It In Logistics Essay

691 WordsMar 20, 20113 Pages
ROLE OF IT IN LSCM: An Organization comprises of Design, manufacture, distribution, service and recycling of products services. Each of these units has its own level of requirements and standards. These can be categorized as Inventory, transportation & Sales/warehouse units. In every company, business functions by collecting, generating and storing vast quantities of data of the above mentioned levels. Managers should have access to the information on the functioning unit. Each unit requires information to be set up, like Inventory requires information about customers on demand, information about suppliers available and the present cost and margins of profits, determining transportation policies requires information on delivery and shipping, locations, routes, rates and quantities to be shipped and warehouse /sales decisions require information on customer and supplier locations. Tax, revenues, material costs, manufacturer costs. As the information plays a vital role in supply chain management. Thus Information Technology plays a vital role. Information technology in an organization had many functional roles in supply chain management: * It supports the Transaction execution through mapping the process related to the product order management, manufacturing execution Inventory management etc * It increases production efficiencies of the operations * It collects and records the information relevant to decision making. * It supervises and thus increases the performance for the employee and the functional units. * IT based business intelligence (BI) includes a technology with reporting and analysis tools, data warehouses platforms and data integration tools. * It maintains the records of the present status and the changed status, thus by helping in analyzing the issues, problems. The IT's application module

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