B2B Integration : A Practical Guide to Collaborative E-commerce

Supply Chain Management (SCM) 423
and replenshing throughout the supply chain, thereby accelerating the
delivery of goods, services and information from supplier to customer
and balancing supply and demand. SCP processes optimize the flow
of information, material and cash across the extended supply chain.
SCP is composed of sub-processes, including demand forecasting,
inventory data, production planning and distribution, order management,
transportation planning or logistics and scheduling.
Companies that participate in SCP reduce excess inventory, improve
inventory velocity and increase sales throughout the supply chain.
Example sub-processes
Demand Planning — Demand planning, a process which feeds into the
supply planning process and demand fulfillment process, allows for
effective anticipation of market demand. The objective behind this
process is to analyze customers' buying patterns and develop aggregate
and collaborative forecasts involving long-term, intermediate-term and
short-term time horizons.
Supply Planning — Supply planning helps in mobilizing the resources
of an enterprise to meet demand.
14.5.2. Supply chain execution (SCE)
Supply chain execution is a framework of execution-oriented applications
which helps in the efficient procurement and supply of goods, services
and information across enterprise boundaries to meet specific customer
demands, including manufacturing execution systems, warehousing
management systems, procurement and other execution systems within
an enterprise and across the supply chain.
Example sub-process
Demand Fulfillment — Demand fulfillment provides accelerated, exact
and reliable delivery-date responses to customer orders. It is mainly an
execution-level sub-process that includes order procurement, customer
verification, order promising, backlog management and order fulfillment.