Question

1. Explain in detail the components and entities involved in the supply chain of a manufacturing company and five critical infrastructure in the E-SCM (e-supply chain management) concept.

Answer 1

The Internet technology has changed supply chain management concept adding new dimensions to traditional way of working in supply chains, & has transformed it into e-Supply Chain Management / e-SCM. E-SCM is supply chain that is managed electronically, usually with Web technologies. It combines concept of Internet and SCM, and illustrates how trading partners are working together to optimize resources & opportunities.

The E-SCM is changing way business is done

In current business environment, e-SCM is digitally connecting entire world into one big network of supply chains. Businesses need to rapidly evolve to e-SCM in near future / they will be left behind, as old ways of communicating & transmitting information are neither fast nor cost effective any more. In recent times, e-SCM has hit business approaches very hard & really fast, besides setting new standards of performance. Additionally, implementing e-SCM may help organizations to gain a competitive advantage in this highly competitive globalized world.

Hy adopt e-SCM

Adopting e-SCM solution can benefit businesses in many ways, such as:

• The Connecting all business partners in extended enterprise, from raw materials to final point of distribution, leading to—better communication among partners, information sharing synchronization, better customer service.
• The Providing real-time market information to business partners, enabling them for better decision making process
• Freeing up resources & reducing manual transaction processing time, leading to reduction in costs
• The Improving speed & increasing accuracy of data sharing within extended enterprise