Analysis of Supply Chain Management and E-Marketing Strategies

This report delves into the critical connections between supply chain management and e-marketing, examining how Intranet and Extranet technologies restructure the value chain networks within companies. It explores the benefits of Intranets in enhancing internal communication, facilitating product development, and improving customer service through personalized support and cost-saving measures. The report also highlights the role of Extranets in supply chain management, particularly in facilitating secure information sharing, reducing operational costs, and improving order processing and customer service. Furthermore, the report investigates the transformative impact of Information and Communication Technology (ICT) on purchaser-supplier relationships, emphasizing its role in enhancing communication, managing inventory, and integrating distribution channels. The analysis underscores how ICT strengthens relationships, reduces transaction costs, and improves service delivery within the supply chain.

Running Head: SUPPLY CHAIN MANAGEMENT AND E-MARKETING
1
Key Relationships between Supply Chain Management and E-Marketing
Student’s Name:
Institution:
Course:
Date of Submission:

SUPPLY CHAIN MANAGEMENT AND E-MARKETING
2
How Intranet and Extranet Enable Restructuring of the Value Chain Network of the
Company
Intranets are used in the marketing field because they offer several key advantages to a
company. First, intranet support distribution and transmission of information to offices in
different parts of the world (Chaffey, 2015). Therefore, communication within a company is
enhanced by the Intranet that helps in promoting the decision-making processes. The quick
sharing of information also helps in significantly reducing the product life cycles. Information is
shared during the product development period that enables all the concerned parties to pay
attention to all details, leading to a quality product. Further, marketing campaigns are created on
time during the product development process that increases the process of getting the products
into the market. Intranet enables restructuring of value chain network because it improves the
customer services offered by a company. The staff in a company can access customers over the
web services, which help in creating personalized and responsive support to the clients. Such
feedback and support to the customers increase the number of clients. Also, the departments are
interlinked using intranet services that help to provide customers with information ranging from
the manufacturing process to other support issues. The Intranet services also save cost through
training, improving employee directory, the creation of employee helpdesk, and employee
incentive scheme (Chaffey, 2015; Barão, de Vasconcelos, Rocha, & Pereira, 2017).). The
employees within the company can utilize Intranet to view the available resources and make
bookings to resources such as meeting rooms that are essential for saving time and avoiding
conflicts. Companies can utilize the Intranet to create anonymous reporting for good or bad
conduct that either needs to be punished or rewarded. Using these examples, it is clear that

SUPPLY CHAIN MANAGEMENT AND E-MARKETING
3
Intranet helps in saving time, costs, improving workflow within a workplace, and effectively
utilizing resources available in the company.
Extranets are mainly used in the supply chain management because they facilitate the
ordering of resources from the suppliers that are transformed into products distributed to
customers. The first benefit that businesses enjoy by using extranet is the sharing of information
through a secure environment. For instance, information needed by the suppliers, marketing
agencies, and other stakeholders is shared through Extranet (Chaffey, 2015). Such information is
shared through a database that requires logins to access the list of products to be supplied.
Extranet significantly reduces the cost of operating a business (Spralls III, Hunt, & Wilcox,
2011). This cost reduction is achieved as business eliminate the use of middle-men when
purchasing the raw materials or requesting a supply of products. Extranet also improves the order
processing and distribution of products. For instance, a retailer's point of sale could be linked
with suppliers' delivery system to ensure that goods are replenished promptly. One major benefit
of the extranet is the improvement of customer services (Spralls III et al., 2011). A company can
use websites to post the prices of their products or hold customized information about the
products they offer to customers, suppliers, and distributors (Chaffey, 2015). However, for
extranet to achieve the benefits mentioned above, the services should be provided through a
secure connection. Secure connections involve the use of control systems to ensure that
businesses only divulge information necessary to others. Also, the company should monitor the
return on investment realized from investing in extranet services to ensure business success.

SUPPLY CHAIN MANAGEMENT AND E-MARKETING
4
How Information and Communication Technology is applied in Purchaser-Supplier
Relationship
Information and communication technology (ICT) has changed the way buyers and
suppliers interact in supply chain management. Multiple companies need to cooperate to succeed
in exchanging information in a supply chain. Use of Internet connection and responsive browsers
to share information helps in achieving an effective network among suppliers and businesses.
Companies can use the information they obtain from the supply chain to compute issues such as
transportation, production, and procurement that would help in improving the distribution of
products between purchaser and supplier (Milovanović, Milovanović, & Spasić, 2016). Besides,
ICT has helped in managing inventory, processing orders made by purchasers, integrating
distribution channels, and outbound transportation (Milovanović et al., 2016). Use of the modern
technology has enabled different suppliers and customers to combine their resources to create
value by computing flexible routes for the distribution of products (Bethapudi, 2013). ICT
infrastructure also allows integration of customer management relation systems and supply
management systems. The integration of the two systems creates an easy to use system for
selecting products, ordering, payment of ordered items, tracking supply, and reporting the status
of ordered products (Bethapudi, 2013). This process reduces the cost by eliminating the number
of users involved in the purchaser and supplier chain. The communication is also direct,
efficient, and real-time that helps in strengthening the relationship between the buyer and seller
(Llach & Alonso‐Almeida, 2015). Therefore, the use of ICT in business has significantly
strengthened the relationship between purchaser and supplier, reduced cost of transactions, and
improved delivery of services.

SUPPLY CHAIN MANAGEMENT AND E-MARKETING
5
References
Barão, A., de Vasconcelos, J. B., Rocha, Á., & Pereira, R. (2017). A knowledge management
approach to capture organizational learning networks. International Journal of
Information Management, 37(6), 735-740. Doi: 10.1016/j.ijinfomgt.2017.07.013
Bethapudi, A. (2013). The role of ICT in tourism industry. Journal of Applied Economics and
Business, 1(4), 67-79. Retrieved from:
http://www.aebjournal.org/articles/0104/010406.pdf
Chaffey, D. (2015). Digital business and e-commerce management. Pearson Education Limited.
Llach, J., & Alonso‐Almeida, M. D. M. (2015). Integrating ICTs and Supply Chain
Management: The Case of Micro‐Sized Firms. Human Factors and Ergonomics in
Manufacturing & Service Industries, 25(4), 385-397. Doi: 10.1002/hfm.20559
Milovanović, G., Milovanović, S., & Spasić, T. (2016). The role of contemporary web
technologies in supply chain management. Ekonomika, 62(1), 43-58.
doi:10.5937/ekonomika1601043M
Spralls III, S. A., Hunt, S. D., & Wilcox, J. B. (2011). Extranet use and building relationship
capital in interfirm distribution networks: The role of extranet capability. Journal of
Retailing, 87(1), 59-74. Doi: 10.1016/j.jretai.2010.09.001