E – Supply Chain Management

E – SCM??
A Supply Chain that is managed electronically,
Value using Web technologies

It facilitates to transmit and access information among supply chain partners

Distribution
Down-Stream

Additional elements
Logistics
Up-Stream
• Supplier Relationship Management
Up -Stream • Procurement Management

Internal Information
• Inventory Management
Internal • Manufacturing
Inventory
• Distribution
Down - Stream • Warehousing
Traditional SCM
Physical/Materials Flow
Retailer
Distribution Retail Customer
Vendor
Centre Outlets

Information Flow

E - SCM Physical/Materials Flow

Vendor
Customer
Wholesaler
Publisher Internet
Retailer Website
Partner & IT Systems
3rd Party
Supplier

Information Flow
MIS in E-SCM
ERP

Raw Raw
Manufactur
Materials Wholesaler Materials
-ing /
and & and
Retailer Customer
Delivery
Supplier Distributor Supplier
Operations
Parts Parts

B2B Actions POS / VMI B2C Actions

E-business technologies facilitate information sharing in supply chains using a number of technologies
like enterprise resource planning (ERP), point of sale (POS) and vendor managed inventory (VMI)

The focus of information sharing is to facilitate integrated and/or coordinated decision making in
supply chain
Amazon E-SCM
MORE 3RD
PARTY SELLERS

LOW COST

PRODUCTION ADS

REINVEST
FULFILLMENT BY
AMAZON WEBSTORE

LOW
PRICES PAYMENTS INVENTORY/ ECONOMIES HIGH PROFIT
FULFILLMENT/ OF SCALE
GREATER DISTRIBUTION
SELECTION

REVIEWS CUSTOMER
SERVICE IMPROVED
RECOMMENDATION HIGH PLATFORM
ENGINE VOLUME
FREE SINGLE
SHIPPING/ PRODUCT
‘PRIME’ DETAIL PAGE

TRAFFIC/
MORE BUYERS
Advantages of E-SCM
The Internet allows supply chain activities to be carried out in a
synchronized, instantaneous manner, facilitating maximum supply chain
performance

Internet improves customer satisfaction, reduce costs, smooth

production flows and shorten cycle times

Efficient Coordination due to Centralized processes

Better Inventory Management leading to reduced risks

Disadvantages of E-SCM
E-SCM requires collaboration between your business and its suppliers, you
become inherently dependent on suppliers for inventory management
Thank You