Supply Chain Management 
BY 
JUNAID ASHRAF
What is Supply Chain Management? 
Supply chain management is an effective tool 
for business process improvement. It begins 
with the source of supply and ends at the point 
of consumption. Supply chain management 
covers the flow of materials and information 
from suppliers, through a number of value 
adding processes and distribution channels, to 
the customer.
Continue…... 
A supply chain consists of three types of entities: 
• CUSTOMERS 
• PRODUCER 
• PRODUCER'S SUPPLIERS 
The extended supply chain includes 
• CUSTOMERS’ CUSTOMERS 
• SUPPLIERS’ SUPPLIERS
SUPPLY CHAIN MANAGEMENT SOFTWARE MODULES: 
SCMS Commonly Includes Following Modules: 
1. Customer requirement processing 
2. Purchase order processing 
3. Inventory management 
4. Goods receipt and Warehouse management 
5. Supplier Management/Sourcing
MODULES OF SCM 
Continue…..
Advantages of Supply Chain Management 
• Improve Customer Service 
• Achieve A Balance Between Costs And Service 
• Reduce Costs Throughout The Supply Chain 
• Improve Relationships Between Buyers And Suppliers 
• Enables the streamlining of the supply chain. 
• Easy analysis of demand and supply of products or services. 
• Sharing of sales-related information between all the parties. 
• Give competitive advantage by earning the loyalty ; 
of customers, 
shareholders 
and employees 
MARKETER’S BENEFITS;
Advantages of Supply Chain Management 
Continue…. 
CUSTOMERS’S BENEFISTS; 
• Get the merchandise of their choice 
• Merchandise is ready before customer 
entry. 
• Marketers respond to their customers in 
real time.
Disadvantages: 
• The biggest disadvantage of supply chain management 
is the heavy investment of 
time, 
money, 
resources needed to implement 
and overlook the supply chain. 
• It is very difficult to decide, 'Outsource Or Not’’ 
• Integrating the supply chain and choosing the correct 
suppliers is much more difficult
Reasons for failure: 
Supply chain management fails if: 
1. Power is retained. 
2. lack of mutual co-operation. 
3. killer software applications. 
4. Technology can not synchronize every party. 
5.Work still done by people. 
6. Sales manager and ceo’s do not share. 
7. Experience of Solectron corps.
Latest software of SCM 
‘Epicor 9’ by Epicor software's 
• Epicor 9 represents the convergence of Epicor's rich tool sets into a 
single product. 
• Epicor 9 redefines the ERP experience, combining a full range of 
enterprise, manufacturing and distribution functionality with the 
most collaborative, flexible service oriented architecture available. 
‘Supplier Nonconformance Management ’by Intelex Technologies 
• Industry trusted since 1992 
• Intelex's web-based Supplier Management Software allows 
organization's to track supplier performance, perform evaluations 
and generate reports in real-time.
Latest Software's of SCM 
Continues… 
‘ProActive Inventory Manager’ by Accuware 
• Browser based Inventory Management solution. Built on Microsoft 
ASP.net and Microsoft SQL server database. 
• Can be customized to your unique work flows. 
‘ EnterpriseIQ’ by IQMS 
• Can be designed, developed and supported with the unique industry 
specifications in mind. 
• Its single database concept allows for a module and scalable approach 
while eliminating third party applications
Venders of SCMS:
Dawlance slashes logistics costs by 35% for their 
new H-ZONE technology: 
• DAWLANCE’S new h-zone technology costs one third the 
cost from DAWLANCE’S other appliances and required a 
new supply chain design with substantially reduced costs. 
They achieved this by revaluating every assumption and 
focusing on ways to reduce inventory levels. 
• For its traditional appliances Dawlance operated on a nine-week 
order cycle time with many order changes from their 
customers which led to higher inventory levels and sub 
optimized factories. Dawlance focused on shifting to a 
make-to-order model with firm orders accepted and then 
delivered in two weeks instead of nine.
SCM stage 1 
SCM stage 2 
SCM stage 3 
• Currant supply chain 
improvements 
• Supply chain, e commerce 
loosely coupled 
• Intranet/extranet links to 
trading partners 
• Supplier network 
expansion 
• Collaborative planning and 
fulfillment 
• Extranet and exchanged 
base collaboration 
Trends in SCM:
Trends in SCM Continued…. 
Processes.
Supply Chain Management

