Logistics competency is the key to supply chain management. It can create competitive advantage. The modes and carriers must complement the supply chain strategy. It must be fast, reliable and responsive to the requirements of customers. The transport methods must also move materials and products quickly into your company so you are able to react to customers.
Information technology is vital, even critical, to be a supply chain partner.
Information technology must be enterprise wide, since supply chain management is an enterprise wide process. The technology must also be internal to a company. Complete order and shipment visibility is important. Purchase orders and receipt of material must be done through information technology. This is the cost of the entire supply chain.