Maximize Supply Chain Management Collaboration with an Integrated System

Supply Chain Management collaboration - This collaboration is divided into four, the first is collaboration transactions, the goal is to achieve more effective and efficient transactions. This type of collaboration does not require a long-term strategic understanding. The second is cooperative collaboration, which requires commitment between supply chains to share information on forecasting, inventory, procurement, delivery of goods, including production capacity.

The third is coordinated collaboration which requires a two-way flow of information and this planning and execution process is harmonious and between parties in the supply chain. The fourth is synchronized collaboration where the components in the supply chain work together in research and product development, various assets, capacities, performance, and so on.

Example of Collaboration
To be able to make this collaboration management work effectively, it is important for you to use the right and accurate collaboration Supply Chain Management software or system. By using the Supply Chain Management Collaboration system, it is easy for companies to ensure efficiency, determine goods and their quantity, besides that a good collaboration SCM will help you make better decisions and also respond to new opportunities faster to make you one step ahead in business competition. .

An example of this supply chain collaboration is a silica sand supplier being able to see an opportunity to integrate logistics or distribution processes with a limestone supply mill because of the same location. These two suppliers deliver their products to cement factories. With this collaboration, efficiency in terms of transportation costs and this strategy is called horizontal collaboration.

The level of collaboration does not stop there where cement factories want to be effective in determining demand and distribution systems so that inventory levels can be reduced. The factory began to integrate the system with its distributors. This is called advanced integration, which is to collaborate with parties in the next process to get closer to consumers.

To ensure the quantity and quality of this supply, cement factories buy a large part of the supply companies' shares in order to make it easier to integrate their production systems with the integration in the previous process. The integration of all entities in the supply chain system will reduce uncertainty in the amount of supply, make supply more timely, ensure quality and quantity of supply of goods.

SCM collaboration systems are also beneficial in terms of production. You can easily determine the demand, capacity planning and quality of each entity. This system will also facilitate distribution and transportation.

Disadvantages of Companies Without an SCM Collaboration System
When supply involves several parties, it is time for the company to implement a collaborative Supply Chain Management system. There will be many losses that can be obtained by companies that have not implemented this system where the first loss is from its operations.

When all the suppliers involved in the supply chain are not connected, delays in distribution operations can occur and there is no guarantee of quality and quantity of goods. This will make the company unable to satisfy customers so that it has an impact on the company's performance.

To make the collaborative supply chain run smoothly you can consult SOLTIUS. We are the best consulting company and IT provider in Indonesia providing various solutions to solve company operational problems. To solve problems in supply chain collaboration we have a solution in the form of JDA. With this JDA solution you can ensure the efficiency of Supply Chain Management collaboration in the company, besides being able to avoid shortages or overstocked inventory, contact us for more information. Or click the following link: https://www.soltius.co.id/solutions-by-products/supply-chain-management