In the push/pull view of a supply chain, how are processes categorized?

In the push/pull view of a supply chain, processes are categorized based on their responsiveness to customer orders, which reflects the fundamental distinction between reactive and proactive strategies in supply chain management. The "push" part of the supply chain involves producing goods in anticipation of customer demand, where processes are planned and executed without direct input from customer orders. Conversely, the "pull" aspect refers to processes that respond directly to customer orders, allowing for greater flexibility and responsiveness.

This categorization is critical for companies aiming to balance efficiency and customer satisfaction. By understanding which processes are push-driven (forecast-based) and which are pull-driven (order-based), supply chain managers can better align operations with customer needs, ensure timely delivery, and reduce excess inventory. Each process's responsiveness influences how the supply chain operates as a whole, with the goal of maximizing service levels while minimizing costs.

The other options do not accurately reflect the core distinction made in the push/pull view. While financial impact and technology are relevant aspects of overall supply chain performance, they do not specifically pertain to the classification of processes in relation to customer order responsiveness. Environmental sustainability is increasingly important in supply chain considerations, but it is not a primary factor in the push/pull categorization.