Abstract:Supplychain management has become an important way for modern enterprise to getcompetitive advantage in competition and information technology greatlypromotes its development. Starting from the perspective of supply chainmanagement, this paper studies the application of information technology insupply chain management and its influence.
Keywords:Information Technology, SupplyChain Management, EnterpriseManagement
With the development of informationtechnology and economic globalization, modern competition has already becomethe competition among enterprises and their supply chains rather than thecompetition among enterprises only. The management of supply chain directlydetermines whether they can get competitive advantage in competition, whichdoes not come from some enterprise, but from the coordinated ability among thewhole supply chain members and the integration of the resource. Thecommunication among all the parts in the supply chain system as well as thedispatching of basic resource depends on information exchange[1].Without the support of highly advanced information network technology, themanagement of supply chain with information as its core cannot be realized.This paper discussed the present application of modern information technologyin supply chain management and its function.
1. Information systemconnectivity in SCM
Supply chain is a kind of new organizationstructuring model based on enterprise cooperation. It is a functional net chainsurrounding key enterprises to connect suppliers, manufacturers, wholesaler,retailers and final customers. IT is not only a chain connecting material,information, capital from suppliers to customers, but also an increment chainfrom which material increases its value in the process of production, packagingand transportation to get benefit for the relevant enterprises. In the wholefunctional net chain, three different flows, namely material flow, capital flowand information flow.
Theconnectivity ideal in SCM is to link the point of delivery of the final productto
the end consumerall the way back to the initial point of production of any given component. Theidea is to have an information trail that initiates and traces the product's physical trail.To understand where we are onthis connectivity journey, it is important to understand how technology hasevolved. We will therefore take a brief
look at thehistory of technology as a provider of connectivity.
Fig.1 shows the acronyms of the majorbusiness information systems on a timeline dating back to the 1960s. Several ofthese information systems are discussed
in greater detailin this chapter. In their book, The Extended Enterprise, Davis and Spekmanpointed out that before integration of the supply chain is possible, the firm mustmirror the same behaviors. Integration and cooperation must exist internally beforeyou can do the same outside. This means that there can be no silos; information
must flow openly,and functions/disciplines must cooperate and trust each other. This suggests aninside to outside evolution pattern for systems development.
As Fig. 1 illustrates,the development of SC information systems closely followsthis inside-outside development approach. The development of these systems began。