In: Economics
discuss the challenges attempting to integrate
different activities and organisations across supply
chain
IT has enhanced supply chain very significantly which is evident
if we consider example of Amazon. Amazon has been able to optimise
the available resources with the help of supply chain software that
help the customer as well as the seller to track the order. Supply
chain software also helps in managing the available inventory and
regularly update the software with recent data. It helps in
maintaining a details database with the information related to the
order placed by the customer and delivery of the order.
Challenges that organisation has been facing in implementing supply
chain software is related to the payment system and returns and
cancellation of order by the customer. It is important to have a
secure payment system in order to initiate the purchase order
placed by the customer and deliver the same to the customer. Due to
increase in competition and large amount of data available on
internet related to product. The customer if find cheaper product
available on the other side is easily able to cancel the order
which adds up to the cost of the seller.