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IoT in Supply Chain Management

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Subjected to copyrights @Dyna4Cast Technologies 2022

Industry 4.0, when applied to supply chain management, refers to the integration of new technologies with existing ones to create a more efficient, optimized and streamlined process. This means taking advantage of the latest innovations, such as robotics, big data analysis, AI, and IoT, to improve visibility, decision making, and response times in the supply chain.

The main goals of Industry 4.0 in supply chain management are to reduce costs, improve operational efficiency, and achieve a higher level of visibility and control. It also offers greater accuracy, meaning better predictions for purchases, sales, and inventory management.

By using advanced analytics and predictive models, Industry 4.0 helps businesses make informed decisions and create better supply chain strategies. This is combined with improved monitoring and control of the entire process, which makes it easier to anticipate and react to unexpected changes quickly and effectively. Ultimately, this leads to a more competitive and profitable business.

IoT in Supply chain contingency Planning

The Internet of Things (IoT) plays an important role in supply chain contingency planning. IoT-enabled sensors provide visibility into the movement of goods and the performance of components in the supply chain, as well as real-time alerts and notifications on disruptions. This helps businesses anticipate potential disruptions and create alternative plans to protect their operations.

Here are some of the benefits of leveraging the power of IoT in supply chain contingency planning:

Accurate inventory tracking – IoT-enabled sensors can provide accurate inventory tracking throughout the supply chain, giving businesses early warning of potential disruptions.
Automation – By automating processes and tasks in the supply chain, businesses can save time and reduce costs. • Real-time alerts – IoT-enabled sensors can alert businesses to sudden changes in the environment that could disrupt the transport of goods.
Improved customer service – With better visibility of the supply chain, businesses can quickly adjust to disruptions and continue providing customers with their desired products promptly

What it can bring to businesses?

The benefits of Industry 4.0 in supply chain management can be profound for businesses. Here are some of the advantages it can bring:

1. Increased Efficiency: Automation and AI-driven technologies allow supply chain teams to maximize efficiency and save time.
2. Improved Tracking: With improved visibility, companies can better track and monitor every stage of the supply chain process. This helps reduce the risk of costly delays due to errors.
3. Reduced Costs: By utilizing advanced analytics and predictive models, companies can improve their decision-making to reduce costs.

4. Real-Time Decision Making: Companies can quickly respond to market dynamics and make real-time decisions with greater accuracy.
5. Improved Productivity: Automation and AI technologies can help companies increase their productivity as tasks can be automated and completed faster.

By combining the latest technologies and machine learning models, businesses can realize significant savings and achieve greater success.

The Future of Industry 4.0 in supply chain management

Industry 4.0 technologies are still relatively new and companies are only just beginning to take advantage of their potential. As the technology continues to evolve, companies will be able to use it to become more efficient, cost-effective, and responsive to customer needs. Some of the areas where the technology can be used in the future include predictive analytics, autonomous robots, advanced analytics, and blockchain technology. By harnessing and leveraging these technologies, companies can create a more efficient, dynamic, and competitive supply chain.

In the future, supply chain management will be much more automated and data-driven. Companies will no longer need to rely on manual processes and will be able to quickly process, analyze, and act on data. The result will be a more effective, efficient, and responsive supply chain. Companies that invest in technology and prepare to embrace it will be best placed to succeed in the long term.

D4C, by implementing Industry 4.0 solutions, helps Supply chain companies to,

  • Track the goods in real time.

  • Track the fleet & monitor the condition of transporting vehicles in real time.  

  • Come up with a better contingency plan. 

  • Make decisions faster. 

  • Deliver goods on time. 

  • Do process performance analysis etc.,

Conclusion

The Internet of Things has the potential to revolutionize supply chain operations by reducing costs, improving efficiency, and providing customers with real-time notifications. In addition to these benefits, IoT can also help with supply chain contingency planning. With virtual sensors and smart devices, businesses can monitor the performance of their supply chain in real-time and take proactive steps to minimize disruption.

By leveraging the Internet of Things, businesses can optimize their supply chains and increase their competitiveness. As technology continues to evolve and become more accessible, more businesses will likely take up the opportunities and benefits it can bring. Until then, it is important to remain vigilant and prepared by implementing contingency plans before a problem arises

References

[1] “Impact of Internet of Things (IoT) on Supply Chain Management,” Digiteum, 22 5 2021. [Online]. Available: https://www.digiteum.com/iot-supply-chain/.
[2] E. H. Z. B. Mohamed Ben-Daya, “Internet of things and supply chain management: a literature review,” International journal of production research, vol. 57, no. 2019, 2017.
[3] Andrew Meola, “How AI and IoT devices will revolutionize supply chain logistics and management in 2022,” Insider Intelligence, 15 April 2022. [Online]. Available: https://www.insiderintelligence.com/insights/iot-supplychain-management-logistics/.
[4] “IoT in Supply chain Management,” Infosys BPM, [Online]. Available: https://www.infosysbpm.com/blogs/supply-chain/internet-of-things-supply-chain.html.
[5] Charlie Steer-Stephenson, “Improving supply chain management with IoT technology,” Supply Chain Digital, 15 August 2022. [Online]. Available: https://supplychaindigital.com/digital-supply-chain/improving-supply-chainmanagement-with-iot-technology.

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