A number of changes have influenced the global supply chain network. They include changing customer expectations, introduction and adoption of new technologies, competition, and even the economy as a whole. Now, the customers have many advantages than they once were. They now have more choices for a single product. Therefore, the customers can expect better services or easier delivery.
As a result, businesses need to prepare themselves for the change in global supply chain network. Business leaders can find some innovative ways to influence and contribute to the supply chains. This way, they can take immediate actions to get more values.
How to Deal with the Change in Global Supply Chain Network
Shifting to digital supply network (DSN)
Smart leaders are using demand-driven supply chain. This is resulting from the integration of supplier and customer data into an interconnected network. Technology-enable network is a must. It is now one of the most important keys to competitive advantages. Digital supply network (DSN) enables a business to create a digital version of the physical supply chain.
The so-called digital twin works just like the physical supply chain but in digital version. This technology allows the managers to see and analyze the whole process of the business, the systems, and the situations. These enable them to make informed decisions and anticipate unnecessary incidents, which may lead to the business disruption.
The DSN technology works by taking advantages of some features like geospatial technologies to monitor and control the network assets, distribution sites, environmental patterns, buyer behaviors, and suppliers. Geospatial technology improves visibility and transparency throughout the supply chain, and eventually increases the operational efficiency.
Meeting the Growing Demand
Besides adoption of DSN, the businesses need to be creative and innovative in meeting the customers’ growing demand. The strategies may be related to delivery technology, automation, pricing, and even Internet of Things (IoT). The customers become the center of business strategies. The businesses make advantage of facilities like cloud platforms, real-time tracking system, driverless vehicles, drone deliveries, and many more.
These facilities produce real-time data, which can help the businesses to choose shorter routes. As a result, the delivery or logistic businesses, for instance, can cut the fuel costs, reduce the drivers’ working hours, and reduce the operational costs while meeting the customers demand in a faster way. New technologies make the global supply chain network shorter and easier.
Using Big Data
Digital technologies make the data flow more informatively into the organizations. Therefore, the businesses can access, visualize, analyze, and aggregate the data as fast as possible. Then, they can make informed decisions and predictions. Using big data means making advantages of Artificial Intelligence (AI) to predict the future and simulate how the future networks will work.
In conclusion, smart leaders should have been able t make proactive decision on both strategy and performance perspectives. They can deal with the changes in the global supply chain network by adopting relevant technologies and implementing the right strategies. If so, they can not only manage the changes but also contribute to them.