Role of ERP in Supply

Chain Management

Presented By:
Alok Kumar
MBA Batch 1
Overview
• Businesses have been using smart business automation software to
gain operational efficiency.
• Businesses need to automate and streamline their operations across
various departments and functions.
• Organizations use Enterprise Resource Planning (ERP) software to
manage business information, integrate various disparate systems,
streamline workflows, and achieve efficiency.
Supply Chain Ecosystem
• SCM involves planning, execution, control, and monitoring of supply
activities.
• An ERP solution takes care of physical aspects of supply that includes
storage and transportation and the market aspect of effectively
managing demand and supply to meet customer demands.
ERP as an integral part of Supply Chain
Management
• Manufacturers need to interact with various suppliers and partners.
• Businesses are actively focusing on several supply chain strategies to
boost plant productivity, enhance product quality, and cut down on
manufacturing costs.
• ERP solution can support multiple modes.
• As a result, businesses can avoid supply chain disruption.
Role of ERP in Supply Chain Management
• Demand and planning
• Procurement
• Production
• Shipment
Competitive Benefits of ERP in Supply Chain
Management
• Effective demand forecasting and lean inventory
• Reduce production bottlenecks
• Transparency through the business
ERP for Supply Chain Management Helps in
Overall Organization Growth
• Companies need to make substantial improvements in logistics
performance for overall organizational growth.
• As per a recent statistics, businesses spend at least 25% of their
budget on ERP which has robust supply chain management features.
ERP solution is an integral part of managing supply chain risk making
the entire chain more resilient to accommodate changes in market
demand.
• Ultimately, an ERP solution offers a holistic view of the entire business
operations.