What is supply chain planning ?
Benefits of supply chain management
Enterprise asset management systems and predictive maintenance help machines and systems run more efficiently. This can fix bottlenecks, improve workflows, and boost productivity. Automated processes and responsive data analysis also mean faster shipping and delivery times.
Reduced supply chain costs
The use of predictive analytics helps eliminate costly “guesstimating,” which reduces wasteful stockpiles and risky shortages. IoT lets existing assets become more responsive and deliver the most efficient and useful workflows possible for every situation. This also delivers more accurate forecasting to help reduce half-full delivery trucks, uncoordinated delivery routes, and inefficient fleet management.
Greater supply chain agility and resiliency
Trends and market shifts can happen suddenly, so it’s important to be adaptive and have resilient SCM systems in place that have the agility to adapt to any situation. Real-time data and smart insights can help supply chain managers re-allocate machines and staff into better workflows. Customer feedback can be heard and acted upon right away. Virtual inventories and smart warehouse processes keep supply and demand aligned.
Improved product quality
Linking customer feedback directly to R&D teams means that product design and development are fully informed by customer needs. R&D and manufacturing teams can use the insights from machine learning and analytics to respond to customer trends and wishes with meaningful product design improvements.
Better customer service
The best SCM practices are customer-centric and designed to be responsive and adaptive. With the competition only a click away, modern SCM allows companies to implement customer feedback and trends all the way from the design and manufacturing stage through to last-mile logistics, delivery, and returns.
Source: SAP insights