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eCommerce international growth — Impact on Supply Chain Management
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eCommerce international growth — Impact on Supply Chain Management (MBA Supply Chain Management)
Introduction
E-Commerce international growth — Impact on Supply Chain Management
Customers Drive the Supply Chain
A long held view in manufacturing is that the main differentiator between competing suppliers is product quality. However, with manufacturing quality approaching parity across the board, meeting specific customer demands for product delivery is the next critical opportunity for competitive advantage. In the past, manufacturers were the drivers of the supply chain - managing the pace at which products were manufactured and distributed. Today, customers are calling the shots, and manufacturers are scrambling to meet customer demands for options, style, features, quick order fulfillment, and fast delivery.
• Customer Expectations are raised by e-Commerce
The convenience and flexibility of eCommerce technology, enabling buyers to purchase products and services on web sites through the Internet, has raised customer and consumer expectations to demand:
• Customized or tailor made products to be delivered overnight, or within a few days. In this custom-orientated environment, all supply chain participants are impacted. As a result, the creation of modular designs that leverage common sub-assemblies, have become more critical to meeting short manufacturing cycles, and achieving optimal flexibility.
• Reliable and flawless fulfillment processes and yet, margins are being squeezed, because customers are not used to paying for the picking, loading, and delivering activities, that they previously did themselves.
• Real time information systems with the ability to know, before an order is placed, whether the required inventory is available, and to track the progress of an order through production and delivery on-line.
• Low prices, as buyers can shop around between suppliers with ease on the Internet - customer loyalty can last as long as the next mouse clicks.
In addition, highly competitive industries such as electronics manufacturers face extraordinary pressures as they vie to turn market opportunities into profits. In this battle, the outcome is shorter product life cycles, meaning that an even greater volume of new products must be developed, introduced, manufactured, and sold, just to keep product pipelines flowing.
Daunting as the challenge to meet these customer demands might seem, the use of the Internet and eCommerce methods for real-time communications, and dynamic interchange of data up and down the supply chain, is the way innovative businesses are winning. Total supply chain integration is not essential to start receiving cost savings and efficiencies. Regular
exchange of emails between just two businesses in the supply chain, with, say, stock and forecast information, can create measurable benefits for both parties.
Optimize Your Supply Chain for Competitive Advantage Supply Chain Management (SCM) can be simply defined as ‘the process of optimizing a company’s internal practices, as well as its external interaction with suppliers and customers, in order to market more efficiently’. The scope of SCM covers all the complex interactions of managing supply and demand, sourcing raw materials and parts, manufacturing and assembly, warehouse and inventory tracking, order entry and order management, distribution logistics across all channels, and delivery to the customer.
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This MBA project can be used for following universities
- Sikkim Manipal University, SMU - Gangtok, Sikkim
- ICFAI University - Tripura
- IGNOU- New Delhi, Delhi Symbiosis Centre for Distance Learning,
- SCDL - Pune, Maharashtra Welingkar - Mumbai, Maharashtra
- Annamalai University - Annamalainagar, Tamil Nadu
- Osmania University- Hyderabad, Aandhra Pradesh Anna University Chennai - Tamil
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- Yashwantrao Chawan Maharashtra Open University, YCMOU - Nasik, Maharashtra
- University of Mumbai - Mumbai, Maharashtra
- Dr. B.R.Ambedkar Open University - Hyderabad, Aandhra Pradesh
- Maulana Azad National Urdu University - Hyderabad, Aandhra Pradesh
- Netaji Subhas Open University - Kolkata, West Bengal
- Delhi University - New Delhi, Delhi
- Shivaji University - Kolhapur, Maharashtra
- Maharishi Dayanand University - Rohtak, Haryana
- Andhra University - Visakhapatnam, Aandhra Pradesh
- Dr. Babasaheb Ambedkar Open University - Ahmedabad, Gujarat
- SNDT – Women’s University - Mumbai, Maharashtra
- Alagappa University - Karaikudi, Tamil Nadu M.P.
- Bhoj(Open) University - Bhopal, Madhya Pradesh
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