Which of the following is a component of supply chain management?

Logistics and inventory management is a fundamental component of supply chain management. This area focuses on the efficient movement of goods from suppliers to customers, ensuring that products are available when needed while minimizing costs. Effective logistics management involves transportation, warehousing, and inventory control, all of which are pivotal in coordinating the flow of products throughout the supply chain.

Inventory management specifically deals with maintaining the optimal amount of stock to meet customer demand without overstocking, which can lead to increased costs and waste. Together, these elements ensure that supply chains operate smoothly, contributing to improved customer satisfaction and business efficiency.

The other options, while important in their respective fields, do not directly relate to supply chain management. Advertising strategy development pertains to marketing efforts, financial auditing and compliance focuses on financial integrity and regulations, and human resources planning addresses staffing and employee management. None of these areas are core components of the logistics and operational framework that supply chain management encompasses.