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Digital Supply Chain: New Trend

The quickly changing technological landscape and heightened customer expectations are causing organisations to revisit how they do business. Integrating the supply chain with digital technologies can lead to greater efficiency, flexibility and build resilience.

In recent decades the internet and significant improvements to transportation infrastructures has turned the world into one globalised international trade market. Not to mention the pandemic’s disruptive impact on global supply chains has heightened the need for organisations to focus on risk mitigation and increasing resiliency.

Traditional Supply Chain vs. Digital Supply Chain

Traditional supply chains are characterised as a linear process, where the steps follow one another like links in a chain. While supply chains integrated with digital technologies function in real-time where information flows in multiple directions, including from customers back to manufacturers.

Through supply chain digital transformation, procurement and supply chain professionals can make data-driven analyses and decisions, which in turn, enables them to develop proactive strategies. You might often here the the terms digitisation, digitalisation, and digital transformation are similar. They might sound the same but in reality, has different context:

  • Digitisation: Converting information into digital form. In other words, data.

  • Digitalisation: business activities around digital technologies. The focus here is on processes.

  • Digital Transformation: Developing strategies that include digitisation and digitalisation. Using digital technologies transforms how businesses operate.

Benefits of Digital Supply Chain

Improved Visibility Into The Supply Chain

Allows you to easily see a clear representation of what is going on inside your company in the different departments. By analysing this data, you can then determine the areas that need to improve performance and become more efficient.

Task Automation

It automates the complete process, thereby negating the inconvenience arising from traditional practices of doing things manually.

Reduced Costs

When a company uses the digital supply chain, it will make any necessary adjustments faster. This allows the company to have less capital tied up in the supply chain.

Access to Advanced Analytics

Allow you to make changes in both the physical and digital aspects of the supply chain.

Improve Supply Chain Management

Monitor real-time aspects of the different areas of the company. This is the only way that the company has to improve processes, identify better ways to move products, and do preventive maintenance.

Optimise Supply Chain Lead Times

Have better control over the supply chain. By making the right raw materials and production capacity available at the right time, efficiency increases.

Digitalisation affects practically every aspect of today’s business, including supply chain management and exerts pressure on businesses to digitise their processes. Companies are now adapting to the latest trends to fulfil the changing customer expectations and in addition, adopting a highly standardised and efficient supply chain system.

Though there are also some disadvantages, like an increased risk of cybersecurity and information leaks, the benefits of the digital supply chain are undoubtedly very high. It is not just about how technology will help the businesses reach new markets, it will help define new strategies to reach more customers.

Contact Image International Freight today to arrange a meeting our friendly Sales Team to discuss your supply chain requirements, call +61 2 9773 1378 OR email


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