How Are Evolving Supply Chain Management Needs Affecting Enterprise Resource Planning (ERP) at Your Business?

Michael,

As an IT vendor, Babbleware is building the next generation of Enterprise software. While the pace of change may seem faster today it is constant always. ERP, and other such large scale complex systems as Best of Breed and Homegrown solutions, all were built for operational stability. A single system controlling a single process without any effective ability to change. They have been out of step with the constant change all along.

These systems, however, are really good at what they were built to do. Centralize information, especially in financial, hr, procurement and sales. What they are bad with is all of the transactions that have to actually occur to meet those obligations.

Business demands a constant delivery on improved accuracy, productivity and quality. The only way for any company to actually grow is by improving their scalability. This means their process, technology and data needs will always outpace the centralized data towers of ERP/Best of Breed/Homegrown systems driving their business today.

This constant disconnect is resolved by true Enterprise 2.0 solutions. E2.0 solutions are easily recognizable because they adhere to two basic rules:

1) Do No Harm - requiring no change to the existing business systems or disruption of the ongoing business
2) They increase revenue and/or profit in measurable terms before roll out investment is required.

These solutions operate in three distinct categories of Enterprise need: Communication - Operation - Customer.

• Communication will be amongst vendors, employees, customers, regulators, etc. This communication will be seamless to the business and will contribute to the transparency that many markets are demanding. Long standing initiatives such as EDI, ECR, VMI, JIT, etc. will finally be able to be achieved as the barriers of E1.0 that impeded their deployment will no longer constrain the business.
• Operation will be coordinated amongst vendors, employees, customers, regulators, etc. With the ability to enhance existing operations without disrupting existing systems new technology, data and processes can be implemented to improve the process of business: manufacturing, distribution, delivery, service, sales, etc. Protecting the command and control of the E1.0 solutions, E2.0 solutions are able to meet the need for constant improvements in productivity, accuracy and quality that is the keystone of any successful company.
• Customer improvements will begin to leverage the Communication and Operation elements to better utilize the full value available for sale - product, operation/process and accompanying data. Better data and process alignment will evolve as need and technology allow. E2.0 solutions are built to operate in this environment, in the network, and can serve as a constant innovation platform for realizing the opportunities

E2.0 isn't about SaaS or consumer applications (Twitter/Facebook/et al) bridging into Enterprise operations. The former is simply a new way to pay for an old problem. The latter cannot establish sufficient value and includes the words social which sound like a waste of time and money in business and directly violates the second rule.

I hope this sparks a vigorous debate.

Steve