Lack of Understanding Technology is Halting Supply Chain Progress
There is a contradiction in supply chain technology adoption given that 62% of supply chain decision makers citing technology as a key driver for business growth, yet 45% are struggling to effectively implement these solutions in daily operations.
This is according to a new survey, Attitudes to Innovation, from TMX Transform.
Of the business leaders questioned, the majority are on board with technology in the supply chain. Three quarters have implemented innovative technology within their organisation and of these, four in five (80%) say their organization is set for growth in the upcoming year, compared with just under 3 in 5 (59%) who have not implemented new technology.
The most implemented tech solutions are:
- predictive analytics (62%)
- sustainable tech to reduce carbon footprints (59%)
- the Internet of Things (52%).
According to the data, predictive analysis has had the greatest impact on businesses, with 94% citing the technology has had a positive impact on their business.
When asked about the technologies that organisations have not implemented, but plan to, simulation/digital twins was the most common response, with 44% of respondents planning on adding the solution to their supply chain capability.
Yet 24% are unsure about AI/Machine Learning capabilities, while 60% are uncertain about what simulation/digital twins technology does.
Cost-savings and improved efficiency was the most common benefit that respondents attributed to technology investment, ahead of reduction in human error and manual processes, and the ability to react quickly to changing consumer expectations and demand.
“The results of this research demonstrate that technology is paramount in adapting to this new reality, where supply chain becomes a strategic business advantage to unlock customer satisfaction,” said Travis Erridge, TMX Transform CEO.” It is encouraging to see the positivity around innovation in the supply chain, but this report demonstrates the need for better education and support in adopting different solutions.”
