Today’s ever-growing market contemplates supply chain professionals to think out of the box and work on improving end consumer experience by each passing day. Unlike olden times, today a lot of logistics companies compete to provide facility to the end users which help them to reach the consumers in a better way. While the focus on the supply chain is certainly increasing, however, the quality of the same still remains a point of concern.
The focus has slowly shifted from only good manufacturing to a combined approach that involves manufacturing, packing, storing, transporting and enhanced user experience. With the consumer being at the
Technology changed the way of cargo tracking
While the old practice was to monitor the movement of goods and then make managerial decisions on the basis of information received from Ground Zero. This information ways mostly received with a delay, making ample room for error and missed opportunities.
This was overcome by introduction of a host of technologies from management systems to real time tracking. This made life easy for a lot of supply chain managers and sales and purchase personnel as well. This opened a new era in the market and the competition was real time as the data pour in, decision made their way out for implementation.
The supply chain has evolved itself from a standard form of just physical monitoring to an advanced form of physical cum information monitoring.
Impatience of consumers makes supply chain professionals job tough
The capacity of the retailer to work productively with their SCM makes them better off with their competitors. Today, if a customer does not receive a product from a particular place or is promised to get the product delivered at a later date or even on time, the customers don’t wait and switch their loyalty to another retailer. This has put tremendous pressure on the retailer and the stocks remain idle for an all-time high. All this has to be ensured by keeping prices competent and not harming the quality even by a bit. If you don’t have a product required by a customer on your shelves you go out of the race and take the hit.
Success of e-commerce depends on efficient SCM
E-commerce platforms have changed the buying habits of the customers as now they order goods, schedule delivery and make payment as per their choice and convenience. But the success of these platforms relies heavily on efficient supply chain management.
Their regional distribution centres have proved a strong place to cater to a considerably large area as compared to a retail store. While only time will tell us how this works in the long run, but even strong retailers today have started their online platforms and are offering their customers door-step-delivery just as their e-commerce competitors.
Today market operates on the following parameters:
Timing of the supplyRight thing at the Right place- Role of Technology in Supply Chain
- Commitment
Timing of the Supply:
As the saying goes “time and tide wait for none”. While we may believe that a proper tracking can make it possible, but given the road conditions and the unpredictable traffic that our staff at ground zero (drivers and cleaners) face making the job a challenging affair.
It is necessary to maintain the timely nature of the supplies along with maintaining good working conditions for the people who actually make the deliveries possible. While a lot of people emphasize the success of the manager to ensure timely delivery, it is the ground staff who deserves the applause.
Right Thing at Right Place:
While timing is important so are the components of place and the target audience of the region. The correct need is to be made to the right crowd at the right place. Again timing plays the devil here too. The youth today believe in what they see, while a youth product launched and sold at a concert may be better off than the one being launched at a store directly.
Role of Technology in Supply Chain:
The world of technology is evolving and for me “change is the only constant”. While a thing which doesn’t change becomes obsolete. With the demands of the retailers and even end consumers increasing, it has become a necessity for Supply Chain companies to keep up with the pace and those who won’t, will eventually retire out of the race.
While we have emerged from delayed tracking to real-time tracking, today it is even possible to see your goods remotely and have a sense of satisfaction about the goods.
Commitment:
While other things are important, the most important aspect is the commitment of the Supply Chain Companies to develop and deliver to the retailers. The supply chain intermediaries need to adapt and implement the technology at a pace faster than earlier and also ensure the team also accepts, promotes and supports the same with utmost faith.
The retailers and e-commerce people are in a neck to neck competition today, the only common aspect between them except for the products is SCM. The intermediaries today have a new goal and challenging task to serve both of them at their desired levels without any hiccups.
The article is authored by Kartik Shah, CEO, Coldrush Logistics Pvt Ltd
