2006 SAPICS attendance is a must, says Softline Enterprise

Softline Enterprise says the timing of this year's SAPICS is prudent as supply chain management (SCM) continues to rank among most companies' top 10 initiatives for 2006*.

MD Ashley Ellington says Softline Enterprise will exhibit at SAPICS, which takes place from 4 to 7 June at Sun City, as the company believes SCM, particularly within manufacturing, is a key growth area in South Africa.

Softline Enterprise, supplier of ERP product Sage Line 500 and CRM offering SalesLogix, believes there is a pressing need for SCM within the manufacturing sector.

"Some manufacturers are experts at forecasting customer demand for their products; some are highly proficient at optimising plant floor operations, while others are skilled at ensuring they always have the right components on hand. Very few, however, are able to execute all three tasks with any degree of precision. In many cases the lack of an integrated supply chain is to blame - typically one that is underpinned by disparate IT systems that are unable to exchange information," says Ellington.

He says these systems may include a range of so-called 'point solutions' that directly manage the supply chain, but may equally include the mainstream back-end systems that govern financial accounting and procurement processes.

For many manufacturers, that degree of integration is still a distant vision. However, many are moving towards more united systems by deploying integrated software that can seamlessly exchange information about orders, operations and supplies. This ensures they can deliver the right product to the right customer at the right time and price.

For many manufacturing companies, that will - or should - involve implementing supply chain applications. According to AMR Research, the market for such products grew 4% in 2004 to reach $5.5 billion. But, it will also involve ensuring that supply chain processes are tightly integrated with other, related applications, including those for financial accounting processes.

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Integrating supply chain systems with front-end customer relationship management (CRM) systems and back-end financial systems avoids the need for people to input the same data more than once, thereby maximising data accuracy across the system.

More importantly, it gives a single, company-wide view of operations across the business. "An example," says Ellington, "is a product like Sage Line 500, which provides a true picture of the business."

For companies eager to go down the integrated supply chain route, AMR Research says that supply integration is much more than just data integration. Agility is another key benefit. When we think of agility, we are referring to how easily manufacturers can react to change characterised by quickness, lightness and ease of movement.

For example, integrating the order management systems used by sales and financial accounting staff, with the manufacturing planning systems used on the shop floor, may make a significant contribution to ensuring that orders are prioritised and fulfilled in the right order. Likewise, integrating a CRM system into the process also promotes agility. CRM systems allow companies to, among many other things, analyse the past requirements of each customer and, therefore, anticipate their future requirements. Adding CRM into the mix makes the entire pipeline visible, allowing managers to accurately forecast what orders are required and when. As such, they ensure that the supply chain is proactive rather than reactive.

End-to-end supply chain visibility makes a significant difference to company-wide profitability. Whether tracking costs on a works order or defining items on a bill of materials, having an integrated supply chain enables companies to link all of their manufacturing, planning and finance operations to gain an all-important competitive-edge.

See Softline Enterprise at SAPICS or visit www.softlineenterprise.co.za for more information.

* Gartner