Wednesday, 15 February 2012


4. Describe enterprise resource planning (ERP) integration benefit?

   a)      Flexible

Organization must be able to quickly respond to the changing needs of the organizations and more regarding to the customer behavior and trends.. For example, organic products have high demand because of the benefits. Even though, there is a high cost of product, customer still can accept the price because they care about their health. So the company should change for fulfill the demand of the customer.

   b) Modular and open

Organization must have open system architecture, meaning that any module can be interface, with or detached whenever required without affecting the other modules. Some organizations will begin with buying two modules, such as accounting and sales, and then will add modules, such as CRM and SCM, as they gain confidence in their current modules. In addition,  the systems are very good whereby they unlocking the information.For example, sales and marketing department share the information with financial department to make management process more efficient.

   c) Comprehensive

An organization must be able to support a variety of organizational functions for a wide range of businesses. For example, the sales record of KFC company. from various branches. Each branches will update their sales for one day sales and then will be updated and recorded directly to the head quarters of KFC company to easy for them to fulfill the customer demand at each branches.

    d) Beyond the company

The company must support external partnership and collaboration efforts. The software must be able to support the future term of business. The example, the company of Genting Highlands more to expand their organizations to gain more profit. At the first level, they introduce indoor games, next they introduce outdoor games and then international tourism to support future business performance.

Thursday, 2 February 2012

Information Technology's Role In The Supply Chain

The roles of supply chain participants are changing.It is now common for suppliers to be involved in product development and for distributors to act as consultants in brand marketing.

            Information Technology's primary role in SCM

  • To create integrations or tight process and information linkages between functions within a firm.
             Eg:marketing,sales,finance and manufacturing.
  • Between firms,it allow the smooth,synchronized flow of both information and product between customers,suppliers and transportation providers across the supply chain.
Figure 9.3:The Integrated Supply Chain

Figure above shows information technology that integrates planning,decision-making processes,business operating processes, and information sharing for business performance management.

Example of company that used Planning and Control Supply Chain Integration


Example of company that used Information Integration

    Example of company that used Business Process Integration