Supply chain management software

Supply chain management software (SCMS) is a business term which refers to a WHOLE range of software tools or modules used in executing supply chain transactions, managing supplier relationships and controlling associated business processes.

While functionality in such systems can often be broad – it commonly includes:

1. Customer requirement processing
2. Purchase order processing
3. Inventory management
4. Goods receipt and Warehouse management
5. Supplier Management/Sourcing

A requirement of many SCMS often includes forecasting. Such tools often attempt to balance the disparity between supply and demand by improving business processes and using algorithms and consumption analysis to better plan future needs. SCMS also often includes integration technology that allows organizations to trade electronically with supply chain partners.

Enterprise Resource Planning software

An Enterprise Resource Planning (ERP) system is an integrated computer-based application used to manage internal and external resources, including tangible assets, financial resources, materials, and human resources. Its purpose is to facilitate the flow of information between all business functions inside the boundaries of the organization and manage the connections to outside stakeholders. Built on a centralized database and normally utilizing a common computing platform, ERP systems consolidate all business operations into a uniform and enterprise-wide system environment.

An ERP system can either reside on a centralized server or be distributed across modular hardware and software units that provide "services" and communicate on a local area network. The distributed design allows a business to assemble modules from different vendors without the need for the placement of multiple copies of complex and expensive computer systems in areas which will not use their full capacity.