Global supply-chain governance (SCG) is a term that originated around the mid-2000. It is a governing system of rules, structures and institutions that guide, control, and lead supply chains, through policies and regulations, with the goal of creating greater efficiency. Governing systems are put into place by different actors, such as international organizations and individual firms, within the global supply chain. The global supply chain is the process of transforming raw materials into an end product, which often occurs in several different countries, moving products and services from producers to consumers. Through increased globalization and international codependency, this process is expanding. This has led to the idea that there should be governing system in place to help guide thes
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| - Global supply-chain governance (SCG) is a term that originated around the mid-2000. It is a governing system of rules, structures and institutions that guide, control, and lead supply chains, through policies and regulations, with the goal of creating greater efficiency. Governing systems are put into place by different actors, such as international organizations and individual firms, within the global supply chain. The global supply chain is the process of transforming raw materials into an end product, which often occurs in several different countries, moving products and services from producers to consumers. Through increased globalization and international codependency, this process is expanding. This has led to the idea that there should be governing system in place to help guide thes (en)
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| - Global supply-chain governance (SCG) is a term that originated around the mid-2000. It is a governing system of rules, structures and institutions that guide, control, and lead supply chains, through policies and regulations, with the goal of creating greater efficiency. Governing systems are put into place by different actors, such as international organizations and individual firms, within the global supply chain. The global supply chain is the process of transforming raw materials into an end product, which often occurs in several different countries, moving products and services from producers to consumers. Through increased globalization and international codependency, this process is expanding. This has led to the idea that there should be governing system in place to help guide these global supply chains to perform more efficiently. There is not always a distinction made between supply-chain management and global supply-chain governance though they are fundamentally different. Supply-chain management (SCM) is the actions taken to manage the system from within. It deals with the flow of materials through the global supply chain to ensure that the system produces efficiently per capita. Both systems are working to improve the efficiency of the global supply chain, the difference is that SCM deals with the products in the system and their efficiency in the system. SCG focus on the system as a whole and the interactions between firms. While the objective to SCG is to govern supply chains to operate in an efficient manner, not all actors implement the same models of governance to do this. The main conflicting models of governance strategy differ in how they understand the global supply chain. They put emphasis on different external and internal factors and how these differences affect policy decisions. These policies may come up against barriers in several different ways, such as when attempting to integrate policies across different cultures. While there are barriers to effective SCG, there are also facilitators that help in its promotion, such as collaborative planning across firms. (en)
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