Today, let’s discuss the future of supply chain management. With the rise in AI (Artificial Intelligence), data, and increased automation, the question that rises out in the open is about the future. Particularly talking about Supply Chain Management, the question that arises in most people’s minds is, ‘Will I be replaced by machines?’ While we discuss more about the answer to this complex question, the conclusion that we derive is all positive. So, let’s dig deeper into details, starting with what is Supply Chain Management.
What is supply chain management?
Supply Chain Management is the management of the flow of goods and services which includes all processes from movement and storage of raw materials, inventory of work in progress, and finished goods to distribution of products and services from the point of origin to consumption.
The future of supply chain management
Supply chain management for each company is different and varies in complexity, company’s size, and diversity. While small companies move goods from one warehouse to a distribution center and then to a customer, large enterprises take into account additional concerns, including ports, third-party logistics, warehouse distribution, and inventory management & fulfillment, etc. Now the question is that with so many activities under Supply Chain Management why do people worry about its future.
Why do people worry about the future of supply chain management?
Well, fact is that technology is disrupting the supply chain and disintermediating it like all other industries. These days all mundane and repetitive tasks are easily being automated which is why people are concerned about their role in the Supply Chain Management.
A simple task like sending an employee to check on physical inventory of stock to a warehouse can now be replaced by robots, remote processes, etc. With AI on the rise, the supply chain management is also getting better at predictive analysis which is beneficial for tracking and ordering inventory. Talking about variations, AI has also given rise to sensors with the help of which it is getting easier to replace machinery parts before the machine actually shuts down. It predicts the wear and tear of machinery, making it all the more efficient.
What is the future of supply chain management?
So, to answer the question, it is nothing but ‘Change’. The Industry of Supply Chain Management is evolving, not dying. With more evolution in the industry, people will gradually get more chances to upskill themselves, which is for their own betterment and for their company. More valuable time will then be used by employees to the diverse assignments that cannot be automated even by AI technologies.
There is simply good news for both the employer and employee. While a company will benefit with tighter delivery schedule commitments, faster fulfillment, better efficiency, and higher profits, an employee will learn and develop new & critical skills. It is the task that will be replaced and not the people. For those who are looking for higher-wage work, automation is the open door for them to walk in.
Innovation has always created new markets and opportunities. It has given the chance for companies to grow and people to benefit. In the evolution of supply chain management, people who embrace change will benefit. So, take the opportunity because people aren’t going anywhere.
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