An efficient supply chain has become a competitive weapon in this digitally transforming economy. It continues to undergo unparalleled levels of change in terms of productivity, quality, and service. Advanced supply chain capabilities can support effective current business approaches to accelerate the sales cycle and drive growth. Read this article to explore the key supply chain trends in 2020. The adoption of these supply chain trends will enable businesses to improve their supply chain efficiency.
At Oodles, we provide logistics and supply chain software development services that enable businesses to track their inventory updates in real-time, simplify freight operations, reduce workforce costs and plan and manage transportation processes. Our developers use emerging next-gen technologies trends like predictive analytics, Robotics, IoT and AI to accelerate supply chain processes.
Key Supply Chain Trends to Witness in 2020
Artificial Intelligence (AI) in Supply Chain
One of the major supply chain trends is the integration of AI in supply chain processes. Market research firm IDC predicts by 2020, 50% of mature supply chains will use advanced analytics and AI for planning, eliminating sole reliance on short-term demand forecast.
Logistics industries have already been integrating AI solutions like route planning, demand planning, and intelligent transportation.. Shippers, suppliers, and consumers will continue taking the benefits of these logistics trends in 2020. Enterprises can use AI to analyze the patterns of their supply chain operations and predict possible outcomes of future scenarios.
Along with AI, the use of augmented intelligence is also expected to spike. Gartner predicts by 2021, augmented intelligence will create $2.9 trillion of business value and lead to an increase of 6.2 billion hours of employee productivity. AI technology will enable logistics professionals to do their job efficiently while reducing errors.
Robotics in Supply Chain
RPA technologies including autonomous bots and drone aircraft are presenting promising opportunities for improvement across the supply chain in 2020. According to IDC manufacturing insights, by 2023, 60% of the manufacturers will invest in AI integrated RPA to automate tasks and address supply chain deficit.
Let’s explore how autonomous bots will bring innovation in the supply chain and deliver significant value:
* Improves the speed and accuracy of warehousing and manufacturing operations
* Provide labor and utilizing the stability
* Optimize picking, sorting and storing process
* Increases employee productivity and reduces the error rate
Autonomous bots will be omnipresent in the supply chain of the future as advancements will make them operate with more human-like abilities. For instance, improvements in the haptic (touch) sensors will enable robots to grasp objects ranging from multi-surfaced metal assembly parts to fragile eggshells.
We use RPA to automate redundant manual tasks and reduce errors using the UI path. UI path is an RPA tool that is used for windows desktop automation. It eliminates human intervention and converts tedious tasks into simpler tasks. It is simple to use and comes with a drag and drop functionality of activities.
Internet of Things (IoT) in Supply Chain
According to Gartner’s report, by 2020 more than 50% of business processes will incorporate some form of IoT. Businesses will be using IoT technologies not only to ensure efficient supply chain operations but to gain also to gain an edge over their competitors. They will use IoT sensors for gaining detailed visibility of items in transit and cloud platforms to optimize load dispatching and fleet management.
Inventory Flow Optimization
Inventory is a critical aspect of the supply chain. Overstock of inventory leads to waste of capital, maintenance and other costs related to storage space. Similarly, too little inventory can lead to missed sales. Visibility with regard to inventory-related data is essential for an efficient supply chain process.
At Oodles, we use Frepple to anticipate your supply requirements. Our developers plan inventory for businesses by computing safety stocks, reordering frequencies and quantities based on inventory policies.
Developing, manufacturing and selling a product can be challenging for an organization if their supply chain process lacks visibility and transparency. An inefficient supply chain can negatively impact every aspect of an organization. These key supply chain trends will enable businesses to re-evaluate their current supply chain processes. Developers at Oodles ERP use emerging technologies like IoT, AI, robotics and blockchain for an efficient and transparent supply chain.
At Oodles, we provide supply chain software development services to increase supply chain visibility and productivity. Our developers create comprehensive and flexible software solutions to enhance delivery capacity and automate procurement management.
If you are planning to increase the operational efficiency of your supply chain, connect with our ERP development team for effective assistance.