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Digital supply chain

Better Truckload Operations Efficiency Through Digitalization

Digital trucking is bringing unprecedented, large-scale benefits to the national transportation grid. Digitization takes living, real-time data from once futuristic fantasy to practical present-day tools. Companies who embrace these changes can stay ahead of shipping needs, coordinate the arrival and departure of shipments at distribution facilities and offer customers full transparency regarding product tracking.

Having uniform data instantly updated across many locations translates into an efficient organization. 

Digitally integrated metrics also mean the more efficient movement of goods. Well-kept maintenance and repair information leads to more uptime for fleets. Processes that depend on fax and phone calls to delegate shipment orders can see improvement through digitization by providing transparency in a shipment’s progress across the operation. Digital trucking further protects against losses from laggy communication by providing access to information like rates and available containers. The answer is simple: having uniform data instantly updated across many locations translates into an efficient organization. 

Hybrid Supply Chains

Naturally, some companies making the transition from silo-based tracking to a digital supply chain will find themselves in a mixed state of operations. Some information is digital, some are kept analog, and some remain decentralized in individual silos. However, it is best not to get comfortable here. The number of customers relying on internet transparency is increasing at an exponential rate. The weight of the digital world is enough to have deemed it the “Third Industrial Revolution.” In order to survive in the post-revolutionary landscape, successful shippers will need to become proficient with Digital Supply Chain Networks. 

Benefits Of Embracing Digital Supply Chain Networks 

1. Accurate Projections – An outdated but well-ingrained approach to supply chain management is to look backward at data. A forward-looking vantage point allows companies to remain better oriented to evolving needs.

Information from Blume explains that “AI and machine learning can uncover trends in the data and suggest likely short, medium and long-term demand and capacity — allowing you to get the right assets and resources in place .” Advanced models can help with recruitment, asset procurement, scheduling enough drivers and trucks and generally increase profits by keeping error margins minimal.

2. Data Visualization – Having data that is intuitive for managers to interpret increases efficiency. Data points are essential to ha. Still, unless these see integration into a medium with unambiguous meaning, they may fall short of their potential. The less time a manager spends trying to interpret numbers, the less time they spend repeating supply chain failures. Digitization automates the mundane manual task of creating a visual representation for complex data

3.  Connecting Data Sources – Modern supply chains rely heavily on a concept known as the Internet of Things (IoT).  IoT can improve processes, identify opportunities to move goods and stay ahead on preventative maintenance. However, IoT is only capable if it has many data sets from which to draw. Using QR codes to track goods, sensors for shipping containers and APIs to compile data onto logistics platforms is one example of how IoT shines brightest when prolifically integrated. IoT benefits conveyance when connected to multiple vehicles by improving operations through routing, navigation and avoiding common collision points. Equipping infrastructure with systems to monitor road conditions and congestion allows IoT to optimize capacity through effective traffic management systems. 

The more devices connected to a system, the more complete the data set.

The more devices connected to a system, the more complete the data set. Likewise, IoT can more efficiently bolster a supply chain by facilitating updates on spot-rates, capacity, demand for drayage, driver availability, GPS locations for disabled trucks and last-minute changes to every device and user within the network. Accurate data can significantly increase efficiencies and mitigate risk when shared across a centralized digital platform.

4. Direct Benefits to Supply Chain Management – Some concise benefits to supply chain management that companies can look forward to from digitization are: Increase JIT sourcing, decentralized inventories leading to satisfied delivery time requirements, competitive shipping by converting next-day-deliveries to same-day-deliveries, fewer number of logistics partners needed for transportation and translating LTL into parcel shipments.

The Risk Of Information Overload

When it comes to digitization, an abundance of data can tip the scales in either direction. Of course, having device-level data across an entire operation allows carriers to access essential information from asset utilization to invoicing. It also presents challenges for effective integration. In order for companies to achieve the desired level of granularity to get the most out of their data, expert logistics support is an invaluable step. For help with implementing these changes, contact one of our logistics experts.

5 Easy Ways to Make Your Supply Chain and Business Environment-Friendly

Climate change and a deteriorating environment is the most discussed subject around the world. In fact, it would not be remiss to say that issues related to environmental degradation and climate change have already begun to emerge in various parts of the world. In some places it is in the form of floods, storms, hurricanes, others it is showing up in the form of famines and long dry spells. In a few parts of the world, a distressed environment is protesting in the form of unbreathable air and shortages of clean drinking water.

