- Cost reduction and efficiency gains – these can be achieved by streamlining the supply process and freeing up supply staff to do more value-adding work.
- Data accessibility – quick and easy access to critical data in real time aids sound decision making, makes it easier to identify supply problems earlier and provides useful information for negotiations.
- Speedier communication – faster communication improves supply chain effectiveness and efficiency, especially with global suppliers. Faster turnaround may increase market share and lower inventories.
- Dedicate resources to strategic issues – more resources (staff and budgets) can be spent on strategic supply initiatives, and strategic and critical suppliers and projects because less time is spent on administrative ant tactical supply activities.
- Data accuracy – automation decreases errors, especially data entry errors. Benefits include lower inventories (safety stock) and stock outs, lower expediting costs, and improved customer satisfaction.
- Systems integration – integration across departments, suppliers and customers can provide accurate information on a timely basis to assist with production and materials planning and decision making.
- Monetary control – enterprise systems provide control over how and where money is spent.
Benefits of I.T
