The COVID-19 pandemic has caused unprecedented disturbance to supply chains around the world. The virus has severely impacted transportation, manufacturing and logistics as feels like a perpetual storm of disruption for the end customers.
Businesses have to navigate challenges such as supply shortages, delayed deliveries and increased costs. This is a matter of concern for organizations to cope with such a situation and deliver timely services to end users.
Companies need to use the momentum of the outbreak as an opportunity to redesign their supply chain. In this post-COVID world, companies are turning to IT to help them recover and adapt to a new normal.
Let’s understand the importance of IT for supply chain visibility and how it took great steps for the post-Covid recovery.
Effect of Covid-19 Pandemic on Disruption of Supply Chain
The covid 19 pandemic had a significant impact on the global supply chain
- Disturbed Transportation System
Many factories and production facilities around the world were forced to shut down which led to a reduction in the production of goods and created bottlenecks in the supply chain.
- Weak Inventory Management
Retailers and manufacturers have struggled to keep up with demand and maintain adequate inventory levels. The closure of factories and manufacturing plants caused production delays, which in turn affected the availability of goods and materials downstream.
- Labour Shortage
Labour shortages in various sectors including manufacturing and transportation have caused delays in production and delivery. This will adversely affect the growth of the organization to fulfil the customer’s demands.
- Less Fragile
Companies that relied heavily on a single source for raw materials or products found themselves in trouble when that source was disrupted. The pandemic has highlighted the need for companies to diversify their supply chains to minimize the risk of disruption.
Supply Chain Challenges
- The operations become more costly which represents the company’s highest costs.
- Inflexibility is another challenge that makes it hard to meet customers’ demands.
- Sustainability is the issue as customers and stakeholders expect the supply chain to be environmentally & socially responsible.
- High dependency on the human workforce.
- Inefficient communication & collaboration cause delays, errors and inefficiencies.
Proper Planning of Supply Chain Management
Planners need to address key issues like supply shortages, inventory placement challenges, demand drops, and productivity. They need to make decisions based on real-time information to modify organizational growth in a tough time.
Choose the priorities first for immediate action. Companies can use challenging periods like when investments are needed, evolve the supply chain planning and reposition the organization for growth.
Takeaways of IT for Empowering Supply Chain Recovery
The pandemic has highlighted the critical role that technology can play in enabling supply chain resilience. Here we discussed some pain points. Let’s understand.
- Digitization of Processes
Digitalization has been a game-changer in the supply chain industry, and the pandemic has accelerated this trend. By implementing digital tools, companies can gain real-time visibility into their supply chain operations, improve forecasting accuracy, and streamline communication with suppliers and customers.
- Predictive Analytics
This uses machine learning algorithms to analyze data and forecast future trends. By leveraging predictive analytics, companies can anticipate disruptions and adapt their supply chain operations accordingly.
- Robotics and Automation
By using robots and automated systems, companies can reduce their reliance on human labour, which can help maintain social distancing requirements and reduce the risk of infection. It can also improve efficiency and productivity, reducing costs and improving customer service.
- Cloud computing
A secure and reliable way to manage data and applications, which is critical for supply chain operations. Cloud become a popular solution for businesses seeking greater flexibility and scalability as reduces IT infrastructure costs and increases responsiveness.
It has the potential to transform the supply chain industry by providing greater transparency, traceability, and accountability. Companies can create a decentralized ledger that tracks every transaction in the supply chain, from raw materials to finished products.
Automate your Supply Chain Management With our Technology Experts
As Covid 19 pandemic has impacted every industry throughout the world during the past year. Software providers are utilizing advanced technology to create efficiencies within the supply chain processes of product creation, distribution and return.
We achieve excellence in delivering over 50+ projects for global clients who are dealing in Logistics & Transportation, Marine domains. Our In-house expertise helps clients gather key requirements and propose the best possible solution to overcome business problems.
Our technology experts deliver top transportation services that include traffic management systems, port management, and Emergency and Non-Emergency transportation management systems (Ambulance services tracking and transportation) to achieve great success in delivery.
We also utilized automated software development solutions to reduce expenses and provide secure delivery i.e Courier management, order management and real-time food ordering apps.
To make the delivery faster and smooth, we also integrated a fright management system, voyage planning, fleet management, marine shipping and review/rating system in our solutions for better outcomes.
Connect with our dedicated team to get reliable SCM services.
In a post-Covid world, IT has been playing a significant role in the recovery of the supply chain industry. With the use of technology, businesses have been able to enhance their supply chain management by increasing visibility, reducing risks, and improving agility.
Our technology experts will help you get the services and make your supply chain business more appropriate and accessible.