The hottest supply chain integration and efficienc

The purpose of supply chain integration is to improve the efficiency of a company in purchasing, selling and manufacturing products and providing services. In essence, it is to reduce the costs associated with these activities (that is, to increase revenue). However, the value of supplying poly (aryl ether ketone) in the aerospace field lies in whether the metal replacement chain integration is really as good as they claim? In order to accurately determine whether a supply chain solution really reduces costs, we should focus on specific units, such as material inventory time or procurement related costs. In fact, the traditional inventory unit is an important project to measure the value of any investment to strengthen the function of the supply chain. Due to the adoption or improvement of the supply chain, obsolete costs, stock shortages and staff and labor costs in the procurement process should be improved

transaction cost

from the perspective of execution level, supply chain integration refers to the movement of transactions. A transaction consists of two components, content and delivery. Content refers to an order or invoice, while transmission refers to the transmission facilities from line to van (value added network) controlled by large companies

with this basic definition, we can analyze the different methods of carrying out a transaction. For example, a seller who prints out a flexible package requires one more invoice to be mailed or faxed to the buyer. In this case, the content is the invoice, which is transmitted through letterhead or a line connected to the fax machine. Each processing method has obvious costs, such as fees or mailing fees, but there are also some costs that are difficult to quantify, such as opportunity costs

at first glance, even if envelopes and paper are included, the standard mailing fee for each transaction is very low. If company a uses the mail service, company B can send the invoice to the buyer by e-mail. Company a and company B sell the same products at the same price, that is, they have the same transaction content. The only difference is the delivery mechanism. Buyers who can receive electronic transmission information can process invoices faster, and may also connect the transmission channel directly to its internal accounting system, which obviously reduces the cost for buyers. In this way, company B will become a more attractive trading partner due to its advanced transaction transmission mechanism. This simple example shows the importance of supply chain in a competitive market

obviously, the upgrading from paper-based transaction to electronic transaction is being carried out on a large scale. Many of you may have sent orders by e-mail. Or you have purchased from and received the invoice by e-mail. The way of transmission is changing, but the content is unchanged. In essence, placing orders with suppliers by e-mail is a form of EDI (Electronic Data Interchange)

in fact, using e-mail/attachments similar to EDI and XML and the latest buzzwords related to supply chain integration are very applicable. The same content is transmitted in different ways

for an IT Manager, in addition to having a great impact on the company's revenue, improving the operation efficiency of the supply chain has increasingly become a competitive need. It managers' responsibilities include not only developing the most efficient form of transaction transmission, but also working to seamlessly connect the transmission mechanism with internal systems There are many ways to complete this work, which one is better depends on the size and influence of trading partners

if you have a large company, you can ask buyers (suppliers) to use the same transmission method. For example, a large oil company can require its suppliers to send invoices via EDI (this is very appropriate because the oil company is the only purchaser of the supplier's products)

on the other hand, small companies have little influence on the way transactions are required, and they must support the different mechanisms required by large trading partners. Ironically, most of the burden of integration is borne not by large companies but by small companies, which have very few resources to support a large number of transaction standards

integer server and B2B mart

the most common way to solve the problem in (I) is called integer server. They are programs that convert different transactions into specific forms. Its value is measured by how many transactions this integration server can convert. For example, you store your purchase orders in an internal accounting system that uses a specific order format. Your biggest buyer requires you to communicate through EDI, while another buyer requires you to use xml So you need an integrator that can use XML and EDI together to make electronic contact with these buyers

another method of supply chain integration is B2B trade or market, where multiple trading partners conduct transactions through the third media - exchange. However, these transactions should be standardized for a specific industry. The reality is that many transactions require participants to purchase an integer server. Using the integration server to connect the current system with the Internet market or trading partners in the supply chain is the direct method of supply chain integration. But trading partners bear another cost

transaction back makes the pointer return to zero. After large changes, intelligence

for example, faxing an order will bring costs related to intelligence (such as manpower), as well as manufacturing purchase orders, etc. In the worst case, the cyclical inventory analysis is done manually. If the inventory level is recorded as low, another raw material order will be made. This intelligent method is accompanied by a lot of costs, such as staff salaries and inventory support costs related to the interval between inventory calculations

integrate it into ERP and supply chain, store the intelligence of transaction in ERP and MRP model, and report to the personnel who make the inventory order of supplementary raw materials. If the supplier is relatively fixed, an integer sum server can automatically transmit these processing results to them

now, the best solution is to buy an internal software, such as ERP, to obtain the intelligence of transaction, and then buy a set of integration server to contact the outside world. This is indeed a good choice. If there is no gap between intelligence and the execution of the transaction itself, it will be more efficient

in large companies, MRP runs make orders for the next day at night. The goal of real-time production is to shorten these intelligent cycles as much as possible. The next generation software products of SCM, ERP and MRP will develop in this direction. When these applications become popular, integrated servers will be considered "built-in", and these applications are mainly distributed in the form of application service provider methods. Here, the IT technology related to integrated servers has nothing to do with end users. At this point, the streamlining of intelligence and transactions will maximize work efficiency and minimize the cost of the supply chain

supply chain integration is a mobile target. There are many different methods, and even more providers announce that they have one. The integration server is the method to connect various systems. However, as time goes on, the efficiency of direct connection will be greatly improved when one system is designed to connect with another system through an interface. New investment projects related to the functionality of the supply chain should exist in the form of a platform and have the ability to integrate. At least there should be a trend in this direction