1. Chapter 6 E-Supply Chains, Collaborative Commerce
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M. Fathima Rashida

2. Learning Objectives
Define the e-supply chain and describe its characteristics and components.
List supply chain problems and their causes.
List solutions provided by e-commerce (EC) for supply chain problems.
Describe RFID supply chain applications.
Define c-commerce and list the major types.
Describe collaborative planning and collaboration, planning, forecasting, and replenishing (CPFR) and list the benefits of each.
Discuss integration along the supply chain.
Understand corporate portals and their types and roles.
Describe e-collaboration tools such as workflow software and groupware.
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3. E-Supply Chains Supply chain
The flow of materials, information, money, and services from raw material suppliers through factories and warehouses to the end customers
E-supply chain
A supply chain that is managed electronically, usually with Web technologies
The term supply chain comes from the concept of how partnering organizations linked together
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4. A Simple Supply Chain Suppliers Manufacturers Distributers & Customers
Middle / internal  manufacturer
Left  suppliers
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5. E-Supply Chains SUPPLY CHAIN PARTS Upstream supply chain
Activities of a company with its suppliers and their connections with their suppliers
Internal supply chain and value chain
Includes all in-house processes used in transforming the inputs received from the suppliers into the organization's output
Downstream supply chain
Includes all the activities involved in delivering the products to the final customers
Upper stream  major process of upper stream is procurement
Procurement is the process made up of a range of activities by which an organization obtain or gains access to the resources
Internal  the actives along with the internal supply chain are referred as the company’s supply chain
 The value chain is composed of a sequential set of primary activities and support activities that an organization undertakes in order to deliver a good or service of value to their customers
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6. E-Supply Chains Supply Chain Management (SCM)
A complex process that requires the coordination of many activities so that the shipment of goods and services from supplier right through to customer is done efficiently and effectively for all parties concerned. SCM aims to minimize inventory levels, optimize production and increase throughput, decrease manufacturing time, optimize logistics and distribution, streamline order fulfillment, and overall reduce the costs associated with these activities
Information technology provides two types of software solution:
SCM (including e-procurement)
Enterprise resources planning system (ERP) (including e-business infrastructure, data warehouses)
Problem is managing large supply chain manually is almost impossible.
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7. E-Supply Chains E-supply Chain Management (E-SCM)
The collaborative use of technology to improve the operations of supply chain activities as well as the management of supply chains
E-SCM is not about technology change alone ; it also involves change in management policies, organizational culture, performance metrics, business process, and organizational structure across the supply chain
Success of an e-supply chain is depends on followings:
The ability of all supply chain partners to view partner collaboration as a strategic assets
A well-defined supply chain strategy
Information visibility along the entire supply chain
Speed, cost, quality and customer service
Integrating the supply chain more tightly
Companies are recognizing that the efficient and effective flow of information and materials along their supply chains is a source of competitive advantage and differentiation
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8. E-Supply Chains Activities and Infrastructure of e-SCM
E-supply chain management process and activities include the following:
Supply Chain Replenishment
e-procurement
Supply Chain Monitoring and Control Using RFID
Inventory Management Using Wireless Devices
collaborative planning
Collaborative Design and Product Development
E-Logistics
Replenishment  integrated production and distribution processes
E-procurement  The use of Web-based technology to support the key procurement processes, including requisitioning, sourcing, contracting, ordering, and payment. E-procurement supports the purchase of both direct and indirect materials and employs several Web-based functions such as online catalogs, contracts, purchase orders, and shipping notices
Inventory management  bar code + wireless devices
collaborative planning A business practice that combines the business knowledge and forecasts of multiple players along a supply chain to improve the planning and fulfillment of customer demand
E-logistics  is the use of web based technologies to support the material acquisition, warehousing, and transportation process
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9. E-Supply Chains Infrastructure for e-SCM EDI Extranets Intranets
