on 10-29-2008 8:18 AM
Experts,
I need your help to get clarrifications to below things.
--> What is the Suppy Chain Management in SAP?
--> What is the difference between ERP and SCM?
I have gone through the some of the links which I found SDN.
But, I am unable to understand what exactly business scenario.
I am new to this concept. Please help me..
--> If you have time, please explain in a descriptive way..
Thanks in Advance.....
Sridhar......
Hi this is mohit...
first of all let me start with the differentiation between SCM & ERP
In Business terms SCM is a field which caters to interlinkages of processes from supplier to the customer. It is a vast field which encompansses all the activities right from Expecting and predicting customer buying to suppling the product at the right time, right quantity with right quality and right prices.
It cover areas such as Forecasting, Planning, Production, Logistics & Distribution, backed by the support processes such as marketting, & finance.
SCM is a Management Science.
In Business Terms ERP is an application which caters to the needs of integrating the entire organization into a single system. ERP captures, monitors, transfer and records the transaction of the companies which helps the flow of information real time. Enterprise resouce planning facilitates the various function of the companies by providing the needed integration and flow of information across the organization.
Now, talking about the offerings of ERP vendors
SCM in SAP is a planning system which caters to the need of planning and optimizing the resources with respect to demand. SCM is basically an add-on to the transactional ERP. SCM in SAP cover the following area :- Advance Planning and Optimizer, Inventory Collabaration Hub and Supply Netwrok Collabaration. SCM does the planning function which will help the planner take intelligent decission with respect to linear programming aid, strategy selection and application of intelligence.
SAP R/3 is a transaction ERP which is an executional system. It help in streamlining, monitoring and recording day to day transactions.
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Helpful answer.
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supply chain management is a additional to the ERP system for planning purpose ,
normally we use to create sales order , planned order, production order, etc., in the ERP system, these orders vil be transfered to scm system and planned at detail level and transfered to ERP system,
here in SCM again different tools like
demand planning : forecasting purpose
Supply Network planning : distribution resource planning
Gatp,PPDS,ICH,FR.
for more details:
[http://help.sap.com/saphelp_scm50/helpdata/en/12/3dfd81126e1c448c870f335f11d016/frameset.htm]
i hope this given u little information about sap scm
regards
ravi
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