Monday, October 19, 2020

Why should Supply Chain move to cloud?



Hi all, I am Pranav Surendran from second year MBA. I recently came across an interesting article from which I thought I could share few of my understandings.

What is cloud computing?

“Cloud Computing uses resources as a utility, rather than building and maintaining computing infrastructure. Resources are present at a place and when required can be used to the demand. It is the large scale distributed computing where services are delivered to customers on demand over high-speed internet”. 

  In cloud-based architectures, solutions run on a single network where all users who have permission to join the specific cloud compute in parallel. It is possible to privatise or publicise cloud computing.

Since the early 2000s, some of the world's biggest tech vendors have been developing business solutions in the form of cloud computing. It is today recognised as one of the world's largest types of technologically improved integration, sharing, and storage for business systems.

Globally, companies have recognised the opportunity to use cloud-based technologies to improve proficiency and profitability in their supply chain strategies and activities.

Today, an outlier from the standard will be called a supply chain without a cloud-based solution of any sort in place. Although high levels of deployment in specific parts of the supply chain have been seen by cloud-based applications, others have been ignored.

The Cloud is based on a holistic network concept, open to many to provide input and output-to break down silos, improve efficiency, and streamline communication.

Agility

Increased business resilience is accomplished by sharing and simplified computing, which is possible by using cloud-based supply chain solutions.

In China, a supplier audit is needed and is done, and the results are needed in Berlin to be able to make a deadline decision to continue the supplier partnership within the hour. As the supplier being audited was named in a child labour scandal, the agility of this data collection and sharing is critical, and the facts They still need to be proven. This wouldn't even be a point of pain for an SCM solution, living in the cloud.

There are applications on the market that would compile the audit data inside a cloud-based solution and share the findings of the auditor with HQ automatically. Taking data in the blink of an eye from the floor to the head office

Integration

It has a strong potential for seamless collaboration, input and output of knowledge sets between teams, people or cross-organizations. Additionally , cloud-computing Usually, solutions have 'plugged in' capabilities. Plugging in is essentially the sourcing of information from one cloud to another. Cloud systems subsequently resonate with greater faith and openness among the parties using a common cloud.

Planning

Cloud technology offers features such as inventory in real time. Don't worry about making a promise to a hopeful customer that you cannot keep. Inventory data sets can be handled to ensure you never lose track of your inventory levels.

Scalability

The usability of data sets is a lot more scalable when running within a public cloud. Especially when companies are internationally involved, but need to maintain communication lines and/or are in collaboration.

Holding multiple person, or company, networks. It defies regional borders under one cloud; it takes only a WiFi link to consider storage, sharing and communicating. In organisational procurement and sourcing teams, this sort of scalability is essential.

Competitiveness

Competitiveness between organisations that could not exist without such technologies has been generated by the capacity of cloud-solutions. Small and medium-sized companies should work with the same agility and openness that are capable of enterprise organisations.

In these small and medium-sized businesses, fields such as problem shooting and solving can be time-consuming activities. A stock mishap would impact a regional grocery store without the proper amount of resources and manpower.

Hence, cloud computing systems have created a forum for more agile collaboration and connectivity, silo breaking, also in the largest enterprise businesses.

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