Supply Chain in Times of E-Commerce Boom

Supply Chain in Times of E-Commerce Boom

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Updated on Jan 2, 2023 23:43 IST

In this blog, we take a closer look at how the e-commerce boom is affecting different segments of the supply chain. This blog will help you understand e-commerce, 2 way supply chain, the effect of e-commerce on the supply chain, and how it has become a critical part of today’s business.


Supply chain, in simple words, means the movement of raw materials to the factory and the final finished goods to the consumers. This function has been a critical part of the manufacturing industry for ages and is integral to the complete product manufacturing setup. Every enterprise, typical manufacturing has a fully integrated supply chain management division ensuring smooth production of goods and seamless as well as timely delivery to the consumers. With the advent of e-commerce, this function has taken an all-new meaning where the functioning of the supply chain can actually ruin or build an enterprise.

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Understanding E-Commerce

E-Commerce is generally defined as the buying and selling of goods or services over the internet; it is a commercial transaction conducted electronically on the internet. E-commerce has given space and benefits to firms to establish their market presence and augment the current market position by providing an inexpensive and well-organized distribution for their products or services.

Learn – what is Product Management?

This kind of model is advantageous for both the firms and the consumers. Firms save costs on building brick-mortar stores, hiring staff, and other administrative costs. On the other hand, consumers benefit from shopping from home and choosing from a wide variety of products. They can buy a product without going to the market or hunting innumerable stores for that one product.

Check out E-commerce and Retail courses.

Supply Chain and E-Commerce

E-Commerce is the buying and selling of goods over the Internet. Besides payment between the two parties, the movement of goods also needs to happen in a correct and timely fashion. Hence the need for a supply chain. For businesses to boom in E-Commerce, it becomes the most critical aspect that needs to be quick, uninterrupted, and secure.


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The competition is fierce as not one or two but hundreds of E-Commerce firms fighting for market share, each identifying and developing unique selling and delivery strategies.

Explore the concept of Quality Management.

Consumers today want quick results. If they can order and have a good delivered at their doorstep today, they would not want to wait for 2 days to have it delivered. They would go with a firm that offers quick and hassle-free delivery.

Understand – what is Project Management?

The 2 way supply chain

E-Commerce works on a 2 way supply chain business from the warehouse to consumer and consumer and back. Yes, an E-Commerce firm offers flexibility to consumers. They can return a product if it’s faulty or not their choice. This in turn, leads the companies also to plan and support a reverse chain of getting it back from the consumer to their warehouse.

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Critical and Important

The supply chain has indeed become a critical part of today’s business. Initially associated with only manufacturing firms, it is now an integral part of all enterprises, especially in the online sale business. There are huge scope and demand for talented professionals in these industries, and they are also paid well. A career in this field is indeed an extremely profitable and lucrative option with the boom of E-Commerce.



Are supply chain professionals in demand?

Every retail organization has a supply chain. Thus, the demand for supply chain professionals is high. The supply chain domain offers a huge number of employment opportunities to freshers as well as experienced candidates. Supply chains are expanding due to the advancements in digital technology and the need for supply chain professionals is also increasing with it.

Is supply chain management a good career?

Yes, Supply Chain is a great career path for anyone who has a comprehensive knowledge of logistics. A career in supply chain management can lead you to a variety of different career paths in different functional areas, like operations, purchasing, distribution, warehousing, and logistics. The supply chain domain offers highly competitive salaries as well as ample career advancement opportunities.

Does supply chain management involve a lot of math?

Supply chain management does not require you to be very good at mathematics. However, you must be proficient in MS Excel and basic formulas for calculation.

What are the best jobs in supply chain management?

The supply chain management jobs include Logistics analyst, Supply chain manager, Purchasing manager, Operations manager, Logistics manager, Quality manager, Production planner, and Production warehouse manager.

What are the top companies hiring supply chain management professionals?

The top companies hiring supply chain professionals include Microsoft, Boeing, Cisco, Johnson & Johnson, Amazon, Philips, Nokia, Nike, Lenovo, and Abbott.

What are the technical skills required for supply chain management?

Supply Chain professionals need to understand the basics of how the Supply Chain works. They must have a working knowledge of any one or all of the areas of the supply chain, like planning, procurement, logistics, sourcing, quality management, warehousing, and inventory management. They should have strong analytical and statistical capabilities. Besides technical understanding, they must have an understanding of financial statements e-procurement systems, and cross-cultural/global issues.

What are the soft skills required for supply chain management?

The soft skills required for supply chain management include analytical skills, excellent communication skills, planning skills, leadership, time management, negotiating, and problem-solving skills.

What are the responsibilities of a Supply Chain Manager?

Supply chain managers keep track of logistics and update the company's inventory. They analyze operational performance and resolve issues. They also collaborate with vendors and suppliers to ensure all operations (e.g. shipping, delivery) meet quality and safety standards.

How much salary do supply chain managers earn in India?

The average salary of an entry-level Supply Chain Manager in India is around Rs. 3,00,000 per year. The average salary of a senior-level Supply Chain Manager is approx. Rs. 20,00,000 per year.

What are the best online resources to learn supply chain management?

The best online resources to learn supply chain management are online courses, tutorials, and eBooks.

What is the future of supply chain jobs?

The demand for supply chain professionals is expected to continue to grow in the coming years. As more and more companies move towards using big data-driven insights, they seek analysts with mathematical and data-driven backgrounds to determine how to best use data to predict trends. To stay competitive in the supply chain industry, you will have to stay relevant and updated with the new tools and technologies.

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