Bridging the Gap: Harnessing Technology to Strengthen Supply Chain Resilience in a Rapidly Changing Business Environment

Today, supply chains are facing numerous challenges such as labor shortages and rising labor costs. Additionally, the shift in customer expectations due to the “Amazon effect” is leading to an increase in the number of smaller warehouses. Building a more resilient supply chain that can adapt to unpredictable events like COVID-19 is crucial in this rapidly changing business environment.

Emerging technologies like AI and automation offer potential solutions to these challenges. However, it is essential to evaluate the specific business challenges and expected ROI before implementing them. Many supply chain managers are experimenting with AI without a clear understanding of what works best for their business.

It is important to separate AI hype from reality as not all AI solutions are suitable for every business. Applied AI rather than generative AI, which uses a large language model, should be focused on. Data security and validity must also be considered when using AI solutions to ensure data remains secure and accurate.

Addressing these challenges requires a strategic approach to utilizing technology effectively in supply chain operations while managing risks appropriately. By understanding the potential of emerging technologies while considering the unique needs of their business, organizations can navigate today’s complexities more effectively.