Saturday, October 17, 2020

Optimization of Agricultural supply chain

 Hello everyone,

I am Sreelakshmi V, final year MBA student from Amrita School of Business, Coimbatore. In this blog, I would like to share some insight which I got when I got an opportunity to read an article on optimizing supply chain in agriculture. Hope you all will enjoy reading this.

We know that supply chain is complicated as multiple functions are interacting with each other and they may be having different objective, sometimes objectives can conflicting also. In order to optimize this complex and complicated supply chain ,we can used digital and analytical technologies. It was used by many companies in other industries and now-a-days it is also used in agriculture industry where they can collect and analyze data and also predict demand , supply ,weather and many more.




One of the best way is to create a digital twin of the physical supply chain ,i.e. from farmer to the end user, so that virtual simulations and optimization can be carried out. This digital twin will have all the elements of the supply chain from procurement, production to warehousing to point of sale for finished goods. This helps the organizations to achieve its objectives like profit, throughout ,inventory optimization, cost reduction etc., as per needs. The predictive power of the digital twin makes it more valuable. It uses artificial intelligence to come up with different planning and scheduling combinations. If any unexpected event occur, planning and scheduling can be done again in real time, which increases the reliability of digital twin. Some of the other advantages are scalability, dynamic in nature ,speedy digitalization, short development cycle.

In order to make this successful companies should sufficient industry and supply chain expertise and also the most important thing is the change of mindset. The players should first understand the values of it and then the business outcomes and processes and procedures.

Thank you for reading. Hope you liked it.

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