This the second part of our look at Supply Chain vocabulary. In this lesson, we focus on more advanced concepts such as enterprise resource planning, just in time manufacturing, and quality assurance.
Purchasing: Is the process of buying the goods and services that business need to operate.
Logistic: Is the process of managing the flow and storage of material, goods, information and capital.
Warehousing: Involves all of the function related to the large scale storage of goods and materials.
Inventory: Is all the goods and materials that are held in stock.
Material Management: Function responsible for spare parts, qulity, control and inventary.
Order fulfillment: Is the process of receiving, processing and filling a customer's order.
Quality Assurance: Making sure that materials, parts and products are in good conditions.
Just in Time: Is a business strategy aimed at reducing inventory and associated costs.
ERP: Enterprice Resources Planning is a system that integrates information from all differents parts of business.