Operations functions refer to the activities, tasks and processes within a business which are related to production and delivery of products and services. Operations functions involve all aspects of how an organization’s resources (human, financial, material) interact in order to produce goods or services. The primary operations function is planning; this includes developing strategies for making sure that the right resources are available at the right time in order to meet customer demands. Planning also involves monitoring progress against goals as well as evaluating performance.

The supply chain strategy refers to the overall approach used by a company when dealing with suppliers, customers and other stakeholders in order to ensure smooth operation within their value chain. It can also be described as ‘the way companies structure relationships between suppliers, manufacturers, retailers/customers/distributors and ultimately consumers.’ A successful supply chain strategy will identify potential risks associated with each link along the value chain so that they can be managed effectively. This requires anticipating changes in demand or technology so that production processes can stay effective over time.