Supply Chain Management

  • 1.
    Supply Chain Management BY JUNAID ASHRAF
  • 3.
    What is SupplyChain Management? Supply chain management is an effective tool for business process improvement. It begins with the source of supply and ends at the point of consumption. Supply chain management covers the flow of materials and information from suppliers, through a number of value adding processes and distribution channels, to the customer.
  • 4.
    Continue…... A supplychain consists of three types of entities: • CUSTOMERS • PRODUCER • PRODUCER'S SUPPLIERS The extended supply chain includes • CUSTOMERS’ CUSTOMERS • SUPPLIERS’ SUPPLIERS
  • 5.
    SUPPLY CHAIN MANAGEMENTSOFTWARE MODULES: SCMS Commonly Includes Following Modules: 1. Customer requirement processing 2. Purchase order processing 3. Inventory management 4. Goods receipt and Warehouse management 5. Supplier Management/Sourcing
  • 6.
    MODULES OF SCM Continue…..
  • 7.
    Advantages of SupplyChain Management • Improve Customer Service • Achieve A Balance Between Costs And Service • Reduce Costs Throughout The Supply Chain • Improve Relationships Between Buyers And Suppliers • Enables the streamlining of the supply chain. • Easy analysis of demand and supply of products or services. • Sharing of sales-related information between all the parties. • Give competitive advantage by earning the loyalty ; of customers, shareholders and employees MARKETER’S BENEFITS;
  • 8.
    Advantages of SupplyChain Management Continue…. CUSTOMERS’S BENEFISTS; • Get the merchandise of their choice • Merchandise is ready before customer entry. • Marketers respond to their customers in real time.
  • 9.
    Disadvantages: • Thebiggest disadvantage of supply chain management is the heavy investment of time, money, resources needed to implement and overlook the supply chain. • It is very difficult to decide, 'Outsource Or Not’’ • Integrating the supply chain and choosing the correct suppliers is much more difficult
  • 10.
    Reasons for failure: Supply chain management fails if: 1. Power is retained. 2. lack of mutual co-operation. 3. killer software applications. 4. Technology can not synchronize every party. 5.Work still done by people. 6. Sales manager and ceo’s do not share. 7. Experience of Solectron corps.
  • 11.
    Latest software ofSCM ‘Epicor 9’ by Epicor software's • Epicor 9 represents the convergence of Epicor's rich tool sets into a single product. • Epicor 9 redefines the ERP experience, combining a full range of enterprise, manufacturing and distribution functionality with the most collaborative, flexible service oriented architecture available. ‘Supplier Nonconformance Management ’by Intelex Technologies • Industry trusted since 1992 • Intelex's web-based Supplier Management Software allows organization's to track supplier performance, perform evaluations and generate reports in real-time.
  • 12.
    Latest Software's ofSCM Continues… ‘ProActive Inventory Manager’ by Accuware • Browser based Inventory Management solution. Built on Microsoft ASP.net and Microsoft SQL server database. • Can be customized to your unique work flows. ‘ EnterpriseIQ’ by IQMS • Can be designed, developed and supported with the unique industry specifications in mind. • Its single database concept allows for a module and scalable approach while eliminating third party applications
  • 13.
  • 14.
    Dawlance slashes logisticscosts by 35% for their new H-ZONE technology: • DAWLANCE’S new h-zone technology costs one third the cost from DAWLANCE’S other appliances and required a new supply chain design with substantially reduced costs. They achieved this by revaluating every assumption and focusing on ways to reduce inventory levels. • For its traditional appliances Dawlance operated on a nine-week order cycle time with many order changes from their customers which led to higher inventory levels and sub optimized factories. Dawlance focused on shifting to a make-to-order model with firm orders accepted and then delivered in two weeks instead of nine.
  • 16.
    SCM stage 1 SCM stage 2 SCM stage 3 • Currant supply chain improvements • Supply chain, e commerce loosely coupled • Intranet/extranet links to trading partners • Supplier network expansion • Collaborative planning and fulfillment • Extranet and exchanged base collaboration Trends in SCM:
  • 17.
    Trends in SCMContinued…. Processes.

Editor's Notes

  • #10 The decision to outsource a production facility or call center lowers the cost of doing business for a company using global supply chain management, but the decision to outsource or not can lead to consumer backlash.