Making the transition to a digital supply chain system
28.02.2023 | 10 min read
The current business world is more technology-driven than ever before. From SMEs to large organisations, we see them adopting digital tools to make their operations more efficient, instead of relying on outdated legacy systems.
More companies are choosing digital supply chain systems, but why? Here we will discuss how implementing a digital solution could be the transformative step your business needs to improve scalability and longevity.
Step aside, dated legacy systems
Legacy-based supply chain strategies have had their moment, but in this high consumer-demand industry, doing things manually can be inefficient and costly. Although some businesses may not benefit from a digital transformation, for others, there is a greater potential for errors if they choose to stick to legacy systems.
There is an increased risk of mistakes when manually populating data in these legacy systems, which can slow business growth. In general, manual management of supply chain systems is labour-intensive.
For example, paper-based processes make it difficult to increase operations quickly or multiply processes. You will need employees to manually sign documents, physically check numbers without error, and pass those on to multiple people, which is time-consuming. Compared to businesses with digital alternatives that utilise electronic signatures and limit faults.
Additionally, paper processes require a significant amount of physical storage space that may not be feasible for larger businesses. Not only will paper take up space, but the number of resources can also have environmental implications, as more materials are being used compared to digital solutions. expenses.
Embracing software technologies for supply chain management
To preserve your business documents, from finance records to employee contracts, you will need to transfer those to a cloud-based software system. Cloud storage is a cost-effective way to store information used in supply chain management.
Not only does it create an efficient and organised means of holding data, but it also provides quick and easy access when necessary. Digital storage also allows for better backup solutions in the event of lost or corrupted data.
It increases data security, providing enhanced network protection measures against cyber threats and fraud. As a result, businesses can trust that their sensitive data is safe.
Benefits of digital supply chain - business improvements
Digital business processes are needed in supply chain industry developments. They provide several advantages to help speed up operations in every aspect of their distribution models. So if you decide to apply these digital transformational changes to your company, you will see a more streamlined model. From how you track inventory, manage orders, and connect different parts of the supply chain.
Using digital systems also makes it easier to detect potential problems and take preventative measures that can save costs in the long run. For example, if a cost value has been inputted incorrectly, due to human error, this can be spotted immediately and changed. This efficiency helps businesses maintain a competitive advantage and maximise their clarity of profit margins.
Additionally, companies that move to digital solutions will become more agile and quickly adapt to changes in consumer demands and market conditions within the supply chain. There will be better inventory management, simplified logistics operations and an increase in customer service satisfaction.
So if one of your business goals is to add transparency and visibility to each stage of your supply chain production, digital software is the way to go. Your data and analytics will be seamlessly tracked from one end of the supply chain to the other, ensuring quality, safety, and compliance standards are met across the board.
Successfully transition to software systems
If you are considering moving from legacy systems to digital software solutions in your supply chain, it requires a comprehensive plan. Typically, the process starts by assessing your current systems and all of its processes. Data will then be gathered from the detailed information existing in your databases or applications.
After thoroughly understanding your processes, a strategy will be developed for transporting the data, services and applications to a more digital-focused platform. As part of this, proper security protocols must be put in place to safeguard the transition.
Additionally, you will need to have every employee onboard with the changes (at least the majority). Proper training and support of staff needs to be provided throughout the entire transitional process to ensure the successful adoption and use of the new technology.
You can include someone from each sector of the supply chain to collaborate. And as you begin developing a transitional plan for digital solutions, clear objectives and milestones will be created to ensure all goals are met. Sorair will help you curate this as the catalyst to execute those digital changes.
Explore the future of a digital supply chain with Sorair
The future of the supply chain relies on digital solutions. Providing collaborative opportunities for everyone in the workplace, enabling better tracking of goods, improved order management processes, and more efficient execution of logistics operations is Sorair’s specialty.
We offer greater visibility and automation of end-to-end supply chain processes, allowing for improved communication between employees, stakeholders and consumers.
And why stop there? Stop by Sorair's stall at the Retail Supply Chain and Logistics EXPO on February 28th in London Excel and meet our team. You can learn more about our autonomous delivery systems and digital solutions and get a first-hand look into what we do.
