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  • Essay / Supply Chain Management Essay - 885

    Supply Chain ManagementIntroduction: Supply Chain Management (SCM) is both an art and a science that helps in increasing the productivity of the company, to find the raw components it needs to produce a product or service and deliver it to customers. SCM helps businesses compete in the dynamic international market. According to Christopher (1994), a supply chain is “a network of organizations involved, through backward and forward linkages, in the various processes and activities that produce value in the form of products and services in the hands of the end customer. ”Background of SCM: Although the term “supply chain management” was first coined by Keith Oliver in 1982, the concept gained great importance from the beginning of the 20th century, particularly when the supply chain assembly has been created. SCM has established itself over the last ten years. Some authors have defined SCM in operational terms involving the flow of materials and products, some have considered it a management philosophy, others have seen it in terms of a management process (Tyndall et al., 1998) , still others saw it as an integrated system. The authors have even conceptualized SCM differently within the same article: as a management philosophy on the one hand, and as a form of integrated system between vertical integration and separate identities on the other (Cooper and Ellram, 1993). . Supply chain management came to prominence with the increasing use of electronic data interchange (EDI) systems in the 1960s and throughout the 1990s with the introduction of enterprise resource planning (ERP). Specialization within the supply chain began in the 1980s with the emergence of warehouse management, freight brokers and assetless carriers and matured amidst paper functions...... nt-office" such as sales force automation (SFA), marketing automation, and e-commerce. Companies across a wide range of industries use ERP solutions for wholesale distribution and commerce Although the "E" in ERP stands for "Enterprise", high-growth and mid-sized businesses are now rapidly adopting ERP systems (Software-as-a-Service), also known as Software-as-a-Service. the name “cloud computing”, have accelerated their growth. Cloud-based solutions not only make ERP software more affordable, but also easy to implement and manage. in real time, making them even more valuable to managers and staff seeking visibility into the business. As a result, many companies of different sizes and a wide range of industries are also moving to cloud ERP systems. is a prediction that adoption of SaaS-based ERPs will increase by 21% annually across 2015.