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2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc.
Chapter 10: Computer-based Supply Chain Management and Information Systems Integration
Prepared by: Roberta M. Roth, Ph.D. University of Northern Iowa
Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc.
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Chapter Preview
In this chapter, we will study: The concept of a supply chain Four ways of implementing a supply chain Problems that can occur within a supply chain leading to poor business performance Use of IT to resolve supply chain problems How supply chain management should be integrated with other business functions Effect of e-Commerce on supply chains
Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc. 10-2
and services, from suppliers through factories and warehouses, to end customers Includes all organizations and processes that create and deliver products, information, and services to the end customers Supply chain management - planning, organizing, coordinating, and controlling all activities in the supply chain
Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc.
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Downstream Distributors
Retailers
Customers
Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc.
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the supply chain globally E-commerce enables global supply chains Global supply chains are longer and more complex Use of information technology essential
Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc.
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forecasts) How long will it take? (for supplies to arrive; shipments to be received) What if the supplies are defective? (quality control) What if my order gets lost or miscommunicated?
Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc.
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Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc.
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Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc.
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Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc.
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Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc.
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Systems
Initially focused on integrating all departments and functions within an organization Recently have extended to suppliers and customers Focus was on transaction processing, not decision support and continuous planning
Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc.
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Software
Standalone software targeting the planning and decision making needed for supply chain management
Integrated ERP and SCM Build linkages between ERP package and SCM package Extend ERP to incorporate needed SCM functions Addition of business intelligence (analysis)
Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc. 10-13
Upstream Change procurement methods Internal Use of intranet to enhance internal processes Downstream Alter (streamline) selling practices through direct Web selling, auctions, or exchanges
Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc.
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Delivering what the customer ordered in a timely way Providing customer support
EC must continue to improve through More efficient order processing Better fulfilment processes, such as automated warehouses Provide simple mechanism for customers to return products
Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc. 10-15
Chapter Summary
Understanding and managing the supply
chain is critical to success Many supply chain problems can be resolved through improving information flows IT can supply needed support to supply chain management Electronic commerce may reshape the supply chain
Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc. 10-16
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Introduction to Information Technology, 2nd Edition Turban, Rainer & Potter 2003 John Wiley & Sons, Inc.
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