Supply chain management software (also referred to as SCM software) is a tool used to manage activities across the supply chain. It is used across supply chain operations for vendor management, quality management, and logistics and distribution. Supply chain management software gives you better visibility and control over your increasingly complex supply chain, improving productivity and better preparing you to deal with disruption.
Supply chain management can be enhanced with low-code process applications that integrate existing systems and add a layer of operational agility on top of their ERP and related technologies.
Enhanced visibility Knowing what is happening in your supply chain and where is crucial for effective supply chain management. SCM software provides end-to-end visibility of your supply chain by giving you a centralized view of the people, processes, and systems across all operations. This increased transparency improves data sharing and collaboration between suppliers, distributors, and retailers allowing businesses to monitor performance at each stage of the supply chain.
Increased efficiency Time is money and inefficient supply chains cost organizations greatly. Pinpointing and eliminating bottlenecks causing delays to supply chain processes allows you to increase the speed of execution. In addition, integrating SCM software with current systems and automating manual tasks boosts productivity and decreases time-to-market.
Analytics Each process within the supply chain produces a large amount of valuable data – think raw material costs, delivery timeframes, and sales figures. Supply chain management software provides real-time access to this data allowing you to monitor process performance and make informed, data-driven decisions to improve supply chain operations and deliver the best possible experience to customers.
Reduced costs Lowering costs can have a significant impact on your bottom line and overall business success. A supply chain management tool allows you to minimize costs by reducing overheads such as those associated with stockpiling inventory and minimizing waste by improving quality control. Plus, keeping track of payments means that suppliers are always paid on time not only avoiding late fees but sometimes earning early payment discounts.
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Mitigate risk There are a number of economic, environmental, political, and technological factors that can pose a risk to the continuity of your supply chain. Identifying and monitoring these risks allows you to be aware of potential issues with supply before they arise, allowing you to have a plan in place to minimize disruption.
Greater agility Having full visibility of supply chain operations and access to all of the associated data in one place allows you to anticipate and react quickly to disruptions such as supplier issues or changes in customer demand ensuring that you can continue to serve customers and generate profit.
Increased compliance Various activities within the supply chain have to navigate strict compliance procedures – raw materials need to meet certain specifications, sustainability standards have to be met and international shipments require customs documents. The increased visibility provided by SCM software and the ability to build compliance measures into processes reduces the likelihood of human error and ensures regulations are met. This mitigates non-compliance risk and potential fines and damage to brand reputation.
Visit our supply chain orchestration page to discover how Bizagi’s low-code process automation platform can benefit your supply chain management efforts.
