Describe the make-up of the selected industry sector/sub-sector. Who are the major players? How do they compete with each other? What are the dynamics of the industry?
For this purpose of this assignment, we have selected dairy as our industry or sector for the evaluation of supply chain management implications. Dairy or dairy farming is the process under which production of milk and milk products takes place. This process includes harvesting and processing of animal milk and manufacturing or production of milk related products for the purpose of selling them. In recent few years, government of Australia has imposed many legislative implications in this sector. There are various factors that are to be taken into account in this industry.
Supply chain management plays a vital role in this industry in terms of success and failure. Four priorities in dairy sector related to supply chain management are as follows:
Cost- Since dairy industry involves various players in supply chain management, therefore, cost management with the help of supply chain management becomes important and raw material, manufacturer, storage cost, logistic and retailers are also important .
Ability in terms of deliver- Dairy industry involves fast moving goods; therefore, farmers or other producer shall have the ability to deliver the same and operates in supply chain.
Flexibility- Supplying customised products to its customers and products as per the specification provided by customers.