Four obstacles to the digitalization of the supply chain

01. Understand what supply chain digital transformation means

It sounds a simple term but ask a selection of supply chain experts and you will get many different answers and definitions as to what digital transformation actually means in their own individual circumstances.

But we do already know Supply Chain 4.0 is ultimately about improving performance through intelligent automation, while integrating connected applications and systems that will remove many repetitive and human-tasked supply chain processes.

There is also a key role for smart sensors amid the wider push towards an Industrial Internet of Things (IIoT), helping companies adapt and react much faster to market forces and global demand changes thanks to increased real-time data flows.

Håvard Jörgensen, Vice President Global Supply Chain at Electrolux, suggests this transformational shift forward is imperative. He argues that the technological tools to offer visibility across all connecting system elements must be brought in so companies can prepare the right analytics for the strongest and quickest decision-making.

“Digitalization is urgent, both to get the foundations in place, but even more so to now speed up aspects around collaboration with suppliers and the visibility of flows, ERP or integrated business planning aspects,” he says. “The urgency is rising on the corporate agenda.”

Digitalisation is becoming much more urgent, both to get the foundations in place, but even more so to now speed up aspects around collaboration with suppliers and the visibility of flows, ERP or integrated business planning aspects. The urgency is rising on the corporate agenda.

Håvard Jörgensen,

Vice President Global Supply Chain,

Electrolux

Next: 02. Identify the organizational roadblocks impacting planning

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