Supply chain event management (SCEM) applications work with intelligent supply chain application business rules and parameters to trigger alerts when unplanned and unexpected events, or exceptions to planned events, occur. This added visibility allows personnel to use their time on exceptions only, rather than having to review all events or transactions.
Benefits of a SCEM application
Benefits of an SCEM application include:
- Automatic monitoring of events throughout the supply chain
- Alerts to decision makers when exceptions occur so alternate actions can be taken
- Simulation of real or projected activity to determine the impact
- Mitigation of supply chain risk by providing notice when something unanticipated occur
- Integration with performance measurement systems in order to measure against KPIs and provide root cause information on performance variances
- Trigger activity downstream based on event(s) that occur
Event Simulation
Other event simulation models can be used in various supply chain areas. One primary example is in transportation, where routes can be optimized to minimize empty loads. Multiple factors are analyzed including distance, number of vehicles, and costs related to handling of goods as well as loading and unloading, safety regulations, and environmental criteria (noise pollution, emission pollution, fuel consumption, etc.).