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1 - Value chain
Right Material.
Right Quantity.
Right Quality - Fair Quality.
Right Place - Right Place.
Right Time.
Right Method.
Right Cost.
Right Impression - Good Impression.
As in any other area, or link in the supply chain, the purchasing sector is supported by
technological tools to support the decision-making of its managers and employees.
We can cite at least the most known or relevant, such as EDI (Electronic Data Exchange), CRP
(Continuous Replacement Programs) and VMI (Vendor Managed Inventory) networks.
With an architecture that has evolved over the years, the operation of this tool is carried out
based on a manufacturing schedule, using a logarithm to calculate the purchase and
production needs related to a timeline, making the purchase and service orders are issued and
sent to those responsible for their production or purchase.
The LEC - Economic Purchase Lot - is also used as support for decision making in the purchasing
processes. It shows the amount that must be acquired (bought) in a
(or stock maintenance) and order (acquisition) costs, and the balance between these costs will
decide the ideal lot (quantity) to be purchased.
The result of this mathematical operation is what we call Economic Purchase Lot, quantity of a
certain product that must be acquired by the company, causing it to save.
In the corporate world there is the concept of Business Intelligence (BI), translated as Business
Intelligence. This concept is defined as a set of applications and methods that give managers
an integrated view of the organization.
Business Intelligence extracts intelligence from data about a particular business, aiming to
convert the volume of data into business-relevant information through reports
The BI base considers the value chain and makes use of information technology. As an example
of some IT tools for data collection and information transformation, we have the ERP, CRM
and SCM systems. This information is forwarded to a Data Warehouse, "Data Warehouse" that
consolidates information about the activities of the organization on a consolidated basis. The
There is no doubt that the power of Business Intelligence (BI) can greatly increase the value of
supply chain management (SCM). But, traditionally, the integration between SCM and
BI is not so easy to achieve. Analytical tools are generally not able to "plug and play" with SCM,
making integration complex.
For supply chains, agility is one of the keywords these days. BI is precisely the means to
generate agility in this information and decision process within the SCM.