IoT is redefining supply chain processes. It adds another layer of data in the supply chain via identity chips, cloud computing networks, sensors, analytics engines, and communication devices. The data gathered through IoT sensors enables businesses to optimize their supply chains, analyze customer behavior and become more responsive. Let’s explore the benefits and impact of IoT in supply chain.
According to Gartner by 2020, 26 billion Internet-connected “smart” devices will be installed to generate $300 billion. In another report, it concluded that there is a thirty-fold increase in internet-connected physical devices that will significantly alter supply chain operations.
Benefits of IoT in Supply Chain Processes
Enhanced Forecasting and Inventory
IoT sensors provide businesses with more accurate inventories than humans. IoT sensors enable businesses to track their inventory including the supplies they have in stock for future manufacturing. For instance, Amazon uses Wifi robots to scan QR codes on its items to track orders. The data gathered from IoT devices enables businesses to find trends for making manufacturing schedules more efficient.
We provide inventory management software development services to enable businesses to achieve operational efficiency. Our development services cover different aspects of inventory management including overseeing inventory storage, placing, and managing orders.
Enhanced Last-mile Delivery
Last-mile delivery is considered an important aspect of supply chain processes. A lot of researchers have explained how the delivery experience has a profound impact on increasing the chances of repeated orders. IoT in supply chain improves the last-mile delivery process by providing accurate information on products. With the upward and outward growth of a supply chain, it is critical that each carrier-right from shipping container to supplier delivery trucks be connected. IoT sensors gather supply chain data for faster and efficient delivery of products. Additionally, manufacturers use this gathered data to identify potential issues and detect changes in auto-delivery systems and truck routes.
We are a shipping software development company that handles freight quotes and ensures a smooth and efficient shipping experience.
Improved Asset Tracking
The standard method for managing goods throughout the supply chain was tracking numbers and barcodes. The advent of IoT sensors has changed the scenario. Businesses use new RFID and GPS sensors to track products, ‘from floor to store’. Manufacturers can use these sensors to gain insights into granular data including temperature at which an item was stored, the time spent in the cargo, and the time it took to reach its destination. Data gathered from IoT sensors enable businesses to get a tighter grip on quality control, product forecasting, and on-time deliveries.
Enhanced Predictive Maintenance
A breakdown in factory equipment or delivery trucks can cause a delay in delivery. IoT sensors installed in machines provide real-time information on the condition of the machine to analyze for whether a maintenance activity is required. Additionally, the data captured by IoT sensors enable businesses to prevent expenses incurred due to downtime of machines.
IoT in Retail and Manufacturing Supply Chains: Use Cases
* Food Retailers use IoT sensors to monitor the temperature and humidity of goods kept in storage chambers to ensure goods reach the retail markets in good condition.
* Manufacturers use IoT enabled cameras to detect defects and reject faulty products
* Farmers use IoT devices to monitor soil moisture and decide the ideal time to harvest
* The use of IoT in supply chain enables retailers to work with specialist logistics fleets to track products when they are routed to distribution centers.
* Chemical manufacturers use IoT sensors in the supply chain to monitor and trigger an alarm if the raw materials are exposed to high temperatures
Avail Benefits of IoT in Supply Chain with Oodles
In today’s scenario, the supply chain is not only about keeping track of products. Indeed, it is a way to gain an edge over competitors and even build your own brand. The traditional supply chain faces several challenges like high cost, delivery uncertainty, and vulnerable problems. IoT addresses these major challenges by building a smart and secure supply chain system.
At Oodles, we provide supply chain development services to improve the operational efficiency of businesses and increase visibility in supply chain processes. Our developers use IoT devices and smart machine learning algorithms to make supply chain operations seamless, eliminating third-party entities.
Talk to our ERP development team to avail of the benefits of our IoT integrated supply chain services.
To Read Next: Redefining Supply Chain Processes with AR/VR Technologies
