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Supply Chain Management (SCM)
  The Internet will allow you to manage your supply chain better by effectively integrating a system of suppliers, partners, customers and employees. This is called e-SCM.

Supply Chain Management encompasses the planning and management of all activities involved in sourcing, procurement, conversion, and logistics management activities. Importantly, it also includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third-party service providers, and customers. In essence, Supply Chain Management integrates supply and demand management within and across companies. More recently, the loosely coupled, self-organizing network of businesses that cooperates to provide product and service offerings has been called the Extended Enterprise.

Some of the components of supply chain management include:
  • Procurement
  • Inventory management
  • Logistics
A few ways to implement eSCM include:
  • Create customized extranet sites
  • Implement Virtual Private Networking
  • Set-up email and other collaboration tools
The benefits of eSCM include:
  • Decreased operating costs through reduced inventory requirements
  • Improved customer satisfaction by maintaining adequate inventory
  • Improved productivity with less order data entry errors, faster communications and less rework
 
 
 
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