1. Supply Chain Management
Chapter 6
Supply Chain Management

2. Learning Outcomes
Identify the main elements of supply chain management and their relationship to the value chain and value networks
Assess the potential of information systems to support supply chain management and the value chain.

3. Management Issues
Which technologies should we deploy for supply chain management and how should they be prioritized?
Which elements of the supply chain should be managed within and beyond the organization and how can technology be used to facilitate this?
What are the practical issues with online supply chain management?

4. Figure 6.1 (a) Benefits of supply chain management
Note: Respondents could select all benefits that apply
Source: PMP (2008)

5. Figure 6.1 (b) Realization of benefits
Note: Respondents could select all benefits that apply
Source: PMP (2008)

6. Figure 6.2 Members of the supply chain: (a) simplified view, (b) including intermediaries

7. SCM – Some Definitions
Supply chain management (SCM) The coordination of all supply activities of an organization from its suppliers and partners to its customers.
Upstream supply chain Transactions between an organization and its suppliers and intermediaries, equivalent to buy-side e-commerce.
Downstream supply chain Transactions between an organization and its customers and intermediaries, equivalent to sell-side e-commerce.

8. Table 6.2 Objectives and strategies for effective consumer response (ECR)

9. Figure 6.3 Inter-organizational process flow for introduction of a new product Source: Excerpted from Toward the interorganisational product information supply chain – Evidence from the retail and consumer goods industry by C. Legner and J. Schemm © Used with permission from Association for Information Systems, Atlanta, GA, , All rights reserved

10. Figure 6.4 BlueScope Steel Connect transactional site
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Figure 6.4 BlueScope Steel Connect transactional site
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11. Figure 6.5 A typical supply chain for a B2B company

12. Figure 6.6 Elemica trading platform
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Figure 6.6 Elemica trading platform
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13. Figure 6.7 Push and pull approaches to supply chain management

14. Figure 6.7 Push and pull approaches to supply chain management (Continued)

15. Figure 6.8 (a) Traditional value chain model

16. Figure The characteristics of vertical integration, vertical disintegration and virtual integration

17. Replace with Figure 6.11
Figure E2open
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18. Figure Popularity of different e-business applications in Europe according to company size Source: European Commission (2008)

19. Figure 6.13 A typical IS infrastructure for supply chain management

20. Figure 6.14 Alternative strategies for modification of the e-business supply chain