QUESTION TWO $[25]$

Integration of the supply chain by managers result in substantial efficiencies. The flow of materials from suppliers, to production, to warehousing, to distribution, to the end$-$user takes place among separate and independent organisations. This may lead to sub$-$optimal efficiencies within the entire chain. Conversely, the supply chain contains various opportunities to reduce waste and enhance value.

A national supermarket chain has recently encountered several problems with their supply chain. The Board of Directors have given you the task of integrating the supply chain.

Identify and discuss the issues you will encounter in managing the integrated supply chain.