At the start of the COVID-19 pandemic, places all over the world were locked down. Many jobs could be done temporarily or permanently from home, but a lot of manufacturing and factory jobs couldn't. When these factories were closed for weeks or months at a time, important parts and equipment could not be shipped to customers all over the world. This was the start of problems with the supply chain that haven't been fixed yet, and it's been more than two and a half years.
Mckinsey did a survey of supply chain leaders and found that
- 85 percent had trouble with not having enough digital technology in their supply chain,
- 73 percent had problems with their supplier footprint that would need to be fixed in the future,
- and 48 percent had trouble making plans because they had people working from home.
All of this shows that organizations need to digitize procurement in order to save money and make the procurement process more flexible.
Soon, customers will get sick of hearing about pandemics as the cause of supply chain problems and will just want companies to figure it out and do what they said they would do, which is where cloud solutions can be leveraged.
How Can A Cloud-Based Solution Transform Supply Chain Management?
- Cloud helps organizations improve their supply chain processes at every step, from planning and sourcing to manufacturing, logistics, and distribution. It also gives them new information to help them make decisions and automate tasks. It helps make supply chains stronger and smarter.
- Cloud makes it possible for a supply chain to be connected, smart, scalable, and fast. This gives businesses more visibility, resilience, agility, and flexibility than ever before.
- Cloud computing can change supply chains by using data analytics, mobile apps, and social media to help companies get the most out of important market trends that are changing the way traditional supply chain networks work.
- Cloud computing can help make it easier to deal with problems in the supply chain, such as volatility, which has gotten worse in recent years.
- Cloud computing can also help unlock the value of data in supply chains.
- Cloud-based solutions let companies use the large amount of internal and external data in their ecosystem to get insights that they can act on. This makes their supply chain networks smart.
- Cloud-based solutions can be used a lot in industrial supply chains to manage both data and human resources and bring technology and people together. This makes it easier for an industrial business to change its products and services to fit the needs of its customers. The most important thing for any supply chain is, of course, end-to-end visibility, which means that customers can see everything in real time.
A New Way Of Managing Supply Chain
Businesses and supply chains, as well as digital technologies like cloud computing, need to be combined into a digital supply network. This can be done by combining physical cargo flows with human resources, finances, and data.
- Businesses all over the world have realized that they can improve their efficiency and make more money by using cloud-based solutions in their supply chain strategies and activities.
- To take advantage of the possible benefits of cloud SCM solutions and services, many companies are strategically growing and expanding their networks in APAC, MEA, and Latin America.
- Inventory and warehouse management solutions are becoming more popular than other solutions because they make it easier to control inventory, handle complex and large amounts of data, and depend less on warehouse staff.
Cloud Computing Can Give Your Business a Competitive Advantage
Cloud computing applications give important information like schedules for picking up and delivering cargo, how well a vendor is doing, and how much equipment is being used. They also automate a number of time-consuming manual tasks. This automation gets rid of billing mistakes, speeds up processes, and gives managers access to important information about supply chains, so they can make better decisions based on facts.
Cloud-based solutions offer competitive advantages like real-time visibility, data insights, flexibility and agility, and the ability to grow. Intelligent digital supply chain networks have never before been able to be changed by cloud-based solutions in real time. Companies that use this advantage to connect easily with their customers, suppliers, service providers, and other stakeholders in the ecosystem can gain a competitive edge.
Many people still think that the main benefit of the supply chain cloud is that it saves money, which is true. The main reason companies told us they moved their supply chains to the cloud was to save money. But saving money is just the start.
The cloud makes things faster, more flexible, bigger, and easier to see. The cloud makes it easy for companies to change their computing resources quickly. It cuts down on the time and money needed to build and deploy new apps. It helps companies work with a whole new set of players. And it gives you the information you need to make decisions faster and with more knowledge. So, companies can plan for and predict changes and risks in the market and across the supply network. They can also design, make, and deliver custom products and services to keep customers coming back.
Lastly, the cloud helps make supply networks more responsible and environmentally friendly. It helps companies use new technologies to reduce the environmental impact of their supply networks, make better use of their resources, comply more with regulations, and reduce risks. With the cloud, businesses can keep track of how well they are doing and make decisions based on a balanced view. They can think about growth, making money, being sustainable, and being different at the same time.
Benefits of Cloud Computing:
Cloud computing tools have multiple strategic advantages over on-premises solutions for supply chain managers, such as:
- Quick deployment
- Faster ROI
- Regular upgrades/updates
- More accessibility
- Better connections
- Less money spent on capital
- Flexible implementation
Why Definity First
Making a cloud-based supply network is an ambitious goal. It needs to be done in a structured and disciplined way. Every company will start from a different place and use a different method. Leaders in the supply chain need to know where their organization is on a scale of cloud maturity and what they need to do to move forward.
Definity First has seen the sharp rise in the number of customers who use the cloud. We're happy to offer cloud solutions and services that can help your business grow with new features and strong security to keep your most important data safe. There are a lot of different combinations that can be changed to fit the needs of your organization. If you want to know more about what we offer in the cloud, please get in touch with us.
