Enterprise architectural framework for supply-chain integration Charu Chandra Industrial and Manufacturing Systems Engineering, University of Michigan, Dearborn, Michigan, USA Sameer Kumar Programs in Manufacturing Systems & Engineering, University of St Thomas, St Paul, Minnesota, USA Introduction A supply chain is a society (a network of members, termed a group) formed by autonomous entities (and their systems) by bonding together to solve a common problem. With their collective and collaborative efforts, they sustain the progress of each member as well as the group. Collaboration between members requires effective communication. In a collaborative environment, a member may modify its norms of behavior to accommodate other member's perspectives (Bond and Gasser, 1988; Gasser, 1991; Moulin and Chaib-Draa, 1996). This paper describes an enterprise architectural framework with an example of a generic supply chain from the textile industry. Its focus is on enterprise integration issues, such as in a supply chain. It is organized as follows. First, an historical perspective on supply chains aimed at highlighting significant enterprise integration issues is presented. Designing and modeling solutions for these integration issues is the motivation for this research, which led to the framework. Finally, implications of this research on designing and modeling complex supply chains generically are noted. An historical perspective on supply chains The significance of changes taking place in supply-chain initiatives can be best appreciated from a review of historical aspects of production and operations management activities (Poirier and Reiter, 1996). During the period from 1960 to 1975, corporations had vertical organization structures and optimization of activities was focused on functions. Relationships with vendors were win-lose interaction, many times adversarial. Manufacturing systems were focused on materials requirements planning (MRP). From 1975 to 1990, corporations were still vertically aligned but several were involved in process mapping and analysis to evaluate their operations. Organizations were beginning to realize the benefits of the integration of functions such as, product design and manufacturing. Various quality initiatives, such as the total quality management philosophies of Deming, Juran, and Crosby; and ISO standards for quality measurement were initiated by many organizations. Manufacturing systems were focused on MRP II. During the 1990s, corporations experienced increasing global competition. Strategic alliances among organizations have been steadily growing. Organization structures are starting to align with processes. Manufacturing systems in organizations have been enhanced with information technology tools such as, enterprise resource planning, distribution requirements planning, electronic commerce, product data management, and collaborative engineering, etc. (Aberdeen Group, 1996). Design for disassembly, synchronous manufacturing, and agile manufacturing are some of the new paradigms in manufacturing. There has been a growing appreciation in many firms of total cost focus for a product from its source to consumption, as opposed to extracting lowest price from immediate vendor(s) (Turbide, 1997). There has also been an increased reliance on purchased materials and outside processing with a simultaneous reduction in the number of suppliers and greater sharing of information between vendors and customers. A noticeable shift has taken place in the marketplace from mass production to customized products. This has resulted in the emphasis on greater organizational and The current issue and full text archive of this journal is available at http://www.emerald-library.com/ft [ 290 ] Industrial Management & Data Systems 101/6 [2001] 290±303 # MCB University Press [ISSN 0263-5577] Keywords Supply chain, Supply-chain management, Enterprise economics Abstract The concept of supply chain is about managing coordinated information and material flows, plant operations, and logistics. It provides flexibility and agility in responding to consumer demand shifts without cost overlays in resource utilization. The fundamental premise of this philosophy is; synchronization among multiple autonomous business entities represented in it. That is, improved coordination within and between various supply-chain members. Increased coordination can lead to reduction in lead times and costs, alignment of interdependent decision-making processes, and improvement in the overall performance of each member as well as the supply chain. Describes architecture to create the appropriate structure, install proper controls, and implement principles of optimization to synchronize the supply chain. A supply-chain model based on a collaborative system approach is illustrated utilizing the example of the textile industry.