SCM

SCM Cloud

• Procurement
• Order management
• SupplyChain  Planning
• Manufacturing(transactions are done at manufacturing org level)
• Work Definition(Bill of Material)
• Close Work Order
• Transfer transactions to Costing
• Transfer transactions to Inventory 

• Work Execution
• Manufacturing Organization
• Manage Work Order
• UnReleased workorders are from Planning cloud
• Review Dispatch list of workorder
• show workorder, Materials & resources/items used to complete workorder
• 
  
• Inventory & Costing

Intercompany Transaction

• People move from high tax area like California to Texas for savings. Similarly companies use tax advantages by moving to Asia, Hongkong, Malasia.
• Supply Chain Financial Orchestration OR Intercompany Transaction
• Customer places order in US where sales Organization is present
• Product will be sourced from South Korea and shipped to US.
• Financial Transaction(on paper) will be routed as if it has taken from Hongkong to US to save Tax. 
• Setups
• Trade relationships
• Transfer pricing(Hongkong will get profit sharing)
• Intercompany documents
• Manage Inventory Organizations
• 
  
• Internal Drop Shipment
• Customer places SalesOrder to US Sales Organization
• Drop shipment from Ware house in SouthKorea to Customer in US
• Sales invoice from Ware House in SouthKorea to US Sales Org
• Another Sales invoice from US sales invoice from Sales Org to Customer
• 
  

Plan to Produce 

• Plan
• Plan demand and supply 
• Make(Manufacturing, Supply chain orchestration)
• Optimize(Cost Management, Supply chain orchestration) 

SCM is about managing the demand from customers by producing supply using trading partners to fullfill the demand. Trading partners are manufacturers, suppliers, distributers, retailers.

Orders can come from ecommerce portal, manual entry, mobile order from customers, B2C order. 

Supply Chain Orchestration  is tool that can bridge gap between having visibility of orders, demand & supply and ties together so that operations manager can have visibility of where supply is coming, backlog going to be.

 Benefits of Supply Chain Orchestration

• End-end visibility of Supply
• Receive supply requests from several sources. Supply sources are PO, Transfer order from one warehouse to another warehouse, supply from work order completion.
• In case of disruption, where is the supply disruption happening

SFO can be used for scenarios

• Drop Ship PO -> Vendor shipment direct to customer
• Standard work order -> customer shipment
• Contract mfg work order -> service order -> vendor shipment direct to customer
• PO -> vendor shipment -> cutomer shipment
• internal material transfer -> internal shipment -> customer shipment