Chapter 13: Order Fulfillment, Logistics, Supply Chain Management ppsx

1

Chapter 13

Order Fulfillment, Logistics,

Supply Chain Management

2

Learning Objectives

1. Understand the role of order fulfillment and back-office

operations in EC

2. Describe the process of order fulfillment

3. Understand the concept of the supply chain, its

importance and management

4. Describe the problems of managing the supply chain

and the use of innovative solutions there

5. Describe the need for integrating information systems of

front office and back office

6. Trace the evolution of software that support activities

along the supply chain and their management

7. Understand the relationship among ERP, SCM and EC.

3

The Y2K Order Fulfillment

Problem

In Dec. 1999 Competition among E-Tailers

increases

Special area: Toys; Big promotions, coupons

Demand: very high, not anticipated

Retailers: were unable to meet demand

Customers: very unhappy

Similar problems in gifts, book, etc.

Also: online retailers has warehousing and

logistics problems

4

Order Fulfillment

Taking orders may be the easiest part

Difficulties in groceries and fresh food

One reason: Customized products

Second: Pull type manufacturing