This paper talks about the development of supply chain management as an important area of in interest for companies in the

last few decades. The main focus of this article is aerospace industry and this article has supported its claim with the help of literature review along with the reasons for changes in market due to introduction of supply chain management. The introduction of supply chain management as a subject was introduced post 1980s and 1990s when the company started thinking about expanding their businesses and reducing costs. This result in downsizing of a lot of companies and here in this article specifically in aerospace industry. Companies started thinking restructuring their operations, they prefer to specialize in one area rather than dealing with range of things with no specialization in any of the items. This notion brings a huge change in the operations of industrial market. In the past every companies was a firm believer if vertical integration phenomenon which simply means that anything involved in production process of any item should be done by single manufactured company and unit. But now with change in mind of industrialist they preferred cooperation with other agencies while producing one in which they hold expertise. This shift is mainly brought by reducing the risk of large scale production of all the commodities. This enables the particular industry to develop expertise in a particular area and outsourcing other items to its specialist. Davis (1993) denes supply chains by describing their structure and scope. In general terms, a supply chain consists of a series of organizations and activities that are required to convert raw materials and deliver them as nished products to the nal user. From a simple analytical point of view, a supply chain consists of material and information processing units with three basic characteristics of demand, value-adding transformation and supply. This paper will explain this phenomenon of supply chain in context of aerospace industry and will explain how this phenomenon if used effectively and efficiently will help aerospace industry to get additional revenue and reduced its cost. But this paper has shortcoming in one area which is this that it is totally ignoring the effect of online business and e commerce going on throughout the world. The methodology used to conduct this research was case study methodology. In this form of research the dynamics of particular setting is understand with clarity and suggestions are given

in this regard. The groups of researcher has given full access to all the data of host company and are made aware of all the complexity involved in supply chain process. They are kept in a loop and provided all the information for at least three years so they can understand the complexity and importance of the process involved. During the data collection case detailed information was collected. And each practice of the business was tested evaluated and reevaluated in order to get an idea of its success or failure. Open coding was used to break down and label reoccurring phenomena found within the research data, resulting in the identication of base level data concepts. Axial coding techniques were used to reconstruct the data in new ways, making connections between concepts to form ve higher level sub-categories. When the data collected was analyzed spuriously the following conclusions were drawn from it. The three main categories from the empirical data; partnering, information exchange and the evolving supply chain structure, suggest a gradual move from an adversarial trading mentality towards the integrated network structure identied by Harland(1996). This also shows that the supply chain has resulted in formation of inter organizational relation which is movement in the right direction. Outsourcing of production has changed the formation of supply chain as now different products are manufactured at different places and different industries. It has reduced the operation of supply chain operator but has brought a lot of complexity to the system. This empirical research illustrates how risk has been passed down the supply chain now that material is no longer free issued by the OEMs to the sub-contractors. Sub-contractors must plan, purchase and stock this material, or, as indicated by this empirical data outsource these activities, to a third party. As evidenced by the continual development of single source agreements with sub-contractors, the nancial burden on the sub contract base created by the move away from free issue material alters the shape of the supply chain. Supply chain managers aim to maintain the equilibrium between cooperation and the ever-present risk of opportunistic behaviour, while managing the ow of inter-dependent demand and supply information to ensure continuity of supply. Creating transparent processes and procedures can increase supply chain visibility. This increases the levels of condence that the supply chain actors have in the integrity of their supply chain system, this is shown within the empirical data by the development of sole service agreements.

The worldwide supply chain management and its prove as given above by empirical evidence provides ample opportunities for aerospace company to adopt it and maximize its utility by creating new opportunities for its business and lowering its cost. The base level concepts that form this category identify and describe the importance of offset agreements in terms of market access and potentially low manufacturing costs in return for technology transfer and the wider economic multiplier effects created by the packages of sub-contract work. The case material demonstrates the complex nature of the aerospace manufacturing industry. The inter dependent nature of the supply chain results from a combination of endproduct complexity and the increasingly dynamic structure of the modern supply chain. Historically OEMs acted as the focal point of supply chains, carrying out the majority of transformational manufacturing and assembly processes in-house and co-coordinating work placed with third parties. The OEMs also controlled and co-ordinated raw material purchase and stock, balancing the key supply chain control mechanisms of supply and demand to satisfy operational requirements. The development of the global business environment increased economic pressure, causing organizations to focus on specic skills and competencies.