ERP Software

Supply Chain Management Software

Supply Chain Management Software has been around for almost two decades now. The most important focus of growth has been on ERP (enterprise resource planning) systems and warehouse management systems. Now more than ever the focus is to select solutions with sufficient capabilities that can be easily implemented and provide a quick return on investment.

A range of solutions that are applied when executing supply chain transactions, managing supplier relationships, and controlling associated processes are all elements of supply chain management. The aim of Supply Chain Management Software is to bring together the product flow, the information flow, and the finances flow of a business. And, a number of Supply Chain Management Software is built on open data models facilitate data sharing between the extended enterprise and its key suppliers, manufacturers, and end customers. Several logistical areas such as: procurement process; product development; manufacturing flow management; and distribution help control the ebb and flow of inventory so it can always be kept at the optimum level.

Still though, the argument for a complete ERP solution against best of breed, point systems to handle businesses' supply chain management execution and logistics requirements continues to wage. The ERP solutions case has always been about implementing a common technology platform that can deliver a fully integrated ERP system across an entire company, generating cost savings. Best of breed, on the other hand, argues that companies need the additional functionality and expertise that can only be achieved by working with specialists in a particular field.

System functionality and requirements vary to a great extent. There is no question that supply chain management for a Fortune 100 company with a global supply chain network will be a much different system than one for a small manufacturer with just a couple of shipping facilities. Consequently, businesses have to look closely at themselves. Do they need the business benefits of implementing ERP as an enterprise-wide integrated system? Or, for their size, are the advantages to be gained from having an extra feature or capability enough?

In addition to size of business, it is important to note overall IT strategy. The functionality of ERP systems has risen dramatically over the years and the gaps between them and best of breed applications are less obvious. Therefore, the decision to implement supply chain management software may come down to the individual company’s IT plans. If the system is already fragmented, then adding a best of breed application for supply chain management makes sense. But if the company is moving towards a common operating platform, then Supply Chain Management ERP software is the better choice.

Written by :

Amy Cruz