Corporate portal
Workflow systems and tools
Groupware and other collaborative tools
Identification and tracking tools
EDI  internet based EDI
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10. Supply Chain Problems and Solutions
TYPICAL PROBLEMS ALONG THE SUPPLY CHAIN
bullwhip effect
Erratic shifts in order up and down supply chains
Need for information sharing along the supply chain
EC SOLUTIONS ALONG THE SUPPLY CHAIN
Visibility
Order taking through internet
Order fulfillment
electronic payments
Managing risk
Inventories can be minimized
Collaborative commerce
Bullwhip  product lay on different location, need to collect and again deliver
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11. RFID as a Key Enabler in Supply Chain Management
Radio Frequency Identification (RFID)
Tags that can be attached to or embedded in objects, animals, or humans and use radio waves to communicate with a reader for the purpose of uniquely identifying the object or transmitting data and/or storing information about the object
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12. RFID at Wal-Mart and Its Suppliers: The Seven-Step Process
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13. Digital Supply Chains
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14. RFID as a Key Enabler in Supply Chain Management
LIMITATIONS OF RFID
Cost
Interference and accuracy
Limited range in passive RFID
Environment restrictions on usage
Privacy
CONCERNS OF RFID
Following are some concerns regarding customer privacy and RFID tags:
the customer buying an item with an RFID tag may not be able to remove the tag or may unaware that an RFID tag is attached t the item
The presence of a tag might mean that it would still be capable of being read from some distance away without the knowledge of the purchaser or user of that item
If a purchase is made using a credit card, then the potential exists for the tag details to be linked directly to the personal details of the credit card holder
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15. Collaborative Commerce
Collaborative Commerce (C-commerce)
The use of digital technologies that enable companies to collaboratively plan, design, develop, manage, and research products, services, and innovative EC applications
Collaboration Hub (C-hub)
One of the most popular forms of c-commerce is the collaboration hubs
The central point of control for an e-market. A single c-hub, representing one e-market owner, can host multiple collaboration spaces (c-spaces) in which trading partners use c-enablers to exchange data with the c-hub
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16. Elements and Process of C-Commerce Systems
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17. Comparing the Traditional Collaborative Supply Chain and Collaborative Networks
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18. Supply Chain in Collaborative Networks
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19. Collaborative Commerce
Examples of E-Collaboration
vendor-managed inventory (VMI)
The practice of retailers’ making suppliers responsible for determining when to order and how much to order
Retailer–Supplier Collaboration: Target Corporation
Lower Transportation and Inventory Costs and Reduced Stock-Outs: Unilever
Reduction of Design Cycle Time: Clarion Malaysia
Reduction of Product Development Time: Caterpillar, Inc.
Lower  collective information for each area for delivery
Clarion  worked with IBM to produced car audio system, by using IT it get real time responses from supervisor from IBM
Caterpilar  used e-collaboration with its customers to produce customizedproducts
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20. Collaborative Planning, CPFR, APS, and PLM
Collaborative Planning, Forecasting, And Replenishment (CPFR)
Project in which suppliers and retailers collaborate in their planning and demand forecasting to optimize flow of materials along the supply chain
The goal of CPFR is to streamline product flow from manufacturing plants all the way to customer’ home
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21. CPFR Model
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22. Collaborative Planning, CPFR, APS, and PLM…
Advanced Planning And Scheduling (APS) systems
Programs that use algorithms (such as linear programming) to identify optimal solutions to complex planning problems that are bound by constraints such as limited machine capacity or labor
Product Lifecycle Management (PLM)
Business strategy that enables manufacturers to control and share product related data as part of product design and development efforts and support of supply chain
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23. Components of Collaborative Fulfillment and APS
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24. Supply Chain Integration
HOW INFORMATION SYSTEMS ARE INTEGRATED
Integration divided into two parts:
Internal integration
External / with business partners integration
Web Services
An architecture enabling assembly of distributed applications from software services and tying them together
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25. Corporate (Enterprise) Portals
