We’ve been researching what the supply chain geeks are working on, so that we can give you a forecast of what the smartest supply chains will look like in the very near future.
Will you be ready?
Faced with increasingly complex global markets, labour issues and economic fluctuations, supply chains need to be more resilient than ever to meet emerging challenges.
So what part will emerging technology play in helping them stay ahead of the game.
Savi Technology, a pioneer in sensor technology and sensor data analytic solutions, identifies the following supply chain trends that will help global organisations optimise their logistics operations.
Internet of Things-enabled solutions will drive change in the supply chain
IoT strategies will allow global organisations to connect their products and processes to provide real-time analysis.
Scientists suggest that IoT technologies will be materially affecting the way that companies manage their supply chains by 2020—with estimations that the IoT market will reach $1.7 trillion.
It is claimed that 82 per cent of businesses are planning to implement IoT solutions by 2017.
If true we would expect supply chain companies to begin investing in technology innovations that leverage the power of IoT, big data, and analytics.
Investing in technologies that make sense of their raw data will create a definite competitive edge, with end-to-end supply chain visibility and insights to anticipate problems, forecast outcomes, prescribe solutions, and prevent costly disruptions.
Analytics solutions will provide supply chain partners with key intelligence, such as accurate estimated time of arrivals, risk identification and avoidance, predictive modelling to anticipate supply chain changes, and insight into improved operational processes.
All things we’ve been doing for years at MIQ Logistics!
True supply chain end-to-end visibility will be achieved for the first time
Gartner predicts that there will be 25 billion sensor devices connected to the IoT by 2020.
Sensor technology is not new to the supply chain industry. Many organisations are already collecting data from enterprise systems, telematics devices, sensors, and real-time data feeds, such as weather and traffic.
Despite this vast collation, due to the varied formats and the vast quantity of data, companies experience challenges integrating real-time streaming data and historical data in order to make sense of and use the data effectively.
Due to the unprecedented availability of sensor-based data and other data sources, combined with advanced analytics solutions, data can be transformed into usable intelligence in order to provide true end-to-end visibility for the first time.
Massive streams of data and analytics give supply chain insights that will help make more informed decisions by simultaneously comparing real-time metrics with past results for more accurate forecasting.
Organisations will demand purpose-built applications
According to Business Continuity Institute, 78.6 per cent of organisations have inadequate visibility of their supply chains. Milestone visibility or toolkit approaches will no longer be enough.
The purpose-built analytics approach produces critical insights that will drive action across supply chains, as executives seek to know what happened, what will happen, and what should happen.
Greater focus on logistics efficiency and accuracy
Major trends in transportation have changed little over the past few years, with many challenges still existing around supply chain logistics planning, such as cross-docking and accurate estimated time of arrivals (ETA).
In continued efforts to address these challenges we anticipate that transportation companies will augment traditional transportation management systems (TMS) with sensor analytics technologies.
Sensor analytics technologies will provide companies with better visibility and deeper knowledge of their supply chain performance based on the collection and analysis of real-time and historical data. This will allow companies to leverage existing data from TMS, GPS, and other sensor devices to accurately predict ETAs, improve cross-docking initiatives and drive other efficiencies.
Partnering to improve the supply chain
Anticipate a continued focus on cost reductions through better cross docking and the use of multi-user, multi-category distribution centres.
Partnering provides a way to leverage the unique skills and expertise of each partner so that it mutually benefits both parties.
Through partnerships, companies enable highly competitive supply chains that yield benefits such as: increased market share, improved cross docking, less inventory, more accurate delivery times, and overall better service to customers.