Integration of information and physical flows in supply chains can help companies reduce costs significantly, a new report has found.
Supply chain management can be made vastly more efficient by the introduction of the sharing of information but the process of doing so is itself particularly difficult, an Industry Week report stated.
Written by Funda Sahin, associate professor of logistics at the University of Tennessee, the report found that: "Establishing a stable master production schedule to facilitate manufacturer-supplier integration is an important issue in supply chains utilising material requirements planning-based systems.
"Due to the many industry examples, researchers, for many years, have been emphasising the need to examine supply chain integration in requirements planning environments."
With integration known to be such a difficult trick to pull off it may be worthwhile contracting a third-party supply chain management company, which can provide extensive knowledge regarding how to make a supply chain as efficient as possible.
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