Benefits of IT in supply chain management: an explorative study of progressive companies

Purpose – To provide empirical evidence of benefits from IT in supply chain management.Design/methodology/approach – Data in this qualitative study were collected through multiple enquiries. SCM consultant interviews gave an understanding of the current state of practice. A survey of 48 progressive companies was conducted to identify what IT solutions they have implemented in SCM. This was followed by 18 in‐depth case studies to identify the mechanisms for achieving benefits of IT in SCM.Findings – Based on the empirical studies five propositions are presented on the use and benefits of IT. First, successful companies have developed focused e‐business solutions for improving customer service elements that are most important in their business. Second, improved efficiency allows company personnel to focus more on critical business activities. Third, the use of e‐business solutions improves information quality. Fourth, e‐business solutions support planning collaboration and improved agility of the supply net...

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