BMW has announced plans to revamp its supply chain lifecycles through the implementation of a new service management system.Speaking to Computing magazine, Bennie Vorster, the company’s vice president of IT solutions and technology standards, said that supply chain management was among the group’s top priorities.“Warehouse spaces to handle supply are becoming smaller and firms must deal with issues related to customers’ requirements for more choice and flexibility,” Vorster said.“So complexities related to the increasing demand for ‘just in time’ delivery processes must be met by efficient supply chain management systems."Vorster said that BMW would be cutting down on the ordering of parts before the production phase in order to increase efficiency.“We don’t order parts long before the production time to keep in our warehouses in case a customer orders a car of any particular specification,” he said.
Procurement Technology
Technical advances have been moving at such a rate that running a company of any size without using a range of electronic processes is increasingly untenable.The whole procurement arena has been transformed by electronic computer-based technology and, in particular, the internet. In every area of procurement, from requesting information to tendering to evaluation of data, contract compliance and performance management, effective use of technology is now imperative for organisations wishing to remain competitive.The technology marketplace and the range of solutions for every challenge, no matter how big or small, is huge.
Even the most tech-savvy procurement leader needs expert, authoritative information to stay informed.E-auctions, for example, is a field in which the technology and the thinking behind it are developing all the time. Procurement managers need to be aware of the latest developments in order to make the right decisions for their organisations.
http://www.procurementleaders.com/learninggroups/technology/technology-news/bmw-supply-chain-management/
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