Supply chain management business processes of manufacturing companies into a whole, from demand forecasting to purchasing to find the source, from manufacturing to transportation to deliver to form a complete value chain, so that enterprises can cost of production, inventory, and orders can be depending on management and, based close to the real-time data analysis and make rational decisions. Supply chain management is essentially the advantages of the use of information instead of the true costs of production cost.
By demand management, market and customer needs on state and sufficient to grasp the trend, then the forecast based on more accurate, with the supply chain to share demand information on the parties to develop and fine-tune supply plan at any time, to ensure smooth production and timely supply, reduce inventory and shorten the delivery lead time, improve the successful delivery rate orders. Using information technology investment, promote innovation management can effectively replace the traditional push-type projections of production and the black box of high supply chain costs and to reduce inefficient or struggling with the production conditions.
Complex and expensive equipment investment in industries such as electronics technology, metallurgy, petrochemical, and other capital-intensive, complex production technology, sensitive equipment utilization, production optimization for a high rate of corporate profit contribution; In addition, the complex manufacturing industries, such as iron and steel industry, a number of upstream and downstream factories, process complexity, process-level deep, multi-production lines, as many as tens of thousands of end-products, use of supply chain management, optimization of order in these industries to improve equipment utilization, revenue will be very obvious; further configured to order the production of industries, such as PC, production, customer demand for manufacturers to respond quickly to avoid losing one; all these are more appropriate use of supply chain management to improve production and management.
Supply chain management can give managers a complete picture, and based on real data and comparison of the various virtual situation after the production plan to make more precise and make use of production capacity and product supply in the reasonable and customer last minute changes can easily deal with.
On the one hand make full use of capacity, coordination of different areas (regions) of the distribution of resources among multiple branch to realize a holistic procurement, technology sharing, and the overall production capacity optimization; on the other hand, through reasonable operational guidelines and Zuoye plans to make orders maximize profits and meet the different levels of customers, by ensuring strategic interests of customers and partners to ensure sustainable growth of the enterprise.
Supply chain management in manufacturing business processes to sort out, so that it can improve the supply chain in accordance with the overall operational efficiency of this principle of unity of operation. Therefore, the various departments in the enterprise sector indicators, the specific process areas will be adjusted accordingly. First, for marketing and sales departments, should strengthen the management of channels and foster high-quality forecasts seriously. Original Excel table in just the way the input data is clearly insufficient to replace the use of demand management systems.
Dispersed and diverse customer data for Otherwise omissions entered and meticulously filed. But also for data validation should have authority to identify, not at liberty to enter or change. System data requirements can be refined to years Heavenly Circuit, which requires sales staff are familiar with the historical changes of the market to understand the dynamic needs of our customers are familiar with the system's functions and rules, and finally decided to make a prediction algorithm which more realistic requirements.
Times were, for the production planning department, you can do from the previous rough capacity plan to meet the backlog of stock market volatility into full use of the practice of supply chain tools, combined with precise scheduling needs: for demand in the short and long term planning principles to in the short and long term plans were developed. Meanwhile, the scheduling of business rules are complex and diverse, there are customer-level, strategic partnership of cooperation, taking orders for capacity utilization and profit margins, inventory requirements, and so on. Ultimately, the production plan is able to simulate different scenarios after the selection of the best and not just a production estimate.
Thus, the use of information technology, response time can be avoided in the past can not guarantee the order, or delivery estimates based on experience with the actual situation of frequent. And through simulation, can know in advance the time of the various market specific effects on the business (such as inventory, profits, etc.), and enterprise should be to deal with. Through the application of supply chain management system (APS, Advanced Planning System) program, from the delivery can greatly enhance the accuracy of the material due to system limitations and capacity (including remote branch) while the restrictions into account, such to the customer commitment to guarantee kept their promises. And materials for the production department, they get ranked based on accurate prediction and precise post-production planning and material procurement plan, you can largely avoid confusion; and, through supply chain management system, the original monthly production progress and Supplies program can be improved once a week or even once a day, so that accurate supply.
