What are the two most common arms of a supply chain organization?

The two most common arms of a supply chain organization are purchasing and logistics. Purchasing refers to the procurement activities involved in acquiring goods and services needed for production or operation. This function focuses on negotiating with suppliers, ensuring quality, managing vendor relationships, and securing the best prices for materials.

Logistics complements purchasing by optimizing the movement and storage of goods throughout the supply chain. This includes transportation, warehousing, distribution, and inventory management. Together, purchasing and logistics ensure that materials and products are obtained efficiently and delivered to the right place at the right time, which is critical for maintaining operational efficiency and customer satisfaction.

Other options such as inventory and quality control play important roles but are generally considered sub-functions within the broader categories of purchasing and logistics. Similarly, sourcing and distribution is relevant, but sourcing is often seen as a part of purchasing, and distribution is closely tied to logistics. Sales and marketing support the supply chain but are not directly involved in the operational procurement and movement of goods.