2. WHAT IS DSC?
The digital supply chain can be defined as the development of
information systems and the adoption of innovative technologies
strengthening the integration and the agility of the supply chain and thus
improving customer service and sustainable performance of the
organization
3. WHY DO WE NEED DSC?
โข Use of excessive internet by customer
โข Change consumer buying behavior
โข Change in Demand Patterns
โข Huge pressure on supply chain management
โข To increase profit & to reduce cost
โข Time-saving
โข To remain competitive in the global marketplace
4. EMERGING TECHNOLOGIES THAT ENABLE DSC
TRANSFORMATION
Technologies
for DSC
Big Data
Analysis
IoT
Social
Media
Robotics
3D
Printing
Cloud
Computing
Collecting, organizing, and analyzing a
large amount of data
Exchanging data with other devices and
systems over the internet
Real-time information
Auto plant and material handling
Produce very complex shapes or
geometries
Manipulating, configuring, and
accessing the hardware and software
resources remotely
5. โข Strategic partnership that was established between AMUL and IBM in 2009
โข AMUL invested 80 crores in transforming the information technology landscape
of the company
โข IBM would develop a full-fledged digital system and it would track every small
detail of the operation
that is being carried out in the supply chain of AMUL
โข The key objective was to ensure flexibility and transparency across the supply
chain
โข IBM developed a private cloud with a data center and a disaster recovery system
that has automatic
back-ups in place
โข Whenever there are issues the disaster recovery kicks in, ensuring zero
6. โข It could tell you how many plants are working at full capacity, how many trucks
are engaged, and in which areas
โข Most importantly, it also tells you when and how many trucks or plants are
working at idle capacity so that they can divert the workload to them to make
optimum utilization of every element of the supply chain
โข In the past decade Amulโs digital transformation has helped it gain a 10x growth in
business
โข By improving data accuracy and integration with the distributor management
system, processes are seamless now
7. When the dairy company saw a massive fall in demand, they quickly pulled down the milk
procurement decreased their logistics, and slowed down their production up to a large extent
As an outcome of this, many farmers were left in a helpless state.
Many workers such as truck drivers and factory workers lost their
daily bread because less milk meant less operation of factories
which means less transportation of milk
Lockdown Effect on supply chain
The Lockdown impact was so heavy that it cost the milk producers of India more than 112.3
crores of rupees every day
8. โข This end-to-end digitalization gave them so much clarity about their
operations that AMUL was even able to provide incentives to the
ground staff
โข During the lockdown, Amul was able to divert idle resources overnight and ensure a
steady supply of dairy products
โข Due to the IBM system, the AMUL team was able to accurately oversee the entire
operation of the supply chain
โข This system turned out to be a game-changer for AMUL during the lockdown
โข Coupled with mobile applications and automation that efficiently manage
applications, Amul not only has better operations but also gained much-needed
insight into the logistics side of things
Amul in Lockdown
9. Challenges in DSC
โข Gathering all the information from many disparate sources and ensuring
the accuracy of that information
โข Developing a software architecture and platform that can use the
information to manage and execute the supply chain
โข Many organizations have no mechanisms in place that auto-capture and
normalize entitlements
โข Disjointed Systems & Poor User Experience
โข Outdated Catalogues & Poor Visibility
10. โข Greater transparency
โข More decentralized warehousing
โข Better understanding of Customerโs Requirements
โข Higher sales, higher profit margin
โข Improved supply chain flexibility
โข Reduce the risks and costs involved in the supply chain
โข Availability of more alternatives
โข Maintenance of competitive advantage
BENEFITS
OF DSC
11. Conclusion
โข Revolutionary changes will happen due to the digitalization of supply chain
management
โข Applying new technologies such as big data, cloud computing and the internet of
things can help overcome these challenges. Digitalization will help in the
improvement of supply chain visibility
โข Use of innovative digital technologies will allow the Modularization, simplification
and standardization of products and processes
โข Companies should realize the importance of new business models which generate
additional value to the product range and achieve new demand channels for
increasingly digital customers