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ERP Solutions For Supply Chain Management

Tuesday, 18 February 2020, 12:25 Hrs


The Supply Chain Management Sector is one of the major sectors contributing to the country’s economy and the importance of Supply Chain Management is growing in the market. Also with the concept of modernization, a set of new technological trends is being developed to help the companies in improvising the infrastructure of Supply Chain Management Services. One such new technological feature that is trending among the industries is the usage of ERP solutions to improve the productivity scale and reduce production costs and avoid unnecessary expenses. A variety of ERP modules are adapted by the Supply Chain Management companies to make their flow of business easier as they deal with numerous suppliers on a daily basis. To add further, the flow of products and services in Supply Chain Management firms is made between the developers, manufacturers, suppliers and consumers. Hence, in order to maintain the smoothness of business conducted the Supply Chain Management companies implement ERP solutions.
The companies apply various approaches to increase productivity rate and fetch benefits for their business streamline. Following are some of the benefits of implementing ERP in Supply Chain Management:

1. Increases Efficiency –

Supply Chain Management companies undergo too many procedures while supplying products and services to their customers. ERP helps the companies to eliminate irrelevantly and avoid repeated processes followed and this in result improves work efficiency.

2. Cost Reduction –

By providing authentic resources and information ERP helps a company in reducing extra costs done on organizational operations. This will help the companies in saving capital for further investments and improve organizational infrastructures and the advancement of the technologies.

3. Decision-Making Process –

In general, when many functional operations and accounting are taking place in a company, the sub-ordinates have to report about the work performed to many managers from various departments. This turns out as a long process and time consuming and when many employees are being involved the decision-making process seems complicated. Hence to avoid all the complexities ERP helps the higher authorities in taking decisions easily using appropriate sources and implement it.

4. The flexibility of Data-

A major benefit of using ERP solutions for a Supply Chain Management company is the flexibility of the database used within the company. An employee or a head anyone can access to company’s data from any place and any time. Also, a company has to be aware and careful about the necessary protection measures to be taken to safeguard their company’s data using ERP solutions.


Importance of ERP in Supply Chain Management:

The main motive behind using ERP solutions is, for the easy flow of information and obtains authentic sources for better organizational functions. ERP helps in improving intrapersonal operations of a company by connecting all the departments such as production, marketing, accounting, distribution and many more. When all the departments of a company are being associated with a single source then the flow of information will be an easier task and every employee will be informed about the things taking place in a company. Also, ERP solutions will provide transparency to all the employees with the existing operations of a company. The companies are making the best use of ERP solutions to emerge as the most innovative supply chain companies.

The Supply Chain Logistics Management sector is gaining a prominent position and is being recognized as a major segment contributing to the economic growth of a country.