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Convenience vs. risk

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by Michael Kassner

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Recent advances in B2B technology and ERP now make it possible for a supplier to look into a customer's database (without bothering the customer) and seeing that more product is needed - which is then supplied by the supplier's system. Would you usethis convenient technology or would the security risks outweigh the benefit?

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by generalist

If this is done on the request of the customer with adequate security, then it should be fine.

I suspect that you could set things up so that the supplier could only look at the things they supply and nothing else.

The biggest problem with such a system might be those situations where supplies are low because the customer is trying to keep them low.

by jonby

Security is one part of the equation and is important. However, much of the security infrastructure is already in place as these issues have had to be addressed with earlier information exchanges such as EDI.

The greater issues will be about the control of the requisition and supply, in line with supply contracts. From a purchaser perspective, there is better control if the control remains with the purchaser, with automatic re-ordering being initiated by the purchaser. This gives the purchaser flexibility to change inventory levels to meet demand and situational changes.

Other factors complicate the trading situation for automatic supply such as:
1. The nature of the trading relationship such as supplier/dealer
or supplier/independent
2. Provision of interchangeable parts from different suppliers
ability to supply at the time
3. Changes in demand due to environment such as seasonal factors

Jon Barnett
Amity Solutions

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