A gateway for entering a corporate Web site, enabling communication, collaboration, and access to company information
Corporate portals provide a single point of access to information and application available on the intranets and extranets of a specific organization
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26. Corporate Portal as a Gateway to Information
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27. Corporate (Enterprise) Portals…
TYPES OF (GENERIC) CORPORATE PORTALS
Portals for Suppliers and Other Partners
Customer Portals
Employee Portals
Executive and Supervisor Portals
mobile portals
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28. Corporate (Enterprise) Portals…
The Functionalities of Portals from
Information Portals
Portals that store data and enable users to navigate and query the data
to collaborative portals
Portals that allow collaboration
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29. Corporate (Enterprise) Portals…
CORPORATE PORTAL APPLICATIONS AND ISSUES
Top portal applications are:
Knowledge bases and learning tools
Business process support
Customer facing sales
Marketing
Services
Collaboration and project support
Access to data from disparate corporate system
Personalized pages for various users
Effective search and indexing tools
Security applications
Best practices and leesons learned
Directories and bulleting boards
Identification of experts
News
Internet access
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30. Corporate Portal Framework
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31. Collaboration-Enabling Environments And Tools
Workflow
The movement of information as it flows through the sequence of steps that make up an organization’s work procedures
Workflow Systems
Business process automation tools that place system controls in the hands of user departments to automate information processing tasks
Workflow Management
The automation of workflows, so that documents, information, and tasks are passed from one participant to the next in the steps of an organization’s business process
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32. Collaboration-Enabling Environments And Tools…
COLLABORATION AND GROUPWARE: SOME BASIC CONCEPTS
Groupware
Software products that support groups of people who share common tasks or goals and collaborate on their accomplishment
Virtual Team
A group of employees using information and communications technologies to collaborate from different work bases
Mass Collaboration
Mass collaboration is a form of collaboration action that occurs when large number of people work independently on a single project, often modular in its nature.
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33. Collaboration-Enabling Environments And Tools…
ELECTRONIC MEETING SYSTEMS: FACE-TO-FACE SUPPORT AND VIRTUAL MEETINGS
Virtual Meetings
Online meetings whose members are in different locations, even in different countries
Group Decision Support System (GDSS)
An interactive computer-based system that facilitates the solution of semi structured and unstructured problems by a group of decision makers
Decision Theater
Decision theater  screen for reasearchers to identify variables with other researchers' help
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34. Collaboration-Enabling Environments And Tools…
REAL-TIME COLLABORATION TOOLS FOR VIRTUAL MEETINGS
Screen-sharing Software
Software that enables group members, even in different locations, to work on the same document, which is shown on the PC screen of each participant
Sharing Documents and Workspaces
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35. Collaboration-Enabling Environments And Tools…
ELECTRONIC TELECONFERENCING
Teleconferencing
The use of electronic communication that allows two or more people at different locations to have a simultaneous conference
Video Teleconference
Virtual meeting in which participants in one location can see participants at other locations on a large screen or a desktop computer
Data Conferencing
Virtual meeting in which geographically dispersed groups work on documents together and exchange computer files during videoconferences
Web Conferencing
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36. Collaboration-Enabling Environments And Tools…
The technology and tools used for collaboration in the Web 2.0 world and in Enterprise 2.0 that are in sync with social networking and user-generated content
The major technologies used in Collaboration 2.0 follow:
Collaborative Workspace
An interconnected environment in which all the participants in dispersed locations can access and interact with each other just as inside a single entity
Instant Messaging
Technologies that create the possibility of real-time text-based communication between two or more participants over the Internet/intranet
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37. Collaboration-Enabling Environments And Tools…
Presence Information
Status indicator that conveys ability and willingness of a potential communication partner
voice-over-IP (VoIP)
Communication systems that transmit voice calls over Internet Protocol–based networks
Blogs, Wikis, Virtual Worlds, Forums, and Other Tools
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