Supply Chain

The supply chain describes the process that leads from raw material to the end customer.

The supply chain encompasses the entire process and network that a product or service traverses from raw material to the end customer. It includes all participating companies, actors, processes, and transport routes. The key steps of a supply chain start with raw material extraction, followed by procurement, production, storage, logistics, distribution, and ultimately culminate in end consumption by consumers. It should be noted that the term is often used synonymously with the English term *Supply Chain*.

Modern supply chains are characterized by several distinctive features. These include internationalization, which often leads to increased complexity and carries both opportunities and risks. Another characteristic is the network structure that involves various actors and is often branched rather than linear. The flow of information and materials plays a crucial role in the management and optimization of the entire supply chain. Moreover, modern systems enable real-time traceability of goods flows, which is essential for quality assurance and sustainability.

Companies are increasingly facing the challenges of sustainability, particularly regarding legal requirements such as the Supply Chain Act. This mandates that companies must observe due diligence obligations concerning environmental standards and human rights throughout their supply chain. In summary, efficient and transparent design of supply chains is critical for the competitiveness and social responsibility of companies.