigation measures, responses, process tracking and the methods of communication between the stakeholders. Besides this, PIM also focuses on the Work breakdown structure (WBS), risk, constraints, issues faced or changes requiring decisions or contingencies to deliver the quality project within the scheduled time & milestones. Kloppenborg, et al, (2019).

Project Scope Management 

Works parallel to market demand, technology advancement, environmental compliance, or social needs. Where there is a demand for a new product on a customer’s request a business is required to meet the needs, which are new and upgraded according to the latest Thus, PSM manages all the legal requirements, civil infrastructure or fund-raising necessary to increase the business revenues & profits or improve productivity. Kloppenborg, et al, (2019).

Project Time Management 

Although Project Management has introduced best practices & techniques to enrich the knowledge areas of SCM, thus time management holds its unique position. For the supply-chain projects, time must be added into the account –coordination across company boundaries – as projects can sink out of poor estimation. Also, PTM follows a pattern for SCM projects and any other types of projects : –

  1. Define Activities.
  2. Sequence Activities.
  3. Estimate Activity Resources. Estimate Activity Duration. Develop Schedule.
  4. Control Schedule.

Project Cost Management 

This management system work in a non-traditional way for cost management in a supply-chain project by providing a long-term contracting, commitment to suppliers or customer, activity-based cost tracking, fixed prices for certain products, and balancing up-front partner capital investments with future profit splits. Moreover, PCM exercises a method for handling new product development or services contribution, joint investment in information exchange system (IES) to run supply chain, incentives for the exceeding plans, and penalties for departing from the practices that add costs. Kloppenborg, et al, (2019).

Project Quality Management 

The outputs of the supply chain are mostly service and result based, not physical products. Thus, the quality management of SCM projects is not necessarily easy. Plan quality incorporates standards and plans that are relevant to the project for applying. Planning decisions for forecast and inventory control must be demand-driven rather than forecast-driven to measure the progress towards the potential.

Performance quality assurance measures the quality levels of the execution process, to check the adequacy of the plan and the performance quality control the project management outcomes, such as cost and schedule performance.

Project Human Resources Management 

With increasing new technologies, teams work at a distance which is a supply chain project that tends to spread around the world. Multi-company supply chain efforts require shared resources and their respective team. The major challenge occurs when there is a need to integrate different mindsets into an effective team with their respective roles and responsibility. Thus, a supply chain project approach uses Responsible, Accountable, Consulted, and Informed categories. Training is another tool used for team building, similarly, there are various tools cited for 360-degree evaluation of the project at all levels, from the creation of issue logs to team’s agenda, and facilitation to address teams’ conflicts. Kloppenborg, et al, (2019).

Project Procurement Management 

Supply chain efforts would need a partnership with multi-company to have new ways of thinking for financial stability. Procurement responsibility in supply chain projects resides on a single party or may be shared which require collaboration and joint decision making for long term business. Thus, procurement in supply-chain is a two-step process, one is strategic sourcing – for becoming a partner and second is procurement – a selection of day-to-day purchasing of goods and services from the suppliers. Further, Plan procurement works when have to decide what, why, and when to make purchases of a product or service for the project. Contract Procurement is a process that develops the document and evaluation criteria, whereas administer procurement administers the ongoing project contracts and changes to it, close procurement is the formal closure of all the procurements. Kloppenborg, et al, (2019).

Project Communications Management

multiple company participation has become the fundamental reason for an expertise team, as they come from trading partner organizations. Risks from transferring proprietary information can be a risk factor.

Plan communication transforms the communication requirement into the communication management plan to analyze the stakeholder’s information that is further addressed in terms of content, the method of delivery, frequency, and support systems. Also, many organizations working in this environment utilizes workflow tools to collaborate and forward information to the stakeholders automatically. Report performance describes the current status and the forecast of future performance based on project records, presentations, feedback, the changes made in the plans, issues resolved, and the stakeholder’s notification. Kloppenborg, et al, (2019).

Project Risk Management

PRM puts considerable attention to the risk associated with the project. In supply-chain project management, risks are of two types – one is to the project itself and second is supply-chain design. There are various reasons behind the curtains including communication and increased efficiency. Sometimes, being flexible becomes a risk mitigator thus, better communication and use of resources may reduce the risk in the supply-chain projects. Risk management describes strategies to maximize the probability and consequences of positive events. Plan risk management process focuses on the risk tolerance of the management as supply-chain projects highly depend on the qualitative and quantitative analysis. Plan risk responses deal with the risk events after identifying them and monitor & control, review the known and the new ones. Thus, measures like – avoidance change the project plan, transference involves shifting risk consequences, mitigation reduces the probability of suffering, and acceptance means no prevention action required.

The primary reason for determining project progress and results is so that it is easy to determine when issues arise, and correct them before they turn into a total derailment of the project. By maintaining control of the project progress and results, it’s easier to keep costs of the project under control. Kloppenborg, et al, (2019).

Project management is an important and sometimes weighty responsibility. It is an essential area and function, but one that lacks visibility and maturity in many organizations. APICS SCC conducted a survey of supply chain and operations management professionals in order to: Determine where practitioners stand in terms of supply chain project management. Evaluate how often professionals practice supply chain project management in addition to other responsibilities. Explore areas professionals find challenging and whether those challenges reveal insights into developing best practices. Kloppenborg, et al, (2019).


Kloppenborg, T., Anantatmula, V., & Wells, K. (2019). Contemporary project management (4th ed.). Stamford, CT: Cengage Learning

Pinto, J.K. (2019). Project Management: Achieving Competitive Advantage (5th ed). Boston: Pearson.


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Supply Chain Management

Supply Chain Management

1. Major Categories of E-Commerce

2. Organizational Structures and Global Information Systems

3. Supply Chain Management

4. Ethical Issue Of AL

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