Chapter 42: Improving Supply-Chain Information Velocity, Product Customization, and Cost through Extended Enterprise Applications

T. C. Daniel Loh & Lenny S. C. Koh

Improving supply-chain information velocity, product customization, and cost through extended enterprise applications Globalization has resulted in increasing competitiveness in today's supply-chain. Such an environment called for greater integration to coordinate with national and international business partners. The term extended enterprise (ERPII) was a new concept introduced by the Gartner Group in 2000 to label the latest extensions to the enterprise resource planning (ERP) system (Classe, 2001), which includes integration and sharing of accurate information about orders and inventory across the supply-chain, enabled by the newly emerged Internet technologies. However, the ERP acronym has persisted as the most widely used term to describe this wide phenomenon (Sarpola, 2003). This chapter explores the value of a new form of enterprise, namely, the extended enterprise to improve supply-chain information velocity, product customization, and cost. To become an extended enterprise, an enterprise with a traditional system will need to upgrade or modify the existing ...

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