8/12/2019 SC Interface With Marketing Mix by Umar Saddam

1/4

Question

Explain in detail Supply Chain interface with Marketing Mix (4ps) with Supply Chain

perspective.

DEFINITION OF SUPPLY CHAIN MANAGEMENT

Supply Chain Manageent encopasses the planning and anageent of allactivities involved in sourcing and procureent! conversion! and all Supply ChainManageent activities. "portantly! it also includes coordination and colla#orationwith channel partners! which can #e suppliers! interediaries! third$party serviceproviders! and custoers. "n essence! Supply Chain Manageent integrates supplyand deand anageent within and across copanies.

DEFINITION OF MARKETING

%n early #ut narrow de&nition of arketing #y %M% (%erican Marketing%ssociation) was as follows'

he perforance of #usiness activities that direct the *ow of goods and services

fro producer to consuer or user+

,ro these de&nitions! it is clear that function of arketing is a#out eetinghuan needs and wants. he custoer$oriented Modern Marketing concept holdsthat the ain task of a &r is &rst to deterine the needs! wants! and preferencesof a targeted custoer segent! and to deliver the desired satisfaction (valueo-ers) to those custoers. Siply! it is a #usiness function that is supposed toeet needs pro&ta#ly. ood custoer service is the desired end result of all

#usiness activities! particularly that of odern custoer$oriented arketing! andthe Supply Chain are an extreely iportant part of these activities. /hetherperfored #y a producer! wholesaler! orretailer! or outsourced to soe other &r! the physical distri#ution (logistics)function has a signi&cant ipact on custoer service and satisfaction.

BRIEF BACKGROUND OF SUPPLY CHAIN CONCEPT

Earlier in this century! functions now grouped under the ters Supply Chain werepart of arketing. "n 0123s 53s arketers tended to focus on product prootionand developent! neglecting areas of warehousing! transport and inventorycontrol. he reali6ation that storage and distri#ution costs were a#sor#ing an

increasing percentage of sales revenue sparked a renewed interest in this area inlate 0153s and 73s.

8ver tie Supply Chain assued priary responsi#ility for warehousing! inventoryand transport within any organi6ations with arketing responsi#le fornegotiation! prootion and selling. 9ow a day it has #een recogni6ed thatarketing and Supply Chain functions are strategic resources! to #e #est eployedas a part of an overall strategic plan. Supply Chain has the task of ensuring thatdeand generated #y arketing is actually serviced or ful&lled.

Supply Chain is concerned with getting products and services where they are

needed when they are desired. "t is di:cult to visuali6e accoplishing anyarketing or anufacturing without logistical support.

uar.sadda;gail.co

8/12/2019 SC Interface With Marketing Mix by Umar Saddam

2/4

Supply Chain has #een perfored since the #eginning of civili6ations. "t is hardlynew. =owever! ipleenting #est practice of Supply Chain has #ecoe one of theost challenging operational areas of #usiness.

MARKETING FUNCTION AND MARKETING MIX

he essence of arketing function coprises of the #elow entioned arketing

su#ixes. "n other words! 4Cs of arketing! and is well$known and self$

explanatory.

he inherent interface of place (

8/12/2019 SC Interface With Marketing Mix by Umar Saddam

3/4

8/12/2019 SC Interface With Marketing Mix by Umar Saddam

4/4

@ast #ut not least! the @ogistic service &rs arketing policies andipleentations are also relevant. Siply! #oth industries (producers! wholesalersand retailers) and logistic service &rs (?rd