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Abstract

Purpose: To introduce the concept of supply chain management and the


implementation of SCM.
Design / Methodology
The implementation of SCM in different department is described. It will also give the
information about the purpose of implementation of SCM.
Findings
SCM is the control of fulfilling the activities for the physical flow of goods from supplies
to customers.
This is all based on the information system which is attached with the SCM.
Practical Implication
The adoption of the SCM will enable the companies to make more research on
developing. The new products for that organization.

Purpose of Implementation of SCM


What is SCM/
Supply Chain Management (SCM) is in the form of heavily software which are used to
manage the flow of information is the organization in the form of supply chain.
“SCM is the process of making organizational functions efficient and effectively”.
According to the Apics and definition of SCM.
“It is the process of getting raw material and then supply it after making the finished
goods to the customers/ consumers”.
(Reference Article – 1)
SCM creates the linkage b/w the firms and the consumers. SCM also refers to the effort
which provide give such type of management which create the informational chain b./w
supplier & customer related to the customer’s needs & expectations.
Why the need of SCM arises?
Before 1980, the organizations cannot have full access to their customers. They cannot
achieve their target and cannot fulfill their expectations. This is due to the back of
information system b/w supplier and customers. According to the survey conducted by an
International Journal.
“45 percent firms cannot achieve their expectations”.
After analyzing all these facts, in 1983, The organization Wal Mart start the SCM system
in its organization.
They get the informations related the customer’s needs & wants through their branches
networks. These branches provide data on daily basis to its headquarter. This increase the
profit margin of the company So, SCM need arises after this such type of threats created
is the economy.
(Article – 1)
Implementation the Supply Chain Management is Different in
Organization
SCM is used in different ways / departments in as organization. It is used according the
requirements of that departments.
Generally SCM is implemented is the form of a software. This software does not change
the physical process of the organization the organization get information through this
software.
Implementation in Different Departments
SCM is implemented in the following in the following departments for specific purpose.
 Customer Relationship Management
 Customer Service Management
 Demand Management
 Order Fulfillment Management
 Manufacturing Flow Management
 Purchase Department
 Product Development & Commercialization
 Returns
(Reference New article)
Now we will discuss that why SCM is implemented in different departments.
Customer Relationship Management (CRM)
Customer Relationship Management (CRM) creates the relationship. Through
information b/w customers and organization. SCM implementation helps CRM to create
the relationship between customer and organization. Through these information and
relationship, organization produced such type of products which are required by the
customers.
Customer Service Management (CSM)
Customer Service Management (CSM) provides the service to their customers regarding
to their products of the product has any fault in it, then organization provide service to the
customer. All this is possible easily by the implementation of SCM. SCM helps the
management to provide better and reliable services to its customers.
Order Fulfillment Management
SCM helps the organization management to fulfill the order given by the customers. This
order was received from the information collected by the demand management. The
information sharing between these two demands is made through the SCM.
Manufacturing Flow Management
Manufacturing flow management takes the helps of SCM for maintaining the record and
sending the data the head office. This demand use SCM to control issuance of inventory
to manufacturing plant. All this is done through the software not physically which takes
less time and cost also decreases.
Purchase Department
Purchase department purchase the raw material for the products the order / quotation of
raw material way be made through the internet. The use of internet for purchase of raw
material is also enclosed in SCM.
Product Development & Commercialization
SCM & implementation helps in the product development and in the advertisement of the
product. The organization use SCM system for commercialization and development of
product. Organization develop the product in such a way which the customer wants.
Returns (Feedback)
When the customers use the products they give some response or feedback about. The
product the organization can receive this feedback through the SCM. This feedback
response encourages the organization for new research and development of new products.
Conclusion
After the comprehensive discussion about the implementation and purpose of
implementation of SCM. We conclude that SCM provide the guide line to the
organization in every field. We suggest that SCM helps the organization for making new
research and development of the products. They can produce the goods according to the
market needs. We suggest SCM also provide the direct link between the customers and
organization. So, we suggest that every organization should have to use the supply chain
management system in order to increase the market have and to remain in touch with the
customers.

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