With the advent of Industry 4.0, traditional supply chain methods are rapidly becoming obsolete. Digitization and integration are now the cornerstones of the entire supply chain process, which is best known as Supply Chain 4.0. The The current times demand efficiency, flexibility, transparency, effective communication, and collaboration for an increasingly enhanced supply chain ecosystem.
Companies need to be cognizant of the fact that supply chain management drives their value chain processes. And a supply chain process carries a lot of burden in terms of faster turnaround time, robust inventories, and shorter product life cycles.
By integrating the right technology into their supply chain ecosystem, companies can gain that much-needed head start, which allows them to:
● Act faster and smarter than their competitors
● Improve efficiency to attract more business
● Improve risk prediction and management
● Realize cost-saving and optimize working capital
● Rationalize the supply base
But how does one ensure this in unprecedented times that are beyond our control?
The present milieu calls for improved methodologies to streamline processes. Be prepared for disruptions caused in your supply chain process due to unexpected events. SMEs can be quite vulnerable to sudden changes, but the intervention of the right technology can help.
Here are five technology trends in Supply Chain Management to accelerate business outcomes:
Simulation Models, such as "digital twins," utilize an exact digital replica of the ongoing physical supply chain in an organization. This digital model helps companies gauge the different scenarios of disruptions to the business, helping decision-makers brace themselves better for crisis management if any.
Real-time Tracking is a disciplined approach that raises a red flag much faster when a disruption occurs. Real-time tracking helps resolve small and big issues on a day-to-day basis, by helping track inventory and product-related bottlenecks better.
Artificial Intelligence, when given the data to do so, can predict complex occurrences in the future. AI and machine learning are used to recognize product demand, which eases the supply chain management process as a whole. The smoother the supply chain operates, the lesser a disruption will impact it.
Blockchain Technology ensures all transactions are recorded in the form of digital archives. These records ensure that anyone within the system has access to this consolidated data at any time. Most importantly, these records help companies track the exact location and cause of a disruption.
Automation and Digitization are harbingers of change in the ways in which data is gathered and employed. Shippers and 3PLs (party logistics) are paving the way to advanced technologies to initiate faster and cost-efficient services which create improved visibility and safety.
In the current marketplace, customers at every level are well-informed and have their own set of requirements and expectations. Supply chain functions rely mostly on the abilities of the involved parties to get access to vast amounts of data in real-time. Therefore, shippers and 3PLs are stepping away from core transactions towards more integrated and collaborative relationships.
Innovative solutions in the logistics space are all about effectively increasing order fulfillment while tracking shipping delays, linearizing supply chains, and cutting down unnecessary overhead costs. While those benefits are good on their own, it is refreshing to see 4PL providing benefits beyond their planned range.
As 4.5PL solutions providers, H&S offers its complete infrastructure of warehouses and top-of-the-class technology (IT support) to its clients. Our clients receive a future-ready approach when they choose our services. 4.5PL is a hybrid system that combines the best of what both 3PL and 4PL have to offer. In essence, it combines the technical expertise that a 4PL partner provides, along with the operational excellence that a 3PL partner brings to the table. We offer positive outcomes for all sides of the logistics’ disruptive demands. Our processes provide detailed demand forecasting and planning. We believe in an integrated approach to supply chain management to improve business processes and transform our operations.