Differences in Enterprise Resource Planning Implementation between Manufacturing and Services Free Essay Example, 1500 words

Supply chain management may be defined as the management of the different flows in a supply chain with a view to improving the long term performance of the individual firms and the supply chain as a whole. As is evident from the definition itself, the flow of information is vital to the functioning of a supply chain. Without information relayed at the right time to the right place, the whole supply chain would come to a standstill. Hence information technology, which enables information flow within a firm, between firms, and across the supply chain, goes a long way towards ensuring effective and efficient supply chain management. As stated earlier, firms could develop more effective supply chain information systems if they first developed effective intrafirm information systems. Some of the common examples of such systems are Warehouse management systems (WMS), transportation management systems (TMS), Decision support systems (DSS), Intranet and Enterprise resource planning systems (ERP). Intrafirm applications: These are concepts and techniques which have benefited greatly through the advances in intrafirm information systems and technology. The main applications of Intra-firm information systems are Materials requirement planning (MRP) and Distribution requirements planning (DRP). We will write a custom essay sample on Differences in Enterprise Resource Planning Implementation between Manufacturing and Services or any topic specifically for you Only $17.96 $11.86/pageorder now They permit information flow between the focal firm and its suppliers and/or customers. The increasingly uncertain business environment has seen the growth of inter-firm information technology. These systems eliminate stagnant pools of inventory and duplicate service operations. Some of the important inter-firm systems are EDI, Internet, etc. The major applications which benefit from Information systems technology that goes beyond the firm are Just-in-time (JIT) manufacturing and Cross-docking. Subsequent to achieve functional integration within the supply chain, information technology that manages product flow, information flow and cash flow from end to end is indispensable.