International Supply Chains Essay Example | Topics and Well Written Essays - 3000 words

International Supply Chains - Essay Example More simply, it is the science (and art) of ensuring that the right products reach the right place in the right quantity at the right time to satisfy customer demand. It has also been defined as "the management of inventory in motion and at rest". (Source:http://www.ocs.ca/english/30_logistics.html). A supply chain is a network of facilities and distribution options that performs the functions of procurement of materials; transformation of this material into intermediate and finished products; and distribution of these finished products to customers. (Source: Ganeshan & Harrison - Introduction to Supply Chain Management) International Supply Chains are those supply chains that transcend national boundaries in their operations. Logistics and supply chain solutions help clients realize the many benefits of an improved supply chain. They include reducing distribution costs, improving customer service, speeding up sales process and improving customer loyalty. The United Nations Convention on International Multimodal Transport of Goods (Geneva, 24 May 1980) states that "International multimodal transport" means the carriage... The United Nations Convention on International Multimodal Transport of Goods (Geneva, 24 May 1980) states that "International multimodal transport" means the carriage of goods by at least two different modes of transport on the basis of a multimodal transport contract from a place in one country at which the goods are taken in charge by the multimodal transport operator to a place designated for delivery situated in a different country. The operations of pick-up and delivery of goods carried out in the performance of a unimodal transport contract, as defined in such contract, shall not be considered as international multimodal transport." In loosely coined terms of day-to-day industry usage, multi-modal simply represents a combination of truck, rail, water, and or air transport to haul everything from small to large items, from raw materials to finished goods, and from perishable to non-perishables. (Source from website ). Major transport growths tries to achieve a balance between providing accessibility to the markets, economic efficiency and reduce threat to the environment. Multimodal transport, that is using two or more transport modes for a trip between which a transfer is necessary, has been touted as a solution for the current transportation issues. This came into full force with the invention of the container in 1960's by Malcolm MacLean. McLean explained that while sitting at a dock waiting for cargo he trucked in to be reloaded onto a ship, he realized that rather than loading and unloading the truck, the truck itself (with some minor modifications) could be the container that is transported. (Source from website ). The improvement in