What is the logistics supply chain?

Supply chain is a functional network chain structure around core enterprises, which connects suppliers, manufacturers, distributors, retailers and end users into a whole by controlling information flow, logistics and capital flow. Starting from purchasing raw materials, it manufactures intermediate products and final products, and finally delivers products to consumers through sales network. It is not only the logistics chain, information chain and capital chain connecting suppliers and users, but also the value-added chain. Materials in the supply chain increase in value due to processing, packaging and transportation, which brings benefits to related enterprises.

The concept of supply chain is developed from the concept of extended production.

The production activities of enterprises have been extended and postponed. For example, Toyota's lean cooperation model in Japan regards the activities of suppliers as an organic part of production activities and controls and coordinates them, which is an extension of the past. Delay refers to the extension of production activities to the sales and service stages of products. Therefore, the supply chain is the interface between customers and suppliers through planning, acquisition, storage, distribution and service, so that enterprises can meet the needs of internal and external customers.