The goals of supply chain management (SCM) are to reduce risks and uncertainty along the supply chain, which will decrease inventory levels and cycle time while improving business processes and customer service. These benefits provided by SCM will lead to increased profitability and competitiveness. In order to maximize the efficiency of SCM, there must be a large IT integration effort to manage SCM operations.
Twentieth-century technology was functionally oriented. However, a big draw-back of functional systems is that different departments may not be able to communicate with each other in the same language. Furthermore, crucial sales, production, and inventory data often have to be entered manually into computer systems every time an outside person needs information related to a specific department.
There are 2 types of systems integration:
1. Internal Integration-integration within a company between or among applications, and/or between applications and databases.
2. External Integration-integration of applications and/or databases among business partners. External Integration is especially needed for business-to-business (B2B) and for partner relationship management (PRM) systems.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment