Management Consultants, ECR (Efficient Consumer Response), Supply
Management, integrated supply chain organization
E.C.R. Thailand - ECR (Efficient Consumer Response)
ECR (Efficient Consumer Response) Is a new initiative that focuses on
improving the efficiency of every member of the whole supply chain process to
satisfy consumer needs better, faster and at less cost. The ECR programmer
involves the coordination of activities among all participants in the supply
chain in three main improvement areas, which are: Demand, Management, Supply
management and Enabling technology.
ECR is a consumer focused process which starts from the management of consumer
demand, working backward through retailers, manufactures, and suppliers to
increase efficiency and remove unnecessary supply chain cost such as inventory
and missed sales. 3 Areas of ECR Demand Management Managing demand is one of the
most critical success factor in ECR implementation, because the unexpected
change in demand pattern will affect the smoothness of the whole supply chain
There are 4 main areas in demand management: Strategy and Capabilities, Optimize
Assortment, Optimize Promotion and Optimizes New Product Introduction. Supply
Management As important as demand management, the improvement of the supply side
activities lead to a significant saving by increasing the operation efficiency
and reliability and reducing the inventory cost . The six supply improvement
activities are Integrated Supplier, Reliable Operation, Synchronized Production,
Cross Docking, Continuous Replenishment and Automated Store Ordering. Enabling
Technologies The implementation of ECR improvement cannot be done successfully
without the help of technology.
One of the critical success factors is the speed of information sharing among
all participants in the supply chain. The integration of the information,
therefore, requires a rapid communication system such as EDI (Electronic Data
Interchange) to be in place (see figure: 2 for list of activities) Expected
Benefit Benefits in Thailand have been show to be a cost reduction equivalent to
7.7% of consumer prices or a value of Baht 38 billion. This figure does not
include the potential increase in sales expected to achieved by the companies
who have adopted good ECR practices. By working together as an integrated supply
chain organization, all parties can achieve benefits from the implement of the
ECR concept in contrast to what an individual company can realize by doing it
Services: ECR (Efficient
Consumer Response), Supply Management, integrated supply chain organization
Categories: Business Service, Management Consultants,
Queen Sirikit National Convention Center 3rd fl., ( Zone D )
60 New Rachadapisek Rd.,
Telephone: 02 229-4255
Fax: 02 229-4939
email address: email@example.com
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