Building Information Systems Discussion Supply Chain Manage

Building Information Systems - Discussion

Supply Chain Management

What are the current information issues regarding Supply Chain Management? How can accurate information help suppliers and purchasers save money, and how does just-in-time delivery work? How does RFID fit into the picture?

Solution

Supply chain management means

1) Flow of goods

2) Flow of information

3) Flow of money.

Flow of information if just like a blood in human body . if there is delay in flow of information then there will be delay in flow of goods and correspondingly there will be delay in flow of money.

So flow of information is very essential in supply chain management. Flow of information can be improved with highly efficient IT systems .

Currently issues in supply chain management are delay in flow of in formation from supplier to the purchaser , like information about stock out of certain products, delay in manufacturing products, delay from the transporter end, and supplying product different from what is ordered.

Now if Supplier sends the information to the purchaser in time then purchaser can plan his activities accordingly .

Accurate information from manufacturer will result is planning the logistics as per the need and supplying the goods in time . this will definately reduce the extra cost of manapower planned unnecesarly due to improper information both by supplier and purchaser. Purchaser can plan for the space, manpower etc in advance and can reduce the cost

For eg.

Suppier planned to distribute 100 units a week or 400 units a month . if the information is sent to purchaser in advance. Purchaser can plan his manpower to unload the stock from transporter vehicle and process it accordingly. If inflormation is not sent to purchaser by supplier , purchaser will not know how much manpower he has to plan and sudden deliveries will lead to sudden planning of manpower which leads to extra unnecessary cost.

More over supplier can discuss with purchaser in advance and can reduce the cost of transportation if purchaser buys the stock in bulk quantities. In this way both supplier and purchaser can save money

Just is time delivery can be possible if purchaser gets the information about the dispatches and delivery period as soon as dispatches are done by supplier. Purchaser will chase the transporter to get the deliveries done on in delivery time. Information of delays will be sent by supplier or Transporter. Real time Information can be sent by systems ( Auto emails ) ,by emails or by google tracker as soon as stock is dispatched.

RFID is radio frequency identification used to know the appropriate information . Most of the products will have RFID stickers that unique number . this will help us to know the status of products. RF guns are used to pick the product from storage place ( mostly in WH ) and process it further. RFID sticker is scanned at the time of dispatch by supplier . Then receiver can see the information of dispatches in ERP systems by generating ERP ( Enterprose resource planning ) report . Purchaser will scan the RFID code after the delivery and update it in his ERP system. This will help supplier to know if stock is delivered .