Discuss the concept of supply chain integration.

Discuss the concept of supply chain integration and explain why each of the six types of integration is important. Supply chain integration occurs when multiple firms in a supply chain coordinate their activities and processes so that they are seamlessly linked to one another in the attempt to satisfy customers. The six types of integration are as follows. (1) Relationship integration is the ability of two or more firms to develop tight social connections among their employees, resulting in smoother personal interactions. (2) Measurement integration is the idea that performance assessments should be transparent and similar across all of the supply chain members. (3) Technology and planning integration refers to the creation and maintenance of supply chain technology systems that connect managers throughout the supply chain. (4) Material and service supplier integration reflects a focus on integrating processes and functions with those who provide the company with the things they need in order to execute their core functions. (5) Internal operations integration is the development of capabilities for the firm’s internal functional areas to communicate and work together on processes and projects. (6) Customer integration implies that firms evaluate their own capabilities and use them to offer long-lasting, distinctive, value-added offerings in ways that best serve their customers. Questions 2.1 Discuss the concept of supply chain integration. How does it result in better customer related outcomes? 2.2 What are some of the likely outcomes of a firm’s failure to embrace one or more supply chain integration types?

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