A Temporal Classification

Supply chain decisions can be broadly classified into three categories: strategic, tactical, and operational according to the time horizon of the decisions.

• Strategic decisions target long term objectives of a supply chain and guide the supply chain policies from a design and planning perspective. Typically these decisions are not reviewed before a time horizon of a few to several years expires but the time horizon depends on a variety of factors.

• Tactical decisions are the decisions that are required to effectively manage the supply chains configured according to strategic level decisions. The time intervals of tactical decisions could range from weeks to months.

• Operational decisions are short term decisions and are generally focused on the real-time activities of a supply chain.