These are a group of slides describing Supply Chain Drivers. http://www.schain24.com/2016/09/05/supply-chain-management-drivers/

1. Supply Chain Management and its
Drivers:

2. Introduction:
• There are some supply chain drivers which are
responsible for the performance of a supply
chain. We need to have good understanding
about supply chain drivers to understand
supply chain performance.

3. Logistical Drivers:
• The logistical drivers are facilities, inventory
and transportation. The two main facilities are
storage and production sites. Inventory
denotes all raw materials, WIP, and finished
goods in a supply chain. On the other hand,
transportation involves moving inventory from
point to point.

4. Supply Chain

5. Cross -Functional Drivers:
• Information, sourcing and pricing are cross-functional
drivers, which determine in some ways the performance of
a supply chain. Information is data about facilities,
inventory, transportation, costs, prices and customers
throughout supply chain, also gives shipping option to
managers. Sourcing is the particular supply chain activity
should be done inside a firm or procures from other
entities. Pricing drivers determine price of goods and
services which the supply chain produces. Early orders are
less likely if with lead time price does not vary. Without
investing on facility, manufacturing etc. supply chain
managers can consider the price change option in some
cases.
•

6. Defining Supply Chain Drivers:
• While we attempted to define the drivers, the
logistics and supply chain management is
delineated. The use of logistical drivers is used
to increase supply chain profits. Logistical
drivers are of great importance. On the other
hand, cross-functional drivers are getting
more and more importance in raising supply
chain surplus. But the drivers do not act
themselves. They interact with each other to
determine supply chain performance.

7. The Efficient Supply Chain :
• As the furniture is sold by Wal-Mart in the
American Market they choose low cost
furniture from Asia and uses low cost
shipping. So that, they can provide low price,
also acceptable quality furniture. Variety is
low in number and they stock finished goods.
Their goal is to be efficient through this
strategy.

8. The Responsive Supply Chain :
• On the other hand, some costly furniture
makers in America keep inventory of small
quantity but greater variety at the sales
outlet. They use information technology to
take order and make quick delivery of
furniture. So, they do not need great quantity
of inventory at their sales outlet. Their
manufacturers are giving quick delivery and
using high cost shipping. This way they
become highly responsive.

9. Conclusion:
• In terms of responsiveness and efficiency how
much a supply chain can perform we must
examine both logistical and cross-functional
drivers: facilities, inventory, transportation,
information, sourcing and pricing. These
drivers interact with each other to determine
the supply chain performance.