Integrated supply chains management in the household chemicals market
DOI:
https://doi.org/10.31617/2.2023(46)02Keywords:
supply chain, process integration, household chemicals, chemical industry, drugstores, artificial intelligence.Abstract
Introduction. As a result of the aggressive invasion of Russia, stable logistic chains of goods supply were destroyed, many manufacturers reduced or ceased operations, the purchasing power of the population fell critically and prices for most product groups increased, transportation services became much more expensive, the cost of which was almost completely reflected in the cost of goods in trade networks. All these phenomena have had a negative impact on the formation of integrated supply chains in the household chemicals market.
Problem. The crisis situation in the country has led to a decrease in the turnover of household chemicals. Companies are forced to build new supply chains by introducing process integration.
The aim of the article is to define the essence of process integration in supply chains in the household chemicals market in Ukraine.
Methods. The general scientific methods of induction and deduction, comparative analysis, analysis and synthesis, generalisation and the resulting systematisation of the studied material are applied.
Results. The integration of supply chain participants in the household chemicals market can include processes such as joint production planning, joint inventory management, coordination of logistics processes, etc., which enable companies to be more flexible and respond to changing market conditions, as well as to reduce the overall cost of production and supply of goods. The process integration of supply chains in this specific market has specifics different from other industries, as a certain part of the manufacturing companies operates in a closed technological cycle, the diversification of suppliers occurs and companies try to establish partnerships with different suppliers, including small local companies.
Conclusions. Process integration has a synergistic effect and enables supply chain participants in the household chemicals market to share resources, information and infrastructure.
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