Increased sophistication in customer requirements and greater competition, have pushed the industry towards higher and higher levels of efficiency in an effort to meet customer needs and cut costs. One of the results of this drive has been the outsourcing of goods and services to third parties, in a way that has inexorably bonded the supply chains of operators, contractors, and suppliers. The question today is whether increased efficiency in the way individual companies are run is going to provide the industry with the performance improvements it seeks, or whether a new approach is needed which takes into account the whole Supply Chain. Supply Chain Management is about managing the flow of information, materials, services, and money across any activity, in a way, which maximizes the effectiveness of the process. It is about introducing new tools or revising well-known techniques in an effort to ask ourselves "Is this right thing to do" rather than "Is this best way we can continue to do the same thing". This is a continuous process, not a one-time fix. In short, successful Supply Chain Management will reduce the costs of both clients and suppliers, while sustaining or improving benefit and margins. Consequently, companies that have effective supply chains are most successful. There are four major decision areas in supply chain management: 1) location, 2) production, 3) inventory, and 4) transportation (distribution), and there are both strategic and operational elements in each of these decision areas.