Highest level processes in SCM are: 1. Plan: takes great deal of planning to synchronize SCM activities across companies and functions 2. Source: Company gets resources from its suppliers (e.g. parts or partially manufacture assemblies) 3. Make: transformation activity to turn resource inputs into outputs that satisfy downstream demands from other members of SC 4. Deliver: after resources transformed from inputs to outputs, they must be moved physically to next phase of distribution 5. Return: exception processing! Products flow in reverse direction; can be source of competitive advantage