Supply chain stakeholders are entrusted with implementing comprehensive supply chain solutions, which comprise multiple processes. Many focus their initial IoT-powered supply chain initiatives on addressing pain points or providing incremental advantages.
FREMONT, CA: The evolution of new digital technology has a positive impact on the supply chain's performance. Warehouses are vital parts of the supply chain, and they are used to store products and manage the inventory level. A sound warehouse management system can lead to cost reduction and improved customer satisfaction. Conventional warehouse management models are less efficient and unsuitable for today's increasing market demands. For the past few years, a new approach is emerging for supply chain management by utilizing the Internet of Things (IoT). IoT-powered solutions help improve key processes throughout supply chains. Many enterprises introduce IoT into the supply chain by focusing on specific processes, including fleet management, inventory or warehouse management, cold chain monitoring, and track-and-trace applications. A range of strategic and environmental factors are driving IoT-powered supply chain process momentum.
One of the key factors that drives the demand for IoT-enabled supply chain enhancement is to address supply chain weaknesses exposed by the COVID-19 pandemic. Before the pandemic, many firms implemented a lean supply chain, which prioritized cost reduction and minimized global product inventory buffers. The pandemic has exposed vulnerabilities in the lean supply chain approach, forcing organizations to increase local inventory levels and diversify their suppliers. Firms today are deploying integrated supply networks, which offer organizations real-time insight across the entire supply network and give stakeholders the flexibility to address unforeseen disruptions.
Each organization must assess gaps and hurdles within its supply chain process. The particular supply chain challenge often differs by vertical. Enterprises must improve customer experience continuously. CX's quality depends on the digital supply chain's effectiveness in managing supplier and fulfillment partnerships to meet anticipated customer demand and willingness to pay.
A growing number of IoT solutions manage supplies and inventory within warehouses and across a company's operations. SAP, Zen Consulting Services, Acres Group, and Cloudleaf are some of the leading providers delivering innovative IoT –enabled supply chain management solutions for organizations this year. Inventory or warehouse management solutions, GPS fleet tracking, and track-and-trace solutions are top among the IoT-powered supply chain management solutions. With all these, it can be concluded that IoT touches every aspect of the modern supply chain, providing a significant ability for enhancements in efficiency, visibility, and flexibility.