Supp|y cha|n management (SCM) ls Lhe managemenL of a neLwork of lnLerconnecLed buslnesses

lnvolved ln Lhe ulLlmaLe provlslon of producL and servlce packages requlred by end cusLomers (Parland
1996)
2
Supply chaln managemenL spans all movemenL and sLorage of raw maLerlals worklnprocess
lnvenLory and flnlshed goods from polnL of orlgln Lo polnL of consumpLlon (supply chaln)
Clobal supply chaln forum supply chaln managemenL ls Lhe lnLegraLlon of key buslness processes
across Lhe supply chaln for Lhe purpose of creaLlng value for cusLomers and sLakeholders
Clobal supply chaln forum supply chaln managemenL ls Lhe lnLegraLlon of key buslness processes
across Lhe supply chaln for Lhe purpose of creaLlng value for cusLomers and sLakeholders


O Planning - the plan process seeks to create effective long and shortrange supply chain strategies. From the design
of the supply chain network to the prediction of customer demand, supply chain leaders need to develop integrated
supply chain strategies.
O Procurement - the buy process focuses on the purchase of required raw materials, components, and goods. As a
consumer, you're pretty familiar with buying stuff!
O Production - the make process involves the manufacture, conversion, or assembly of materials into finished goods or
parts for other products. Supply chain managers provide production support and ensure that key materials are
available when needed.
O istribution - the move process manages the logistical flow of goods across the supply chain. Transportation
companies, third party logistics firms, and others ensure that goods are flowing quickly and safely toward the point of
demand.
O ustomer !nterface - the demand process revolves around all the issues that are related to planning customer
interactions, satisfying their needs, and fulfilling orders perfectly.
O
I-@CLS Cl SCM
Improve Your Supply Chain Network
Supply chain softwares provide complete, 360 degree visibility across the entire supply chain network -
something that cannot be easily achieved with disjointed manual processes.
With supply chain, users can monitor the status of all activities across all suppliers, production plants,
storage facilities, and distribution centers. This enables more effective tracking and management of all
related processes, from the ordering and acquisition of raw materials, through manufacturing and shipping
of finished goods to customers or retail outlets. So the status of mission-critical activities can be tracked at
all times, and potential inefficiencies or problems can be identified and corrected immediately, before they
become unmanageable.
Minimized Delays
Many supply chains - particularly those that havent been enhanced with a supply chain application - are
plagued by delays that can result in poor relationships and lost business. Late shipments from vendors, slow
downs on production lines, and logistical errors in distribution channels are all common issues that can
negatively impact a companys ability to satisfy customer demand for its products.
With supply chain software, all activities can be seamlessly coordinated and executed from start to finish,
ensuring much higher levels of on-time delivery across the board.
nhanced Collaboration
Imagine having the ability to know exactly what your suppliers and distributors are doing at all times - and
vice versa.
Supply chain softwares make that possible, bridging the gap between disparate business softwares at
remote locations to dramatically improve collaboration among supply chain partners. With supply chain
softwares, all participants can dynamically share vital information - such as demand trend reports,
forecasts, inventory levels, order statuses, and transportation plans - in real-time. This type of
instantaneous, unhindered communication and data-sharing will help keep all key stakeholders informed, so
supply chain processes can run as flawlessly as possible.
Reduced Costs
A supply chain software can help reduce overhead expenses in a variety of ways. For example, it can:
Improve inventory management, facilitating the successful implementation of just-in-time stock models,
and eliminating the strain on real estate and financial resources caused by the need to store excess
components and finished goods
nable more effective demand planning, so production output levels can be set to most effectively address
customer requirements - without the shortages that result in lost sales, or the waste that drains budgets
Improve relationships with vendors and distributors, so purchasing and logistics professionals can identify
cost-cutting opportunities such as volume discounts.
MuL