Supply Chain Management Model

    Under some Assumptions and considering Supply Chain Management for a specific territory, we retain here 5 main influencing factors in my more macro-economical model:

    Assumptions :

    • SUM(X) = SUM(M) at worlwide level with M = Value of imports for a specific territory and X = value of exports for a certain territory.
    • X or exports and M exports are considered like 2 “independant” phenomena in that model but the reality is more complex…
    • Institutional Decision impacts are estimated through variations in K Side (Capital Side) because it’s easier for comprehension; indeed, how to estimate the impact of a new law on Supply Chains…
    • K Side is a global concept here representing many factors in the same time; in other words, it’s not only a transportation and consumption of goods but it’s a question of Management, contracts, organisation of works in Offices…
    • I represents the local investments of companies on the targetted territory; Indeed these Investments imply the use of goods as well : New machines for new or existing indutrial settlements…
    • We are here in a discret temporal model divided in 3 periods (Short Term, Middle term, Long Term); In reality, we should be in dynamic temporal process or continuous process : t0, t1, t2, t3, t4 where t0 is the current time, t1 is t0 + 1 Second for example…

    Factors :

    • The Short-Term Supply Chain
    • The Medium-Term Supply Chain
    • The Long-Term Supply Chain
    • The transportation capacities
    • The Capitalistic Sphere including the industrial Settlements in Activity (Investments decisions…), the available workers (in Offices…), the contractual sphere (in Other Factors), the Institutional sphere (in Other Factors) and Many Others Factors (in Other Factors) …

    Now, Isolate the different problems calledd here “Gaps” and “Problems” :

    • First, inappropriate matching between “C + I + M” and Supply Chains at CT, MT, LT : gaps
    • Secondly, transportation problems or more generally named logistic problems
    • Finally, K (Capital) problems : for example industrial settlements inactive for financial reasons

    You can also retain the constituents of each main factor in the diagram below (Arrows means “influencing”) :

    supply chain management

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