Does Information Technology Really Matter In Supply Chain Management?

Abstract

Role of Information technology (IT) in supply cooking stove management (SCM) has been discussed to determine whether or not “IT matters” for gaining competitive advantages.
SCM is about flow of products and service from supplier to customers. For efficiency, issues e.g. reduction of inventory, lead time, rhythm method time and improved service levels need to be addressed. years ago, the flow was managed manually which created constraints for the volume and speed of data military operationing. Deployment of IT systems and process such as computerized inventory control, Enterprise Resource formulation (ERP), Material Requirement Planning(MRP), data warehousing, Bar coding, Electronic Data Interchange (EDI) etc. aided companies achieve efficiency. Companies such as Wal-Mart cause also gained competitive advantages by using EDI and analyzing Point of gross sales (POS) data. However, as these technologies were commoditized, Wal-Mart’s advantages were washed away supporting the puzzle that IT did not add long term strategical measure out.
It is think that while IT paradox debate continues, IT is still instrumental in developing course strategy, create capabilities to implement strategy, and provide value to organizations. Selective use of IT for SCM can have significant impacts on organizational performance.



Many successful companies have identified strategic areas most critical to the business and improved business processes with the help and capacity that IT had to offer, and therefore gained competitive advantage.

1. Introduction to Supply set up Management

It is worth the effort to briefly describe Supply range of a function Management (SCM) as a stand alone business function, and then discuss how IT plays a major role in planning, execution, and performance of SCM.

SCM is an integrated approach for planning, execution, and control of flow of goods and services from raw materials supplier to finished goods customers (Kanji and Alfred 1999).
It helps companies leverage...If you want to get a full essay, order it on our website: Orderessay



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