3 INTRODUCTION
3.1
Introduction
Nowadays, companies aim to improve their organizational competitiveness in order to compete in today’s global market. This electronic and dynamic market makes it difficult for companies to improve their strategies and be flexible enough with their objectives to meet the ever changing market requirements. In order for companies to achieve this, they have headed towards the decentralization of their value-adding activities by outsourcing and developing virtual enterprise highlighting the importance of information technology (IT) in integrating suppliers/partnering firms in supply chains. Supply chain management (SCM) is an approach that has been developed out of the integration of these reflections. SCM is defined as “the integration of key business processes from end users through original suppliers that provide products, services, and information hence adds value for customers and other stakeholders.” (A. Gunasekaran, 2003) The purpose of the introductory chapter is to identify a clear problem statement, project scope along with the system objectives, illustrate the research methodology and the work progress required to develop the project, and present a list of required tools to be used in developing the project.
3.2
Background Information
3.2.1 Organization Overview Bayer is a global enterprise with core competencies in the fields of health care, nutrition and high-tech materials. The company’s products and services are designed to benefit people and improve their quality of life. At the same time Bayer creates value through innovation, growth and high earning power. (Bayer, 2009) 15