Introduction
Technology is transforming supply chain management in 2023. To improve supply chain (SC) visibility and efficiency, companies are using cloud-based software, traceability systems, and sophisticated analytics. QIMA found that 40% of companies invested in supply chain digitisation to improve traceability. This change transforms firms and boosts profits.
Fig. 1. “Which of the following technologies has your company implemented / plans to implement in your supply chain?”
Three of the most popular SC technologies include traceability systems, cloud-based software, and sophisticated analytics. Technology is increasingly used to improve SC visibility worldwide.
Leading Digitisation Reason: Supply Chain Visibility
Company digitisation investments are driven by SC visibility more than ever in 2023.
Traceability solutions are among the top three most popular technologies among firms we studied, with 45% having deployed or are adopting them. These technologies enable firms to monitor and trace items along the supply chain, ensuring quality, compliance, and transparency.
Cloud-based software is leading technological adoption, with 52% of organisations using it. Cloud-based software simplifies data management by letting firms access and share crucial data in real time, boosting cooperation and productivity.
Advanced analytics (34%), a close third, helps firms use data for action. This technology optimises operations, finds cost reductions and process improvements, and makes data-driven choices. In an age of growing data, advanced analytics are essential for market competitiveness.
These findings demonstrate the rising relevance of digital solutions in SCM, which improve visibility, efficiency, and profitability. Businesses use these technologies to remain ahead of the curve and satisfy market expectations as technology advances.
SC visibility is crucial to compliance, especially with ESG (Environmental, Social, and Governance) laws. Companies require visibility into their supply chains to guarantee environmental, fair labour, and ethical sourcing as global restrictions tighten. Organisations can detect and resolve compliance concerns by monitoring every step in the SC with technology and data. This endeavour strengthens brands’ sustainability and ethical business practices to meet growing ESG criteria.
Key Figures in supply chain
QIMA’s H1 study of 250+ firms found:
- 45% are using supply chain visibility technology.
- Three of the most prominent supply chain technologies are traceability solutions.
- Over half of respondents have deployed or plan to use cloud-based software, the most popular technology.
Conclusion:
The adoption of digital technologies in SCM is crucial for maintaining competitiveness and ensuring compliance with evolving ESG regulations. With cloud-based software, traceability systems, and advanced analytics, businesses can achieve greater visibility, efficiency, and profitability. As more companies embrace these innovations, the future of SCM looks increasingly interconnected and transparent, paving the way for more sustainable and ethical business practices.
