What does total supply chain management aim to achieve?

Total supply chain management is fundamentally about achieving efficiency and effectiveness across various supply chain activities. This involves optimizing the entire network of companies, people, and processes involved from the sourcing of raw materials through to the delivery of finished products to the end-users.

Efficiency in this context refers to the ability to deliver products and services at the lowest cost while minimizing waste and delays. Effectiveness relates to meeting customer demands promptly and ensuring high-quality products that satisfy customer needs. By aiming for both efficiency and effectiveness, total supply chain management seeks to create a seamless flow of goods, information, and finances, ultimately leading to enhanced competitiveness and customer satisfaction.

The other options—cost increment and complexity, focusing on single aspects, and isolation of supply chain activities—do not align with the objectives of total supply chain management. These approaches would typically lead to inefficiencies, misalignment within the supply chain, and an inability to adapt to changes in demand or supply, which would be counterproductive in a well-managed supply chain.