Supply Chain Management and Enterprise Resource Planning Integration: A Quick Service Restaurant Perspective

Abstract

Enterprise resource planning (ERP) and supply chain management (SCM) have been a great combination and that collectively brings enormous benefit across various industries in the competitive market environment. The initiatives in strategic planning, demand planning, supply planning, resources planning, electronic commerce and extended supply chain drive the trend among organization towards integrating strategic business applications. In today's context of business, ERP systems assists organizations in automating and integrating corporate cross functions such as inventory control, procurement, distribution, finance, and project management while extending visibility of information with external stakeholders. Making available information across the chain, SCM enables supply chain partners to work in close coordination to facilitate supplier customer interactions and minimize transaction cost. It is essential to analyze the effectiveness of ERP integration with SCM, from a Fast-Food restaurant perspective as many of the major QSR operators in the world shifting their traditional supply chain to integrated SCM. As an exploratory research, a Delphi study is planned to use to collect information. Supply side functions have evolved with the ERP, current developments and rationales for the integration are still in a question whether the desired yield is generated. Every organization takes this substantial move understanding how strategically supply chain is important to stay competitive in the market hence challenges and positive outcomes from both sides ERP and SCM those arises in the process of integration should be examined. The outcome will help organizations in the Quick Service Restaurant (QSR) when their SCM to integrate with ERPs while ERP solution providers can develop better solution that cater the real demand of SCM.