Process improvement is also reflected in the management level. First, managers should set an overall point of view, the demand and supply in conjunction with an overall consideration and sensitivity to the needs of the market, seek accurate; to suppliers and partners into their system, the pursuit of long-term interests, and strive to win, and establish credibility and transparency.
Second, as various departments of the sectoral objectives and should serve the interests of the whole enterprise supply chain efficiency, under the big goal, managers need to develop business key performance indicators, comes with a new high performance appraisal department, also the interests of leverage through the specification work of various departments, and urged the sector to the overall vision of leading a good supply chain management with each of the required work. Furthermore, companies should design a rational management process and even re-building an organizational structure to ensure that the advanced mode of the supply chain can bring into full play in the enterprise and can realize.
Summarized the previous work of supply chain management principles and the benefits for the enterprise. As every IT systems, supply chain management in China's economic and cultural background, the current development status of most domestic enterprises, the need for some adjustments in order to maximize its advantages. Shown in the following areas.
First, the present, many domestic enterprises are high growth stage of development, that is the initial stage in the growth stage. Operation of a business goal is to rapidly increase market share and increase revenue. And supply chain management of the most fundamental objective is to optimize the supply chain planning and construction period to ensure product quality and ultimately improve customer satisfaction, enhance service levels and market competitiveness. Therefore, some domestic enterprises currently operating goals and objectives of supply chain management may be some conflict.
A simple example, when the company received orders from abroad rational analysis need to do is to meet customer requirements, as supply chain management based on plant productivity and purchasing cost estimates for each combination of factors such as order delivery, if serious drag on the company would rather not do; and some enterprises in China may not be so easily lost one, even if the supply chain provides the analysis results show that the serious delays, companies are still rigid orders, resulting in customer satisfaction is not high. Or the expense of profit margins and market share targets rigidly. Of course, this aspect is also caused by the environment, consumer spending habits are part of the side leading to the manufacturer's such a choice.
Consumption habits of foreign enterprises attach importance to service, require manufacturers to lead short, promises, otherwise they will turn to other sources to buy. The domestic industry is often very sensitive to price, delivery, and orders for other aspects of a departure from the relatively affordable. So manufacturers to meet customer demand, caused by migration.
In this situation, the domestic implementation of supply chain management before the operation to re-examine the business objectives, find the line in the middle of the current stage for the implementation of supply chain management to pave the way. And to establish the principle of gradual and orderly progress, not in one step, relying on the core supply chain management to improve service quality, then point and surface.
SCM Business Process Overview
In accordance with the granularity of time, plans can be divided into strategic (generally considered years or years), strategy (months or weeks) and operation (weeks or days) level. At the strategic level to consider the whole enterprise a long-term production plans, demand for guidance and management, and sales and operations of the master plan at a strategic level to consider corporate medium-term production plans, inventory plans, demand plan; the operating level, consider the recent demand, production capacity, and generate the master plan to guide further plant plans and orders and orders for the exercise response.
Second, in the implementation process of the supply chain there are some "non standard" of the factors system ineffective.
Basic data collection, such as the production parameters, the production cycle, inventory, delivery cycles, the accumulation of time and more data should be more comprehensive and accurate as possible. Otherwise, the system will not accurately reflect the reality of the supply chain form, which are difficult to trace which part of the value chain bottlenecks, no way of optimization. From this perspective, the basis of better information, such as has been for many years through the ERP to manage the various departments have begun to take standardized information collection, the Invoicing process management easier and norms conducive to the success of supply chain management. If there is no valid data to support the program after all would be empty with no practical results.
And through simulation, can know in advance the time of the various market specific effects on the business (such as inventory, profits, etc.), and how companies should face.
Supply chain management system as the enterprise's business processes into the management system, every day will produce a lot of dynamic information, while filtering the information, extract useful information and analysis used to identify the efficiency of supply chain problems and help companies and taking corresponding measures, is the embodiment of supply chain management advantages, but also high-end applications more difficult. Because it requires users of the system to fully understand the framework and core functionality, and very familiar with their business processes.
