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Digitalizing Supply Chain: The Best Option to Attain Your Business Goals with Ease!

01-Aug-2019

As per the recent research, the importance of digital transformation and the need for the company to establish its supply chain in the digital medium is highly significant. One finding from such info-graphic is considered to be striking. By the year 2019, 3rd platform technologies like cloud, mobile, big data and social are expected to account for nearly 75% of the IT speed and it will grow at twice the rate of the entire market.

Understanding the fact, all the companies are looking to transform the capabilities of the supply chain to holistically improve their business performance to reach the business goals. Continue reading to know about digitalizing the supply chain.

What is digital supply chain? 

In the case of the traditional supply chain, the companies rely on the electronic and paper-based process and other documentation. The organizational structure is characterized by the functional and geographical silos and that will not share any information. As a result, this will lead to sub-optimal performance.

The digital supply chain will have the capability for extensive information available and will be able to have superior collaboration and communication. This will result in improved reliability, effectiveness and agility.

The need for digital supply chain

Here are some of the results obtained from the comparison of the digital and the traditional one. These results will make you find the needs of the digital supply chain.

  • Up to 10% product is available
  • The operating margin is high from 40 to 110%
  • The realization of working capital reduction is found to be improved up to 30%
  • They respond to demand is 25% enhanced
  • The cash conservation rates are less from 17 to 64%

What you may do to implement supply chain in the digital medium? 

Fill the performance gap:  

You can use the supply chain to handle a laborious and significant task like calculating optimal inventory allocation, critical analytics and forecasting the demands.

Innovate your business:

You might have followed some traditional process like dock door scheduling to replenishment, now automate all of them. You can also tune your supply chain in real-time with the control tower.

Disrupt the supply chain:

Find the ways by which you can reach your customers easily and efficiently. For example, for this process, some companies will look for the implementation of an ecommerce site.

How digital supply chain helps your business? 

Easy decision making: 

You will have the right option to deal with a particular situation that requires changing material planning and the scheduling to your new customers. With the help of the digital supply chain, it is possible to make the right decision.

Automation:

When the works are automated, it streamlines the work of the supply chain and the professionals will be able to focus more on the other valuable task.

Innovation:

The digital supply chain management will help the company to strengthen the business model and helps in easy collaboration with customers and suppliers.

 Final thoughts :

As technology grows, there are certain developments in some parts of the business. Grab the opportunity of growth in technology to attain your business goals!