Every step in the supply chain generates data that can help you as an organisation predict better and be sharper on the ball. Moreover, the supply chain is 80 per cent constant. This means that with automation based on that data, a lot of costs can be saved. Digitalisation in supply chain management is therefore the logical next step.
Customer data and Internet of Things
Dutch Railways, for example, uses the Internet of Things for preventive maintenance. NS locomotives are hung full of sensors that generate data based on which predicts when a component will break down. From that, a date rolls up that tells when the locomotive needs servicing. Supermarkets, for their part, have discovered digital consumer data. Based on that, they can predict customer buying behaviour much more accurately and reliably than before.
Looking for applications
The ongoing digital transformation is making organisations realise that they can benefit from data, some of which they already have in-house. Consequently, many companies are looking for applications. Data scientists and visualisations experts are being recruited and the systems landscape is changing. ERP, not so long ago the magic word in supply chain management, is getting competition from Artificial Intelligence and Machine Learning.
Start digitising now
Precisely because 80 per cent of the supply chain can be automated, it is important to move towards digitisation now. Otherwise, it will be too late. As a supply chain manager, you need to be able to take the time to think about it and try things out to find out how the information coming from digital data can improve your supply chain.
The right vision
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Getting started with supply chain digitisation means investing in capacity, systems, processes as well as the right vision. This can only be done with people who are knowledgeable, who understand how it works and can distinguish between facts and fables. Too often, however, 'fear of missing out' is the driving force.
Digitalisation in service of the supply chain
But, digitalisation may be hype, but it is as much about making decisions in the service of supply chain improvement as anything else. 'How should we shape digital transformation to be sharper on the ball and better at forecasting? And, how much sharper on the ball do we actually need to be? Investing in tools like Big Data, Data Analytics, Machine Learning and Artifical Intelligence does not stand alone, there has to be a vision behind it. Developing that vision and implementing it step by step is probably the biggest challenge of supply chain digitisation.
Exploring supply chain digital transformation?
With the modules Planning, Life Cycle Management and Digital Transformation, the Executive Master of Operations and Supply Chain Management programme at TIAS School for Business and Society responds to the possibilities of digitalisation in logistics. This will prepare you optimally for the digital transformation currently underway in your field. Read in the online brochure what this part-time master's programme can do for you and your organisation.