As the supply chain, the complexity of the system itself, and enterprise application functionality and business rules set by the diversity of the system to fully understand the depth of investigation results and supply chain efficiency has some difficulties, the need for user training and change in the way users work, and the gradual application of fine-tuning of the system. Therefore, the benefits of supply chain management are often not immediately apparent, the initial deterioration and may even have some indicators will therefore adhere to shake the user and the senior leadership changes in supply chain management commitment.
Understand some of the difficulties mentioned above, the domestic enterprises in the implementation of supply chain solutions several strategies to take the following.
As our business management and production plans of the foundation is relatively weak in Western developed countries, enterprises, supply chain management in the implementation of the project is necessary to grasp a good "28" principle, 80% of the energy-use to address the most critical 20 percent of the problem, avoid exhaustive, the pursuit of perfection. To select the most urgent business needs, most likely a side effect of starting phases.
Supply chain management in manufacturing business processes to sort out, asked sales staff are familiar with the historical changes of the market to understand the dynamic needs of our customers are familiar with the system's functions and rules, the final decision which algorithm to use to make more realistic predictions needs.
The different manufacturing types, different stages of development, application focus will be different. For many independent intellectual property rights of domestic manufacturers and large enterprises, Liao Jie Xu Qiu domestic market, open up the market yes enterprises face Haiwai challenges and therefore demand forecast management sales and operations plan will be a supply chain, Zhu Zheng He's Zhongdian and Shouxuan. For contract manufacturers, to establish a flexible, low-cost supply chain to ensure customer satisfaction is the main demand, and therefore the demand and plant production planning aspects.
From here you can see that demand management on the importance of all enterprises, it runs through the business activities of the main line. Needs smooth precision, can greatly reduce inventory, production planning and order conducive to answer; the contrary, the marketing channel disorder, planning in place, the final customer demand instability, temporary modification orders will be frequent, increasing the pressure on the productive sectors, increased risk of delivery orders.
Supply chain integration tool needs accurate scheduling, optimization of order profitability.
In addition, the basis of adhering to the principle of on-pronged staff to detail the work habits, changes in the system right work focused on ways of thinking change, Er Bu Shi spent mostly in the right Jiemian and Tongjigeshi of adaptation on. For some specific data collection involved the difference between Chinese and Western economic environment, to consider appropriate conditions. Assessment of products such as supply chain costs, the use of the labor costs, and domestic processing is usually shared equally, similar to the conditions of this problem is the problem. Should seize the key cost, without having to pursue the implementation of the entire supply chain carefully delay the progress and results. The proportion of user customization, the convention does not. However, certain so-called personalized business is business specific rules, such as the importance of the grade-level customers, rather than against the principle of supply chain management.
Finally, business leaders, particularly for large IT projects with the decision of the senior managers, have some suggestions. First, business leaders not to blindly go in the early choices or decisions, to see more cases of supply chain management, introduction to listen to peers. For the analysis of successful cases, to see it succeed behind which lay a ring doing support work, the application procedure, what is critical and difficult. The case for failure to dig deeper reason, that the real barrier disruption caused by the project, where, how to overcome. Do not be denied an example of the failure of a software or even the entire supply chain management itself.
Second, the business leaders to understand the change of the supply chain to understand its traditional business processes and the impact of ideas on all aspects of potential resistance to be mentally prepared, and the establishment of a good implementation of the framework and systems to benefit as soon as possible demonstrate to the department as soon as possible to accept the system as soon as possible. Very often in project implementation, the original process changes driven by new process, we need leadership final decision.
So in a sense, supply chain project is the "number one" project, decision-makers of committed participation to ensure success of the project. Finally, as the booming domestic macroeconomic, ERP applications, the level of popularity and the continuous improvement of enterprise management, enterprise awareness of the importance of good service, and innovative development of IT industry, I believe enterprises to adopt supply chain management system is the enterprise leader in sustainable development and the only way to market.