Supply chains are all activities involved before a company, and its suppliers distribute products to final buyers. That is, resources, information, and entities. It also represents steps used to transform the services or goods from their original form to an end product. Some businesses have simple supply management, while others have complex networks. Regardless, each supply chain must be managed appropriately to maximize productivity. That’s why supply chain management software is used to manage a company’s supply chain, supplier relationship, and every business method connected to it. Its main objective is to improve its performance by making its supply chain efficient and cost-effective. Click here for transportation management.

Types of Flows in Supply Chain Management (SCM)

SCM includes three types of flows; finance, information, and product flow. Product flow defines the movement of products between various agents in a supply chain. It includes returned goods and services provided after the product is sold. The information flow involves passing details concerned with orders and updating workflow status. Financial flow involves credits, payments, and ownership arrangements.

Categories of supply Chain management software

• Supply chain planning- this kind of SCM software is also known as advanced planning and scheduling software. It assists in managing planning processes related to product demands, orders scheduling, materials supply, product distribution, and allocation of final products to different customer orders.
• Supply chain collaboration-applications falling under this type are web-based software that distributes and controls planning and administration of appropriate information throughout supply chain network. This application type helps experts in supply chain marketing collect information quickly through the web.
• Supply chain execution and fulfilling orders- In this type, applications monitor and allocate resources connected to supply chain management activities. They include transportation management systems, inventory management, order management, warehouse management system, and logistics. 
• Supply chain execution, business, intelligence, analytics, and reporting– In this category, applications manage execution and general performance of the chain, warn the company about unknown events, and assist in executing what-if analysis associated with demand conditions inventory for different business scenarios.

What’s the price for SCM software solutions?

Most software programs don’t discuss upfront their pricing, so we’ll only give you a rough estimate. You’ll need around $30,000-$100,000 to implement SCM software. This amount includes ownership charges, cost of maintenance, and support. The total cost varies depending on the company’s size. Like other business applications, SCM also needs a high budget. Small businesses need to reflect this factor and set aside an appropriate budget before implementing supply chain management software.

Key factors when choosing supply chain management software

There are many supply chain software solutions in the market. However, not all of them fit all companies’ needs. It’s important to check certain factors if you want your business to benefit from SCM fully. These considerations include;

The flow of production process

An effective SCM ensures activities in the supply chain are executed successfully without any issues. All processes should run smoothly with minimum disruptions.

Timing

Time is a key performance indicator of SCM. The software should control supply chain by reducing wastage of time and resources. Hence, bring effectiveness and efficiency in operations by enabling quick operations and proper operations.

Reduce cost

A good SCM software eliminates costs incurring wasteful and unproductive ventures in the supply chain network. It should get rid of unnecessary processes and resources. Thus, minimized costs.

Customer service

SCM software aims at improving delivery of products and increasing customer satisfaction. If it fails to achieve this ability, the application is not helpful. The company should consider another supply chain management solution. 

Accurate forecasting

SCM should provide accurate predictions of customer needs. This information will help the company make business plans that’ll make it more competitive in the market. 

Examples of Supply Chain Management Software 

Logility

This SCM software delivers a sustainable supply chain to enhance business’ functionality and profitability. It’s one of the most trusted supply chain management solutions and has served some of prominent brands like Starbucks. Logility’s supply resolutions include planning and optimization, sourcing management, retailers and supplier management, and manufacturing planning. It’s suitable for any business type. A dynamic and strategic set of tools optimizes its effectiveness. 

 Besides, it’s ideal for beginners due to its wide range of education offerings like core team training, personal training, and tutorial videos. 

Its significant features include; cost management. User-friendly vendor management. On-site quality management. Leverage order policies. Multilingual and offline support. Transparent onboarding of new vendors. Cloud-based transparency and accuracy. Real-time collaboration. Forecasting consumption management.

Descartes SCM

This SCM maximizes the productivity and functionality of supply chain. Descartes offers wireless and modular logistics that enhance business processes across different mediums. It provides business management solutions like B2B connectivity, global trade intelligence, and customs compliance. Descartes provides services that combine and transform taxing operations of warehousing, shipping, and timely delivery. The information gathered is useful in visualizing logistics without completely relying on data scientists and the IT team.

 Manhattan Associates

It uses real-time data forecasting to streamline multifaceted business processes that operate independently. This micro-service software provides labor management, warehouse management, transportation management, among others. Besides improving adaptability to changing business processes, Manhattan Associates allows companies to boost load assignments, lower costs, and reduce transportation. Generally, users can benefit from optimum visibility, control, and collaboration by choosing this SCM software. Its essential features include; labor management. Available to commerce. Interactive inventory. Digital self-service. Real-time insights on clients’ engagement. Financial and promotional planning. 

 Infor SCM

It offers end-to-end solutions for supply chain networks by enhancing real-time visibility, planning, and financial performance. Additionally, Infor SCM enhances data-driven decisions, which leads to enhanced customer service. Using this SCM software will help a company reduce warehouse operational costs and wastage costs. It has promoted better supplier-buyer relationships through payment certainty, invoice automation, and cash flow visibility. Its features include; intelligent decision support. Payment digitization. Smart alert for potential opportunities and deviations. Cloud scalability. 

Conclusion

Supply chain management software helps businesses achieve a cost-effective and efficient supply chain flow. It ensures a successful journey of services and products from warehouse to consumers. Opting for the right SCM software will help your business; keep up with technology developments, precise product demand forecast, accurate and maximum cost-saving, reduce liability and risks, better customer service, improve supplier relationship, increase company output, minimize time spent in processes, and raise profit levels of the company.