Supply chain management has undoubtedly shown significant growth over the past few years. Minimum costs, efficient operations, and seamless transactions have made it easier for leaders to sustain themselves in the industry.
What is supply chain management?
Supply chain management is all about monitoring the entire production flow of goods and services. It includes everything from bringing in the raw materials to delivering the finished goods to the end customers.
It is the most prominent representation of businesses for suppliers and customers. The better and effective supply chain management is, the higher are the chances of better supplier and customer relationships.
As mentioned above, the dynamics of supply chain management are continually changing. Here are some tech trends that can be held responsible for it. Read on to get some quality insights:
- Automation and Artificial Intelligence
AI and automation have contributed to the growth of many sectors, and supply chain management is no exception.
Automation allows the industry experts to streamline repetitive tasks such as billing. On the other hand, AI assists them with complex and challenging tasks. Know that both these prove to be valuable for hassle-free supply chain management.
Using AI and automated software entrepreneurs can get a competitive edge in the industry.
Digitisation typically refers to the process of converting information into digital formats. And when it comes to supply chain management, digitisation has definitely revolutionised the industry. It has helped make the entire process more efficient, seamless, and mobile.
However, the transition can be really challenging, especially when it comes to documentation. A specific documentation pattern needs to be followed to ensure the seamless transfer of information. And that’s where EDI or Electronic Data Interchange comes into play. According to an EDI Services Provider, businesses can build seamless connections with their trading partners by offering accurate billing information. The best part of EDI is that the solutions are designed to ensure maximum digital data security. Also, it adheres to the confidentiality of the shared documents by giving access to authorised users.
- Internet of Things
IoT or the Internet of Things typically refers to the network of physical devices powered by software that is connected to the internet. Statistics show that more than 50% of industry giants use IoT and advanced technologies to support their supply chain departments.
IoT has also proved efficient in warehouse management. It allows managers to track inventory and maintain mechanical technological management.
- Cloud-based Solutions
Businesses must adopt cloud-based solutions and integrate them into their supply chain management to sustain themselves in the industry. This helps them keep the process mobile.
SAAS or Software-as-a-service models have proved beneficial for the supply chain management. Such solutions allow managers to store all information related to suppliers and customers in one place. Cloud-based solutions also made it easier for businesses to keep track of their operations during the Covid-19 pandemic and lockdowns.
These industry trends will continue to evolve, and so will the supply chain management dynamics.