It’s time to wake up and take positive action.

Irrespective of the way in which the environment is showing its displeasure, it is sending the same message everywhere – it’s time to wake up and take positive action.

While each one of us is responsible for protecting the environment and managing climate change, businesses can lead the way in creating positive change by making their supply chain environment – friendly and following sustainable business practices.

Why is it important for businesses to participate in this movement?

Given the negative impact certain business activities or accidents have on the environment, it makes sense for businesses to take preventive actions proactively. Sometimes the impact of these incidents lasts for years to come or worse, irreversible. While one doesn’t have any control over accidents, organizations can try to reduce activities such as throwing out untreated industrial waste, air pollution, noise pollution, energy wastage, and oil spillage. The other reason is that big corporations and brands tend to influence how people think and behave, this can be used to encourage people to practice sustainable living.

How can you contribute?

Overhauling an entire supply chain or changing business practices takes time. So, while all of us may not be equipped to build and operate a distribution based on renewable energy like Nike is doing or put up a fight against the ruling administration like the State of California, all of us can do little things to help the cause. Here are some ways in which you can make your business and supply chain environment friendly:

  1. Eliminate Single Use Plastic: This should not be difficult to do. Whether it is a part of your product-straws, bottles, stirrers, and packaging or a part of things you use within the company like drinking bottles and disposable cutlery in your canteen, plastic can be replaced with other eco-friendly materials. These 22 companies are doing it, so can you.
  2. Participate in The Community Discussion: This is a critical step to finding sustainable solutions that can help both businesses and communities live sustainably. At BlueGrace, we believe in working with the community. Our CEO, Bobby Harris joined the Northwestern University Transportation Center (NUTC) Business Advisory Council (BAC) last year. This group comprises of highly respectable senior – level business executives from the transportation industry. The group meets regularly to discuss the latest NUTC research and to consider solutions to the economic, technical and social problems facing national, local and global transportation systems. Connect and work with your local administration, research institutes, and environmental associations to find plausible and implementable solutions for the community. This will not only work for finding solutions to the environment problem but will also aid in identifying and finding solutions to other issues that impact the lives of the people who live in the community. Isn’t that what businesses are for?
  3. Use Energy-Efficient Lighting: Save electricity. Use lighting solutions that consume less power. Encourage your employees to switch off lights that are not centrally controlled and turn off the switches to their charging points or desktop connections when not in use. If possible explore if you can install solar panels to generate electricity in the office and other facilities like your warehouses and factories.
  4. Go Digital: One of the easiest ways to start the sustainability project is to eliminate or minimize the use of paper. Start digitizing company-wide communication, and bring all processes and systems online. While it may seem costly at the beginning, digitization will not only help you save paper but will also make your operations more efficient and easier to monitor. If you’re looking for an integrable logistics solution, connect with our team and let’s work on making your supply chain environment-friendly, effective and efficient.
  5. Optimize Logistics: Movement of goods is essential for both businesses and consumers. So while trucking is an integral part of logistics, it also causes air pollution. However, the threats to the environment from trucking can be controlled and minimized by making better transportation plans and optimal planning of loads. And as we said earlier, transportation is our area of expertise.

If you’re looking to optimize your logistics and contribute to reducing pollution levels, then let’s talk. Contact us at 800.MY.SHIPPING or fill out the form below to speak to one of our experts today.

Survey Says: Visibility is the Main Goal

Digital supply chains are nothing new as far as the headlines are concerned. There is a lot of promise and potential for the new technology in terms of efficiency and easier adaptation to other advancements and solutions. Yet even with the knowledge of the many benefits associated with digital supply networks (DSN), many companies are only now beginning to embrace it.  

According to information from a new study, there is still a disconnect between the opinion of the digital supply chain and the actual implementation of it.  

The survey conducted by Deloitte and MAPI, included more than 200 different manufacturing organizations. They found that a little over half of the respondents believe that their investment and adoption of DSN or a digital supply chain solution maturity level is ‘above average’ when compared to their competitors. Yet of those respondents only 28 percent have actually started to implement their solutions.  

Visibility is the Main Goal 

Transparency represents one of the biggest potentials for efficiency gain in the industry.

