Supply Chain Management, Optimisation, Software, Execution

Supply chain management software (SCM) is a term that embraces a wide range of software functionality. The joint purpose of these different modules and tools is to better execute supply chain transactions, manage supplier relationships and control all main business processes related to supply and delivery. The discipline of SCM covers everything from the storage and movement of parts and raw materials, to work in progress (WIP) and the management of goods and materials from source to the point of delivery to the customer. The APICS Dictionary describes SCM as the \"design, planning, execution, control, and monitoring of supply chain activities with the objective of creating net value, building a competitive infrastructure, leveraging worldwide logistics, synchronizing supply with demand and measuring performance globally.


Quehenberger links up transportation processes on G-Log Internet platform

Quehenberger will initially introduce GC3 for major customers in the food industry. The implementation will be phased, with road transport being managed by the system by the end of 2004, and then subsequent implementations for rail, sea and air traffic carriers.

IBS delivers ASP solution to Konaflex

By adopting the ASP model and upgrading its information systems, Konaflex aims to enhance customer service, optimise resources and improve information sharing.

Mikhail Gorbachev to Present Keynote at RedPrairies 2005 User Conference

Former Soviet Union President and Nobel Peace Prize Winner will address RedPrairies Global Audience on International Leadership and Restructuring Global Priorities.


TXT e-solutions SpA, a European market leader in supply chain solutions, has announced the signing of an agreement for the acquisition of 100% of MSO, a German company specialising in supply chain software technologies.

Peacocks Focuses on Improved Customer Service and Operational Efficiency with JDA Portfolio Store Systems Rollout

To streamline operations by introducing best business practices and advanced, flexible technology, Peacocks is rolling out JDAs Win/DSS Point of Sale (PoS) and back office software.

McDonald's Europe Confirms Successful Implementation of Manugistics' Advanced Forecasting and Replenishment Solutions

Implementation to be extended across the UK and rest of Europe soon.

A pharmaceutical co-op with a competitive edge

Sophisticated and flexible software is key to Itriafarma, an Italian pharmaceutical cooperative, which takes pride in being a technology leader in its industry.


Aldata and Finnish Alko Oy have signed an agreement for the supply of centralized store management and In-Store systems.

Mitsui selects Sterling Commerce business integration solution for trade-logistics messaging service infrastructure

Sterling Integrator enables fast, accurate and cost-effective information exchange with shippers, freight forwarders and carriers

Sterling Commerce offers The Scotts Company one-stop solution for business integration

Unified integration platform streamlines supply chain processes and information exchange outside the corporate firewall.

Supply chain management software (SCM)

Supply chain management software (SCMS) is a business term which refers to a whole range of software tools or modules used in executing supply chain transactions, managing supplier relationships and controlling associated business processes. Supply chain management spans all movement and storage of raw materials, work-in-process inventory, and finished goods from point of origin to point of consumption.

Supply Chain Management (SCM) includes all the activities that must take place to get the right product into the right consumer’s hands in the right quantity and at the right time. The supply chain manager supervises all the related logistical processes for the organisation. Effective supply chain management involves the coordination of all of the various elements of the chain as quickly as possible by harmonizing the contributions at each stage, including use of vendor partners and third-party service providers. This must be done as cost-effectively as possible and the priority is to be customer-driven.

Being more attentive to the stages throughout the length of the chain helps companies to stay competitive, reduces overall costs, increases efficiency and ultimately, keeps the customers happy. Supply chains are becoming increasingly integrated and complex, and as such now require dedicated and well-trained managers

Supply chain management (SCM) is sometimes broken down into the stages of planning, execution and shipping. Supply chain planning (SCP) and supply chain execution are the two main categories of SCM software. SCP software applications apply algorithms to predict future requirements and balance supply and demand.

Another definition is provided by the APICS Dictionary when it defines SCM as the "design, planning, execution, control, and monitoring of supply chain activities with the objective of creating net value, building a competitive infrastructure, leveraging worldwide logistics, synchronizing supply with demand and measuring performance globally."

Supply chain execution (SCE) is the flow of tasks involved in the supply chain, such as order fulfilment, procurement, warehousing and transporting. SCE software applications track the physical status of goods, the management of materials, and financial information involving all parties.

Supply chain planning software helps organizations manage and replenish their inventory through sales and demand forecasting. As part of a supply chain management system, supply chain planning solutions like sales & operations planning (S&OP) serve an important function in the on-going effort to reduce waste and increase profitability.

Supply chain optimization software handles capacity planning as well as sequencing and scheduling. Beyond simply providing demand estimation data, it allows organizations to act immediately on any pertinent information gathered from the data by altering delivery schedules, shifting stored inventory loads, and adjusting revenue and expense projections.

Supply Chain standards and models: 

There are a variety of supply chain models. The Supply-Chain Operations Reference model (SCOR) , developed by the management consulting firm PRTM, now part of PricewaterhouseCoopers LLP (PwC) has been endorsed by the Supply-Chain Council (SCC) and has become the industry standard diagnostic tool for supply chain management. SCOR measures total supply chain performance in terms of production flexibility, fulfillment performance, order delivery, reverse logistics efficiency/returns processing, warranty and general service levels.

Editorial: +44 (0)1892 536363
Publisher: +44 (0)208 440 0372
Subscribe FREE to the weekly E-newsletter