General Approaches:

There are two general approaches for evolving a supply-chain-management environment

Internal Integration

1. Integrated system (for example ERP solutions such as SAP R/3).

2. Link functions such as, purchasing, finance, inventory, manufacturing, marketing, etc.

3. Shared data and integrated procedure.

Intra-firm Integration

1. Inter organizational information system, such like, extranet.

2. Link firm's systems along with external entities-suppliers, retailers, distributors etc.

3. Shared data and integrated processes.

Figure: Steven's  Model  for Integration of Supply Chain