Digital transformation has been the talk of the industry. From shipping to logistics, transport and warehouses, it covers the entire supply chain. Studies have shown that “digital transformation can reduce costs by 7% to 34% and can lead to additional revenues by 22% to 33%, depending on the industry.”
Despite it being the subject of much discussion, a survey conducted by McKinsey in 2020 reported that “93% of Supply Chain leaders plan to take the necessary steps in digitally transforming their supply chains to keep up with an ever-changing market”. This means that the majority of the Supply Chain is not taking advantage of digital transformation.
So let us dive into what the supply chain digital transformation is, why your operations should digitally transform and what the 5 challenges are that the Supply Chain faces in their digital transformation.
What is supply chain digital transformation?
Supply chain digital transformation is not only leveraging new digital technologies but also a cultural change in your company’s values and goals. It is about adopting a more efficient and agile approach, reimagining your current practices and evaluating your current systems. It allows your business to respond to constantly changing business dynamics and customers expectations while also helping you to keep your competitive advantage.
