Question

How has technology has greatly affected managing an international supply chain.

Answer 1

SCM or Supply Chain Management is the management of relationship networks that hold their places between a business organization/company and other business units and interdependent organizations. The networks are created for material supplies, production supplies, purchasing, marketing, logistics, and other related materials and functions. These systems, networks, and relationships provide for both forward and reverse flow of materials and information, finances, and services from the producer to the customer. Supply chain management also aims to add value, reduce wastage and errors, achieve better customer satisfaction and reduce costs.

Technology has benefited supply chain management in both the short and long term. Technological innovations may also help in the making of more accurate delivery systems and for devising the real-time tracking systems. Handheld, mobile, and wireless technology are being used by the transportation and logistics services actively for improving accuracy and efficiency. Technology also helps in fulfilling customer demands as supply chains become expedited and accurate and the supply systems possess increased visibility and accountability, all to the satisfaction of customers.

Sharing of Information

Sharing of information through the information technology systems (aided by technologies including GPS) is much more convenient and faster now. The information here may relate to resources, inventory, demands, products, planning information and delays. The information may also include data relating to logistics, quality, customer, and market information. Thus, the use of technology aids reduction in costs, better customer responsiveness, lower complexity levels, and better service level, which are also the goals of management and managers.

Better Transparency and Efficiency

Automated systems are faster, accurate and efficient at data capture and transfer. For instance, mobile devices (handheld or otherwise) used for supply chain operations can monitor transportations in real-time and can also provide for the generation of wireless delivery proofs. This helps the managers discover and address the problems and anomalies in operations or customer relationship management software to provide for better identification of bottlenecks, which are subsequently removed.

The RFID or Radiofrequency Identification technology can be used for capturing data and for identification. RFID tags can be attached to all kinds of items including inventories and products. Real-time access to the location of all kinds of materials also increases transparency, reduces labor costs and errors, and streamlines the processes, making the task of supply chain managers easier.

Focusing on the Employees

It is now easy to pair the handheld devices and mobiles to employees, mobile interfaces and proprietary programs to improve employee accountability while also helping in the accurate tracking of freight. Managers can now hence monitor employees from anywhere, which results in better efficiency of the workforce. The data is also gathered in real-time, and hence decision making is more flexible, faster and more accurate.

Communication

Mobiles and smartphones provide for real-time communications and some devices are also being made keeping in mind the supply chain and other operational demands of businesses. Managers can now be in touch with the processes and the employees on the go as well and can also be aware of customer feedbacks on delivery, at the very same time. Fast communication hence also provides for delivery, tracking, and feedback. Real-time information transfer provides for efficient deliveries, and technology systems can be used to enhance customer satisfaction. Managers also want to tune their supply chain to bring more happiness to customers, which helps in better customer retention prospects, and improved loyalty and market strength.

New technologies including internet-of-things help businesses get data on a range of subjects, which in turn generates valuable insights and aids decision making. The new technologies also provide for fleet management, route optimization, employee tracking and help companies bring out the best in their employees while keeping the state of the fleet in ideal conditions, among many other benefits for the management and business.