Supply Chain Management Systems by dbn14335

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									Supply Chain Management
      Lindsey Palmiotto
      Deanna Nicastro
        What is Supply Chain
• A cross functional system using
  information technology to help manage
  some of a company’s key business
  processes such as those of its suppliers,
  customers, and other business partners.
           Process of SCM:
• SCM systems include the flow of
  – Raw materials
  – Producing products
  – Providing service
  – Delivering the product to the end consumer.
        Goals of an SCM system:

•   Speed
•   Efficiency
•   Reduce Cost
•   Improve Supply chain cycle times (to get a
    company’s products from concept to
      Five Basic Components:
1. Plan
2. Source
3. Make
4. Deliver
5. Return
• Develop strategies in order to meet
  customer’s needs and demands.

• Plan to develop high quality
  products with a lower cost at a fast
• Decide where your products will
  come from. Who will be your

• Helps the company know who
  they can rely on to deliver their
  products in a timely manner.
• Where the source is going to
  manufacture their product.

• Includes scheduling, testing,
  packaging, and preparing the
  product for distribution

• How much inventory should they
• Where the company decides what
  distribution carrier to use in order to
  successfully get their orders fulfilled.

• How fast can they get their products to
  their consumers?

• Involves how the company is going to
  receive their payments.
• Involves the products that the
  customers are not satisfied with
  that get sent back to the

• Are the customers satisfied with
  their service?
     History of an SCM system:

• 1960’s- First inventory software developed
• 1970’s- Material Requirements Planning
                 was introduced.
• 1980’s- Market demand increased which
          led to managing material flow
          through SCM systems.
• 1990’s-NOW- SCM systems are more
                technologically enabled.
                 Oracle SCM:
• Forecasting
• Innovating Logistics
• Benefits
  – Predictability
  – Adapting and
  – Alignment
       Oracle’s Customer Results

•   Improving productivity
•   Reducing their costs
•   Decreasing processing time
•   Cutting errors
•   Increasing volume discounts
            SCM vs. ERP

• ERP integrates all functions of a business
  in a unified manner.

• SCM is a more specialized system.
ERP Business Functions:
         Points of differences:
•   Comprehensive
•   Complexity
•   Sourcing Tables
•   Handling of Constraints
•   Functionality
•   Speed of processing requests
     Accounting             Operations

HR                Finance                Marketing
Model of ERP and SCM systems working together:

  Accounting    Finance   Operations   Human        Marketing


      Supply Chain Concept

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