Data Is Driving Decision Making in the Supply Chain

Data Is Driving Decision Making in the Supply Chain

Feb. 24, 2021
Half of large, integrated players are digitalizing the value chain, according to a new Deloitte study.

Currently, supply chains require unprecedented efficiency and agility in order to react to quickly changing network conditions, as exemplified by the reaction to the pandemic. There is a shift among shipping organizations to embrace a shift to digitalize their largely physical world.

In a report by Deloitte, “Holistic Decision-Making: Creating tomorrow’s more intelligent movement of goods network,” the consulting firm provides insights into how shipping organizations are undertaking a journey to digitalize the physical world and power more intelligent movement of goods networks through cognitive technologies.

 Key findings from Deloitte’s report on holistic decision making include:

Data is king. Connected analytics are helping manage the flow of goods, from improving medical supply chains to aiding in intelligent fleet management. In fact, most executives (80%) reported seeing the value of data-driven holistic decision-making capabilities, and say they are investing or planning to invest.

The growing digital divide. Half (50%) of large, integrated players are digitalizing the value chain and looking to new data sources for insights. However, only 13% of smaller-sized players are doing so.

 Next-gen adoption has a way to go. While AI and machine learning are among key enablers that help optimize critical supply chain functions, only 40% are actively using it, signifying that adoption of these cognitive technologies is still in the early stages.

Data complexity requires new solutions. As data sets grow in complexity, Deloitte found companies are seeking alternative data management solutions. More than one-third (38%) are focusing on cloud and security solutions to prepare for the added cyber risks.

Note: This survey is part of a series from Deloitte. The first part is   “Connected communities: Creating a competitive supply chain advantage.”  

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