One
of the first developments in the supply chain was that of EDI (electronic data
interchange). EDI is a computer to
computer based exchange that works with documents that can help reduce cost,
increase processing speed, reduced errors and improve relationships with
business partners. This is simply system can help is easily explained with the
below diagrams. Diagram one shows the traditional old style way of ordering
buying/ordering stock and the paper work process that it follows..
(Diagram
1)
Having
an EdI system can allow documents to flow straight through to the appropriate
application on the receiver’s computer (the Order Management System) and
processing can begin immediately while eliminating the humon error that may occur
in the manual process.
(Diagram 2)
More recently retails giant Marks and Spencer’s have
implemented a Microsoft.net infrastructure that collects transnational data
from the tills during the day. This information was then sent to the central
data warehouse within 10 minutes of the sale being processed. This helped
improve both sales forecasting and reporting. M&S also combine MUWS (multi-user
warehouse system) with the .net infrastructure to allowing stores to view real
time stock availability. This will mean
over time that M&S will be able to visibly see what stock is on what
trailer and will have the possibility to re-routs stock to busier stores to
meet the demand and ensure customer satisfaction is met at all times in all stores..
