Supply Chain

The Royal Spanish Academy (RAE) does not provide a specific definition for the term “supply chain.” However, the supply chain refers to a set of processes and activities that range from the production of goods to their final distribution to the consumer.

What is a Supply Chain in Logistics?

In logistics, a supply chain refers to the interconnected network of processes and activities involved in the production, distribution and delivery of goods and services, from obtaining raw materials to final delivery to the consumer. This chain therefore involves the coordination of various stages and actors, as a result of guaranteeing efficient fluidity of products throughout the entire chain.

Types of Supply Chains

Supply chains can vary significantly depending on the industry, the type of products and services, and the specific requirements of each organization:

1.  Linear:

   • Characteristics: It is the most traditional model, with a linear sequence from the acquisition of raw materials to the final delivery of the product to the customer.
   • Example: Manufacturing of consumer products.

2.  Integrated:

   • Characteristics: The close integration between the different links in the chain, where partners share information as well as collaboration more directly.
   • Example: Collaboration between manufacturers and suppliers to optimize processes.

3.  Global:

   • Characteristics: It involves operations and partners in different countries, with manufacturing and distribution internationally.
   • Example: Multinational companies with operations in several countries.

4. Agile:

   • Characteristics: It focuses on flexibility and ability to respond quickly to changes in market demand.
   • Example: Fashion industries with fast production cycles to adapt to changing trends.

5. Lean:

   • Characteristics: Aimed at minimizing waste and optimizing efficiency, reducing inventories and improving processes.
   • Example: Manufacturing with “just in time” production to avoid excess inventory.

Features

Control Terrestre strategically uses the supply chain as an integral part of its logistics operation, capitalizing on its key functions to improve the efficiency and quality of the service it offers.

1. Catering:

   • Function: Acquire raw materials and components necessary for production.
   • Use by Ground Control: Efficient negotiation with suppliers to ensure timely availability of key inputs.

2. Production:

   • Function: Transform raw materials into finished products.
   • Use by Ground Control: Coordination to optimize production and minimize waiting times, guaranteeing efficiency in cargo handling.

3. Storage:

   • Function: Store finished products before distribution.
   • Use by Ground Control: Use of strategic warehouses to consolidate loads and facilitate efficient distribution.