How the future supply chain will be affected by some major factors?

By ridhigrg | Jan 11, 2019 | 1281 Views

For the technology and social changes, the supply chain leaders must invest for keeping up with it. In the upcoming years, there will be some workers who will be prepared for the task to support nonworkers population which is growing and the supply of labor will be shifted to the regions of the world which are undeveloped that have less educational and technical skills.  For preparing the organization, the leaders of the supply chain wanted to make the accurate decisions of the business and invest in the leading and effective technology.
 The ultimate task understanding the trends and the impacts for the leaders of the supply chain which are responsible for knowing and placing the strategies for building the accurate capabilities. It is expected that there will a great transformation in the supply chain in the future. And supply chains will have the capability of self-working and exact actions will be taken which will increase the ability of humans more than it is today. 
Supply chain leaders should be aware and actions should be taken for capitalizing the opportunities which are upcoming. There are four factors which will impact the future supply chain.

Factor 1: The labor supply is shrinking
In 2012 the proportion of the population growth of the people who are non-working became higher than the population which is working. Through this trend, there will be a huge impact on the talent of supply chain planning. It is necessary to have some programs for attracting and binding talents. Digital dexterity is the leading skill for future of supply chain workforce. The capability of adapting the advanced technology will increase and advance analytics and artificial intelligence will be used for making the decisions will be crucial in the environment which is automated. And the outcome will be that digital dexterity will become an important part for every program of the supply chain.

Factor 2: Machines are intelligent
The potential of artificial intelligence will be changed in the upcoming year, especially for the cases of the supply chain which are demand planning and the process of order to cash. Machine learning is used by the supply chain leaders for sensing the daily demand of customers and the daily tasks.
Factor 3: Virtual is the new reality
The products which are 3D digital such as the 3D printing enables the production on demand and personalization. And the beverage industry uses imaging technology for understanding the out of stock and the retail conditions. These two are the examples of virtual capabilities which will have a huge impact on the supply chain. Then comes the digital twin which will create a digital representation, of the characteristics process. For the experiment and modeling, digital twins are perfect.

Factor 4: Circular is the mainstream economy
Supply chain leaders have to embrace an economy of circular in which we return the used product and then it is recycled and then reused for some purpose. The ultimate goal is delivering the value to the customer with minimum waste. For the automated fashion, using technologies like digital twins and artificial intelligence will help you to enable the supply chain for executing against the principles of circular economy.

Source: HOB