This chapter covers three main concepts: it provides an overview of supply chain management (SCM), introduces the concepts of procurement and what is entailed within this function, and explains how inventory is managed. In the first section, SCM is considered broadly but also in the context of hospitality. The key roles and objectives of SCM as well as the significance of supply chain risk and disruption are considered. In the second section, the concept of sourcing is discussed. Sourcing is a critical function in any organization: without this, an organization would cease to operate. The importance of supplier selection is explored, with methods to make the most appropriate selection and for subsequently managing suppliers. Finally, the third section focuses on how inventory management can be optimized. Concepts such as economic order quantity (EOQ) and ABC analysis are explored, along with alternatives to traditional inventory management methods.
Bancroft, J. and Li, D. (2021), "Managing Supply Chains", Szende, P., Dalton, A.N. and Yoo, M.(M). (Ed.) Operations Management in the Hospitality Industry, Emerald Publishing Limited, Bingley, pp. 117-142. https://doi.org/10.1108/978-1-83867-541-720211006
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