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SCM Terminology

ATP (Available to Promise)

An important concept in supply chain management, meaning to quote an available quantity and a delivery date for an order from a customer. There are various methods and levels of determining the quantity and delivery date depending on circumstances.

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BPR (Business Process Reengineering)

Approach to redesign business processes for creating profit and restructure the business using engineering methodology. This approach was introduced by Michael Hammer in his book "Reengineering the Corporation" and drew world's attention.

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Bottleneck (Constraint)

Bottlenecks determine the throughput of a supply chain. Recognizing this fact and making improvements will increase cash flow.

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CALS (Computer Aided Logistics Support)

Business strategy that enables more efficient product development, business transactions, and business management by using digital data to comprehensively carry out the reform and standardization of business processes and application of international standards to the business processes.

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CRP (Continuous Replenishment Program)

Method of replenishing products in real time as needed only for the sold amount. "CRP" is a concept that supports the ECR strategy that was figured out for supply chain management of processed foods.

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