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Kiran Patel 09076Kshitij Maheta 09078Lalit Jain09080Neha Mehta 09096Parish Butani 09107
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A supply chain is a network of facilities and distribution options that performs the functions of procurement of materials, transformation of these materials into intermediate and finished products, and the distribution of these finished products to customers and the process of managing the whole chain of supply is called Supply Chain Management.
Supply chains exist in both service and manufacturing organizations, although the complexity of the chain may vary greatly from Industry to industry and firm to firm.
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The whole SCM involves five key elements decisions:• Production• Inventory• Supply • Location• Transportation
Raw material
Factory
Distributors
Retailers
Customers
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• Proliferation in product line• Shorter product life cycle• Globalization of manufacturing
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• Distribution network configuration• Distribution strategy• Trade-off in distribution strategies• Information• Inventory management system• Cash flow
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Information flow in any supply chain coordinates the physical flow and interdependencies amongst the organizations in the supply chain It allows mangers to have to have access to information on the functions of all the other supply chain entities
Reporting
DSS
Collaborative
Transactional
SELL
MAKE BUY
Order track & trace
POSERP
MESTransport execution systemInventory management
system
WMS
Procurement
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• Increases the sales efficiency of the firm operations.
• Processes the basic business transactions• collects and provides information relevant to
managerial decisions and even makes decisions
• monitors and records the performance of employees and function units
• maintains records of status, communication channels and change in the fundamental business functions within the organization.
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• IT in Supply Chain Transaction Execution
• IT in Supply Chain Collaboration and Coordination
• IT based Decision Support System (DSS)
• IT in supply chain Measurement and Reporting
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• Transaction execution systems automate information collection, generation and storage activities and enable tracking of data.
• IT provides tools such as ERP provides these capabilities to automate business.
• In addition to ERP other models such as
Streamline management system Inventory Management System (IMS), Manufacturing Execution System (MES) Transport Execution System, Warehouse Management System etc are also offered
by IT.
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• Offers Tools such as SRM & CRM that provides effective execution for the smoother and hassle free operation.
• Another example for collaboration is collaborative planning, forecasting and replenishment (CPFR)
• Specified technology such as Electronic Data Interchange (EDI), Extensible Mark-up Language (XML), (ebXML) may be utilized for an effective supply chain management.
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• DSS use different transaction data to create feasible and economical plans dealing with different stages of supply chain
• DSS entails various levels of decision making, mainly strategic, tactical and operational levels of Supply Chain Management
• Interface, scheduling algorithm, expert system rules, business warehouse, visual composer, GUI are the different specified tool that may be used for effective SCM through DSS.
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• The importance of timely supply chain is increasing.• As companies uses different tools such as DSS, need of
using IT to measure and manage all the aspect of business performance is mandatory.
• Set of IT application used by companies areSupply chain planning metrics,Supplier relationship management metricsCustomer relationship management metricsEnterprise resource planning metrics.
• Specified Technology that may be used areData WarehouseOnline analytical processingDashboard and scoreboard
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• IT in supply chain management is integrating not only the functions and process of an organization but also those of suppliers who are external to it. They have broad and long term implications for an organizations competitive advantage.
Program management group
Strategy formulation• Corporate business objective• Supply chain objectives
Business process design
Determination of functional requirements
Business case preparation
Implementation
Post-implementation audits
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• Background:
Market leaders in home and personal care products
Sources raw, intermediary and packaged material from more than 1500 suppliers
• Situation before implementing IT for SCMRequired existing push based planning system to move to pull based planning system, Distribution system was suffering because of high margin of errors
• Situation after Implementing IT for SCMAvailability of stock increased from 65% to 90%Mal-distribution rate fell from 19% to 6%Manual intervention came down from 40% to sub zero level.Indirect dispatches from finished goods warehouses have come down from a range between 70-80% to between 30-40%
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Increased polarization of the supply chain management application software market
RFID (Radio Frequency Identification) Technology
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SUPPLY CHAIN MANAGEMENT- JANAT SHAH
MANAGEMENT INFORMATION SYSTEM- JAWEDEKAR
www.sap.com
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