Above all else, the survey shows the main reason why manufacturers are looking into a digital supply network; end to end transparency. Transparency represents one of the biggest potentials for efficiency gain in the industry. The survey also shows that of the respondents, only 6 percent have a process in place where every member of the organization can see everyone else’s data.   

“Stephen Laaper, principal, Deloitte Consulting LLP and co-author of the study, said: While enthusiasm is high and manufacturers realize the benefits of Digital Supply Networks, many companies struggle to identify the right technology landscape which will provide the most value when they are approaching a digital shift,” according to an article from The Manufacturer 

“As a result, many hold off with key aspects of their transformation, which in turn puts their transformation at too slow a place to avoid disruption,” Mr Laaper added. 

Understand the Impact and Value of DSNs 

Many industry executives believe that DSNs offer several advantages over the traditional, linear, supply chain but they don’t believe that implementation of this technology will have any significant or ‘game-changing’ impact. 56 percent of the respondents said that they believe that a digital supply chain would provide significant benefit to their company.  

While visibility is the main goal of DSN implementation, speed is another factory that manufacturers are interested in.

While visibility is the main goal of DSN implementation, speed is another factory that manufacturers are interested in. Over half of the respondents, 52 percent, cited a dramatic reduction in time needed to make strategic decisions as their top reason for implementation. 43 percent of respondents said they are looking for an optimization and efficiency boost. 

Digital supply chains and DSNs also offer an array of financial benefits that are of interest to manufacturers including but not limited to, increased sales efficiency, lower operating costs, and better pricing and margins.   

Challenges for Manufacturers 

Benefits of DNS are a draw for manufacturers, but implementation might be easier said than done. Talent in the industry will present a challenge for DNS implementation, both in finding new talent capable of working with the technology and training existing employees to work with it. This represents the top challenge for 30 percent of the survey respondents.  

Change, believe it or not, is another fairly substantial obstacle towards implementing digital solutions. For an industry that has remained more or less the same over the past several decades, over a third of those that responded (37 percent) said that overcoming that resistance to change would be the greatest challenge to a successful DNS implementation.  

All companies operate differently, thus their DSN implementations carry unique challenges based on the existing infrastructure, talent base, culture and technological requirements.

“John Miller, council director at MAPI, said: There is no one way to deploy a DSN. All companies operate differently, thus their DSN implementations carry unique challenges based on the existing infrastructure, talent base, culture and technological requirements.” 

As with any digitally based technology, cybersecurity will always be a concern, especially in the wake of the DDOS attacks and cyber virus attacks that hit major shipping industries last year. A fifth of the respondents said that data security risks are the reason they are reluctant to provide information to outside suppliers, which is crucial for many DNS systems. While blockchain technology might help to assuage these concerns, the technology is still too new for many manufacturers to consider at this stage.  

The Road Ahead 

There are a number of obstacles on the road for an industry-wide embrace of a digital supply chain. While some companies are starting to get their feet wet, there are many that are still hesitant to take the plunge. The survey shows that many executives can see the benefits of a DNS that can improve their business as a whole but are still nervous about the new technology.  

There is a cautionary tale to be told in this, according to MAPI’s John Miller. “Companies that are too conservative in their approach may wait too long before finally implementing initiatives that are too large and complex,” Miller said.  

“In the end, these companies risk being late to the game and implementing solutions whose value is hard to measure because of either the time it takes to show an improvement or the overall scale of the implementation.” 

The industry is changing, there’s no doubt about. The waves of disruptive technology are not only coming, but they are starting to pick up speed with how quickly they are devised, created, implemented, and revised.

The industry is changing, there’s no doubt about. The waves of disruptive technology are not only coming, but they are starting to pick up speed with how quickly they are devised, created, implemented, and revised. This is a welcome breath of fresh air for the industry, that has largely remained unchanged throughout the decades. Yet, while we can see the change as a good thing indeed, adapting to those changes will ultimately be one of the most difficult challenges for industry players. 

Determining which path to take will be an undertaking for sure, but one that has a high payoff in the end.

Getting a Head Start in the Tech Race

Companies that fail to embrace this new digital era will find themselves outpaced and outdated before too long, while companies that take the initiative now will have a head start in the tech race to come. BlueGrace Logistics offers complete, customized transportation management solutions that provide clients with the bandwidth to create transparency, operate efficiently, and drive direct cost reductions. For more information on how we can help give you the visibility you need to gain efficiency, feel free to contact us using the form below: