This document provides an overview of information technology frameworks and communication systems used in supply chain management. It discusses four levels of supply chain information system functionality including transaction systems, management control, decision analysis, and strategic planning. It also describes various integrated modules like enterprise resource planning systems, communication applications, and planning and execution systems. Finally, it outlines several communication technologies used in logistics like bar coding, electronic data interchange, radio frequency identification, satellite systems, and image processing.

1. A Group Assignment
for Supply Chain
Management Course
Group – 11
Rahul Jha (PGID:1721077)
Kishon Patel (PGID:1721065)
Sandeep (PGID:)
Sujith Kumar (PGID:)
Date - 31/01/2018

2. Information
Technology
Framework
Source: SCLM, Pg.98-
112,
By Donald J Bowersox

3. Information System Functionality
 Supply Chain Information Systems (SCIS) – Links
logistics activities into an integrated process. The
integration builds on 4 levels of functionality –
 Transaction Systems,
 Management Control,
 Decision Analysis, &
 Strategic Planning

4. *Strategic alliance
Formulation.
* Development and
Refinement of capabilities and
Opportunities.
* Focused/profit-based customer
Service analysis
* Vehicle routing and scheduling
* Inventory levels of management
* Network/Facility location and integration
* Vehicle integration vs. Third party/Outsourcing
* Customer service measurement
* Productivity measurement
* Quality measurement
* Financial measurement
* Order management
* Inventory Assignment
* Order Selection
* Shipping
* Pricing and invoicing
* Customer Inquiry
Strategic Planning
Decision Analysis
Management Control
Transaction
Systems

5. -
High
Risk
Extensive
Options
- Analysis/Evaluation
- Significant user
expense and training
- Effectiveness-driven
activity focus
- Performance control systems
- Feedback for performance
evaluation
- Proactive direction to users
- Competitive Advantage
- Identification and
evaluation of competitive
alternatives
- Measurement of
competitive
capability and
addition of potential
improvement
Areas.
- Competitive
Qualification
- High hardware and software systems cost
- Structured training for large number of users
- Efficiency-driven activity focus
Strategic Planning
Transaction Systems
Management Control
Decision Analysis
Characteristics Justification

6. Comprehensive Information System
Integration -
 Enterprise Resource Planning
(ERP) or Legacy Systems
 Communication Systems
 Execution Systems
 Planning Systems
• Major system components -

7. Direct Material
Suppliers
Supply chain planning
applications
ERP or legacy
system backbone
Data mining
knowledge
management
applications
Enterprise
integration
application
Customer relationship
management application
Customers,
resellers
Communicationapplications
Supplychainpartners
Executionsystems
Transportationmanagementsystem(TMS)
Warehousemanagementsystem(WMS)
Yardmanagementsystem(YMS)
SCIS: Integrated Modules-

8. Communication Technology
• To facilitate logistics and supply chain planning and operations.
• Many remarkable logistical communication system are made like bar
code and scanning, global data synchronization, the internet
extensible mark-up language, satellite technology, and image
processing.
BAR CODE AND SCANNING-
• Bar code and electronic scanning is developed to facilitate
logistics information collection and exchange.
• Bar coding is the placement of computer readable codes on items,
cartons, containers, pallets and even rail car
Applications of scanner technology n logistics
• Point-of-sale (POS).
• For material handling and tracking.

9. Benefits of automatic identification
technologies-
• Improve order preparation, processing and
shipment
• Provide accurate inventory control and reduces
physical inventory time.
• Reduces labour cost and time.
• Improved record keeping of customer shipment.
• Customer access to real time information
• Monitor incompatible products in vehicles
• Price accuracy at point of sale
• Increased system flexibility.

10. Global data synchronization-
 EDI and the internet are the standards for effective,
accurate and low-cost information exchange.
 EDI is defined as direct computer to computer exchange of
business documents in standard formats to facilitate high
volume transactions.
 EDI involves both the capability and practice of
communicating information between two organizations
electronically instead of via the traditional forms.
Essential standards for EDI-
 Communication standards: communication standards specify
technical characteristics necessary for the computer
hardware to correctly accomplish the interchange.
 Information standards: information standards dictate the
structure and content of the message.

11. EDI TRANSACTION SETS-
 A transaction set provides a common standard to facilitate
information interchange between partners in a specific
industry and country.
 The transaction set defines the documents that can be
transmitted.
 The transaction set consists of a transaction code (or ID)
and is followed by the data.
PRIMARY LOGISTICS INDUSTRY EDI STANDARDS-
 UCS(Uniform communication standards): grocery
 VICS (Voluntary inter-industry communication standards
committee): mass merchandisers
 WINS (Warehouse information network standards):
warehouse operators
 TDCC (Transportation data coordinating committee):
transformation operators
 AIAG (Automotive industry action group): automotive
industry

12. VALUE ADDED NETWORKS(VANs)-
 The VAN collects transaction messages and information
from a manufacturer and then translates those messages
and information into appropriate industry-specific
communication standards.
 The VAN adds value by managing transactions, translating
communication standards, and reducing the number of
communication linkages.
Manufacturer VAN
Grocery
retailer
Mass
merchant

13. ELECTRONIC PRODUCT CODE
 The Electronic Product Code (EPC) is a unique number that
identifies a specific item in the supply chain.
 The EPC can be associated with dynamic data such as the
origination point of an item or the date of its production.
 Much like a Global Trade Item Number (GTIN) or Vehicle
Identification Number (VIN), the EPC is key to unlocking the
power of the information systems that are part of the
EPCglobal Network.
 The EPCglobal Network is a framework that enables
immediate, automatic identification and sharing of
information on items in the supply chain. The network
consists of the ID System (EPC tags and EPC readers), EPC
Middleware, EPC Information Services (which enable trading
partners to exchange information), and Discovery Services,
which is a suite of services to enable users to find data
related to a specific EPC.

14. Radio Frequency Data Communication(RFDC)
 Used in relatively small areas like distribution
centre, to facilitate two-way information
exchange.
 Allows drivers to have instructions and priorities
updated on a real time basis instead of using a
hardcopy printed hours before.
 Real time or wi-fi transmissions guide work flow
which increases flexibility and responsiveness and
improves service using fewer resource.

15. Advanced RDFC-
 RDFC prompts operators through tasks with
audible commands and waits for verbal responses
or requests
 Warehouse operation personnel has no need to
interface with a mobile or handle held computer.
 United Parcel service make use of speech-based
RDFC to read zip-codes from in-coming packages
and print routing tickets to guide packages
through their sortation facilities.
 Benefit of voice based RDFC are easier operator
interface(key-board entry not required) and two
hands available for order-picking.

16. Working and RFID types-
 Radio Frequency Identification (IDFC) is used to
identify a container or its contents as it moves
through facilities or on transportation equipment.
 Container or box use a coded electronic chip
 RFID are of two types as Active or Passive chips.

17. Active Chips-
 Continuously emanate radio waves so the product
can be located in a warehouse or retail store
using receivers located throughout the store.
 Good for locating product in a facility as well as
for identifying when it is moving in and out of the
facility

18. Passive chips-
 Respond only when they are electronically
stimulated
 Having the product pass through a relatively small
gateway or portal that has built in scanners.

19. Examples-
 Walmart and other major retailers are requiring
that their major suppliers place Radio Frequency
Identification tags on their cases to facilitate
processing in distribution warehouses, receipt at
stores and shelf-restocking.
 US Department of Defense uses Radio Frequency
Identification to list the contents of pallets so
that they can be tracked as they are loaded in
transportation equipment or move through
facilities.

20. Internet-
 Widespread availability and Standardized
communication interfaces offered through
browsers such as Netscape and internet explorer
have substantially expanded opportunities and
capability to exchange information between firms
of all sizes.
 Quickly became the supply chain information
transmission device.
 Conjunction with a server and a browser
 Availability of Internet has enabled the
development of exchange portal.

21. Exchange Portal-
 Infomediary that facilitates horizontal and vertical info
exchange between supply chain partners.
Figure of Single-firm Exchange Portal.
Procurement
LogisticsManufacturing

22. Electronics Industry Exchange
Portal-
 Facilitates communication between all participants
within an industry and can substantially reduce
transaction costs .

23. Cross Industry Exchange Portal-
 It is designed to facilitate communication between firms
that have common interests in commodities and services.

24. Online Catalogue-
 It was a major challenge for Exchange Portals.
 Contains a listing of the products and services offered
along with their descriptions and specifications.
 Catalogue that is consistent across participating firms
is critical to facilitate effective comparison of
products and services across firms.
 To facilitate information sharing and exchange, the
Voluntary Interindustry Commence Standards(VICS)
and collaborative planning, Forecasting and
Replenishment(CPFR) are actively promoting common
and consistent catalogue definitions and standards.

25. Extensible Mark-up Language-
 Extensible Mark-up Language (XML) is a flexible
computer language that facilitates information
transfer between a wide range of applications and
is readily interpretable by humans.
 XML is emerging as the information transfer
medium between firms and service providers that
do not have transaction volumes to justify
Electronic data Interchange (EDI).
 XML facilitates communication by breaking down
many information technology barriers that have
constrained EDI adoption.

26. Contd…
 XML message consists of three components: the
actual information being transmitted, data tags,
and a document type definition(DTD).
 Data Tag is a key feature that defines the data
being transmitted.
 The use of common terms and the lack of
sequencing requirements make XML transactions
much easier to use than Electronic data
interchange (EDI).

27. Advantages-
 XML is superior to EDI for three reasons
 First, it is not expensive to install. It is easy to
design an application and requires much less time
to implement,
 Second, XML is easy to maintain because it can be
easily converted to Hypertext Mark-Up
language(HTML), the language of Web Browsers
which makes it much easier to modify and share
data between applications.
 Finally, XML is more flexible, allowing for broad
applications nad quick definition and extension of
standards.

28. Satellite-
 It allows communication across an expansive
geographic area such as a region or even the
world.
 The technology is similar to that of microwave
dishes used for home television in areas outside
the reach of cable

29. • This figure illustrates two-way communication
between corporate headquarters, vehicles, and remote
operational locations.

30. Contd..
 It provides a fast and high-volume channel for
information movement.
 Real-time interaction provides up-to-date
information regarding location and delivery
information, allowing dispatchers to redirect
trucks according to need or congestion.
 Retail chains use satellite communication to
quickly transmit sales information back to
headquarters.
 Walmart uses daily sales figures to drive store
replenishment and to provide input to marketing
regarding local sales patterns.

31. Image Processing
 It utilizes facsimile(fax) and optical-scanning
technology to transmit and store freight bill
information as well as other supporting
documents such as proof of delivery
receipts(POD) or bills of lading(BOL).
 The main reason of using this service is that it
successfully provides timely share customer
shipment information as well as helps in
delivering the goods on time.

32. Source
For Slide 23:
Source:http://images.slideplayer.com/27/9050515/slides/slide_
11.jpg
For Slide 29:
Source:https://www.google.co.in/url?sa=i&rct=j&q=&esr
c=s&source=images&cd=&cad=rja&uact=8&ved=2ahUKEwi
ap7CnxoTZAhXMrY8KHciqAXQQjRx6BAgAEAY&url=http%3A
%2F%2Fslideplayer.com%2Fslide%2F5128447%2F&psig=AOv
Vaw3Fcir_GqWFUxMXcqpBkvoS&ust=1517568731952347