The Future of Intelligent Digital Supply Chains
Traditional supply chains are both linear and concentrated on the manufacturing and supply of merchandise. We look at the future of digital transformation.
With the fast-paced and competitive nature of the distribution chain, companies must be planning digital transformation strategies.
What makes an Intelligent Digital Supply Chain?
To be able to create a successful digital distribution chain, companies must provide real-time visibility across every element of supply chain management. Visibility can be empowered via the optimization of cloud computing systems to create an ecosystem that is connected.
Nearly all today’s supply chains use both digital and analog processes, however, a fully digital supply chain would eliminate the use of paper, manual entry and data request through a telephone call or email. A fully digitalized supply chain would be electronically connected and handled using real-time monitoring to add visibility into the manufacturing, transport, and logistic processes. End to end digital connectivity permits for optimization and management of the very complex supply chains, from client to supplier.
The Challenges of a Digital Supply Chain
Most companies have begun their digital transformation travel. Implementation of technology such as IoT, blockchain, predictive analytics along with others mentioned above is essential. However, this journey does not come without challenges. Although digitizing the supply chain is a topic that has been in dialogue for decades, increased customer demand and the current global pandemic was a catalyst for many companies.
The main challenges are faced by smaller businesses that struggle to internally integrate technology, meaning that they need to appear externally to outsource those functions. Companies go to outside companies who’ve already made the investments in electronic technology.
Because of this, businesses need to start digital transformation initiatives that optimize the most recent technologies to produce a more visible and related distribution chain. Connected distribution chains are usually data-pushed and allow for real-time adjustments that transcend the need for conventional systems.
Businesses must understand the need for digital supply chains to replace long, manual processes and highly organized manual communication management methods.