The supply chain perspective of e-business evolution

Companies regard supply chain as a medium for achieving short-term economic benefits and gaining long-term competitive advantages. It comprises the recognized discipline for shortening cycle times, transforming purchasing from a tactical operation to strategic sourcing, reducing inventories, and decreasing logistics costs. Furthermore, it streamlines communication processes across a total network, from initial supplies to final consumption and post-sale customer service. Specialized human power, appropriate and integrated processes and new technologies are the supply chain's pivots. The focus of supply chain management has shifted from engineering efficient functional processes to the coordination of activities in a supply chain network through knowledge management. In this paper e-business and supply chain transformation interdependency is examined through a four-stage approach. A supply chain grid is developed and specific key elements are classified providing a useful roadmap for the planning and/or evaluation of supply chain transformation levels in practice.