Supply Chain Management
Integration involves not only implementing ERP systems and ensuring it communicates or interface with legacy systems, but it also involves integrating ERP and SCM systems with Customer Relationship Management (CRM), Product Lifecycle Management (PLM), and, e-procurement and e-marketplaces, as well as making them available over the Web to foster cooperation and collaboration across the entire value chain. A supply chain includes manufacturer, supplier, transporters, warehouses, retailer, third-party logistics provider, and customer. The objective of supply chain management is to maximize the overall value generated rather than profit generated in a particular supply chain. The American Professional Association defined the SCM, "Supply chain management encompasses the planning and management of all activities involved in sourcing and procurement, conversion, and all logistics management activities. Importantly, it also includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third party service providers, and customers"