Four obstacles to the digitalization of the supply chain

02. Identify the organizational roadblocks impacting planning

A company’s ability to adopt the most efficient new technology to manage supply chain function can be hampered by many limiting factors, from the availability of adequate finance to receiving the green light from the C-suite.

Many are still running legacy on-premises solutions, and this will have a major bearing on how fast new processes and solutions can be implemented, with it being much easier to do when running cloud-based infrastructure

Another major constraint is the existing workforce’s skills, knowledge, and vision.

But developing new products, new value propositions and new ways of working for a simpler and more streamlined digitalized supply chain operation - with real-time data at its heart - is certainly time critical.

Jason VanDeven, Head of Global Supply Chain at Northrop Grumman AOX, suggests using a bulleted list of simple questions to break through the blockages and deliver meaningful change.

“How do we simplify our supply chain with less connections, less processes and less paperwork?” he says. “We want to reduce our inventory burden. There’s a digital way to do that. How do we accurately forecast and plan? How do we continually improve? That's the key.”

How do we simplify our supply chain with less connections, less processes and less paperwork? We want to reduce our inventory burden. There’s a digital way to do that. How do we accurately forecast and plan? How do we continually improve? That's the key.

Jason VanDeven,

Head of Global Supply Chain,

Northrop Grumman AOX

Next: 03. Too many pockets stifle long-term innovation

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