1. Question: Software solution to manage your supply chain
How do you determine which supply chain solution is most appropriate for your business?
Answer
Whether you want a new supply chain system or are considering upgrading your current one, keep in mind that a supply chain management model involves the following:
- Planning processes that create a course of action that balances demand and supply
- Sourcing processes that procure goods and services to meet planned or actual demand
- Manufacturing processes that transform products to a finished state
- Delivery processes that provide finished goods and services to meet planned or actual demand, usually including order management
- Transportation management and distribution management
- Processes associated with returning or receiving returned products
Many individual software solutions manage parts of the process, but there are very few overall "solutions." Also, many individual software solutions do not integrate well with other software, which means that information flow is severely hampered.
Generally, the size of the software solution you require depends on the nature and complexity of your business. I would begin by contacting the local business centre of your industry association for some basic information about what solutions are available specifically for your type of business. You might then want to sort through them with an eye to the size of the operations they service.
Also, there are several supply chain management organizations online, such as the Supply Chain Council, plus periodicals such as Supply Chain Digest that can provide information about the selection process.
Lastly, since sourcing supply chain software can be a complicated, time-consuming process, you might want to engage a consultant to help you assess your needs and select an appropriate vendor. Your local BDC office can probably find such a consultant for you.