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Vol 28 - No 05 - June 2002 Effective Technology Application within Supply Chain Management Much has been written in recent years heralding Supply Chain Management (SCM)and the benefits it can deliver to an organisation. body) This has been recognised and elaborated on by software vendors touting the benefits of applying information technology both internally within the organisation, and externally with its partners. As a result the focus has moved from the supply chain processes to the technology and its capabilities. However, technology itself is not the panacea to achieving supply chain excellence. INFORMATION TECHNOLOGY IN THE SUPPLY CHAIN Supply chain information technology has evolved over the past 30 years, delivering and enabling significant benefits. Material Requirements Planning (MRP) , Manufacturing Requirements Planning (MRPII) and Distribution Requirements Planning (DRP) enabled manufacturers to improve operational efficiencies through formalising the processes and increasing visibility. Enterprise Resource Planning (ERP) solutions first appeared n the early 90's, providing a single integrated solution for an organisation, albeit with low vertical penetration. Time, investment and upgrades improved the depth of functionality, and ERP solutions improved data integrity and visibility, however the focus was internal. Few of these solutions provided sufficient SCM functionality to address the complex scenarios met by many organisations. Today there is not a single focus as there has been historically. Organisations have been forced to move beyond the ERP solutions within supply chain management to deliver the specific functionality required. The Internet has enabled a stepped change.Rather than the internal focus of ERP solutions, e-Commerce has allowed collaboration betweens organisations and their partners. Related Topics:
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