Digitized Supply Chain: Why does it matter to your Manufacturing Industry?

 Digitization is a key value proposition that companies can use to grow and thrive in today's manufacturing sector. Many manufacturing companies don’t understand the concept of a digitized supply network. Is it simply the swapping of outdated technology for newer and more advanced technological platforms in a digitalized supply chain? Are you merely creating a network of systems and solutions that can communicate with one another? It is a complete re-design of supply chain management in order to optimize processes and streamline production strategies.

The digital supply chain relies on integrated, intelligent solutions without any human intervention. A digitized supply is a holistic reimagining of how manufacturing companies manage their supply chains from procurement to production to customer's door.

Let’s find out the more about the digital supply chain and its benefit in a global marketplace:

Digital Supply Chain and its benefits:

Once we have defined the digital supply chain, it is possible to examine and comprehend the tangible benefits that manufacturing companies can enjoy by fully digitizing their supply networks. While growth and increased productivity are key outcomes, there are many other benefits, such as:

Holistic Integration of Supply Chain Solutions: Companies often use multiple planning, production and reporting/data management tools simultaneously, due to the complexity of today's automotive supply chains. A top-to bottom approach is required to create a digital supply chain strategy that includes all applications. The word holistic is important because companies need to view production and planning as part of the overall goal, not as distinct functions.

Better communication and collaboration: We have already mentioned that digitizing the supply chain is an important step towards eliminating organisational communication structure. The digitization of the supply chain will allow major players to collaborate and share data. This will ensure no disruptions or other problems in the workflow. A digitized supply stream is built partly on a central hub for data storage with multiple access points. This means that people in the supply stream no longer have to wait days or even weeks to review the data and share the results.

Connecting data sources and outlets: The Internet of Things (IOT) has been a major force in supply chain management in recent years. It allows for not only to connect systems and solutions but also fosters more accurate, responsive and accessible data management. Digitizing the supply chain allows for the interconnection of various methods of collecting and sorting data. This allows planners and managers to create better forecasts of demand and more effective planning strategies. Planners and managers can also connect data sources to create enhanced simulation, which are crucial for planning production programs.

Conclusion:

Manufacturing companies depend on data availability and accuracy to improve their planning and production plans, as well as to better manage inventory, track and ship parts, manage staff, and manage people. To sum it all, a digitized supply chain is becoming a more important requirement for companies to be viable and competitive. 

Servicenow is one of the growing digitised platforms that make the supply chain more efficient for the manufacturing industry. ServiceNow for manufacturing industry helps to connect people, processes and knowledge on the Now Platform. This will make operations more efficient, secure and enhance the employee experience. This is the latest manufacturing solution adopted by many leading manufacturing industries. Have you digitized your manufacturing factory to a smart factory with ServiceNow? Let's share your recommendable answer in the comment section here!