Supply chain visibility is the ability to track and monitor the movement of products and information throughout a supply chain. Supply chain visibility is fairly a simple concept; businesses require a complete view of all tier products and services, and as they keep checking for inputs from suppliers and through manufacturing till the end consumer, we are made to believe that this as a simple concept, we do have to know that in modern organizations this is still not achievable easily. The reasons are many; from a simple manufacturer to an end consumer model, SCV has now fully grown into a complex global network, which includes suppliers who source raw materials, logistics partners, production partners and with a whole lot of contract labor being sourced, etc. These complex and almost cyclic processes need to be extensively supported by modern technologies, which use them to extract data points at various intervals for managers to take quick and timely actions. These actions not only allow professionals in the supply chain process to detect anomalies but are also able to create solutions.
Supply chain visibility is what we understand, in simple words, the complete picture of the process, and to be able to control any deviations whenever and wherever detected, we need to understand that from earlier times of basic information we have migrated to a complex system of data points that have enabled companies to gain SCV and not only eliminate but to potentially predict critical issues in the supply chain, thereby enabling optimal usage and superior planning of resources.
For an effective SCV, the information network has to be an amalgamation of resources not just from supply chain partners or internal sourcing vendors, but it should be able to catch market signals, geographical climates, partner information, and other competitor information as and when they happen. These obviously will require massive analytics and would enable organizations to predict trends. With this capability, companies will gain a third eye in not just being able to learn and predict but to mitigate actions therein, increasing productivity, profitability, and increased customer satisfaction.
To further understand how supply chain visibility is defined, we have to understand a few things, such as:
- Collection of information: Data needs to be collated and be accessible as and when they happen. With companies investing heavily in many of the information and technology management solutions, such as enterprise resource planning software and customer relationship management, and other external factors such as weather trends, reviews of customers online, and economic trends, and with most of the supply chain operators using RFID, GPS trackers, and IOT sensors, the possibilities of learning and creating a pattern are just the tip of the iceberg.
- Storage & Analysis: Most of the data collected requires the organization to store these on a management system, which can be used to process and analyze the vast amount of data points. Creating and deploying best-in-class supply chain analytics can help companies identify trends, evaluate orders, deliver the best in timelines, and manage huge supplier risk.
- Data visibility and shared access: the more professionals within the supply chain network are able to access this information on a real and continuous basis, the more accurate and precise decisions can be taken.
As we progress ahead within the AI framework and IOT integrations, we are now more than ever close to processing large data sets and helping global supply chain centers anticipate demand fluctuations and match supply to demand. AI-driven analytics can help address problems before and anticipate them, enhance productivity, and save corporations huge costs.
The easiest way to understand the levels in SCV are tier 1: direct suppliers, tier 2: companies that are subcontracted to tier 1 supplier, and finally tier 3, who are further subcontractors of tier 2.
Now with a basic understanding of these tiers, you would have known how difficult and risky it is to deal with subcontractors wherein organizations are not dealing directly. There is high risk in various categories that may heavily impact the organizations in the form of operational risks, social risks, governance risks, environmental risks, and not to mention cyber security. A greater number of corporations, small or large, look to minimize the cost with subcontracting, and this is where the element of risk is being introduced.
At SignalX, we understand the importance of SCV, and in today’s fast-paced data-driven environment, we leverage cutting-edge AI-driven analytics to empower your organization to not just gain real-time, end-to-end visibility into supply chain processes, but we are able to seamlessly integrate into your ERP systems and technologies and be able to gather vast amounts of data, allowing you to monitor your supply chain activities with accurate and timely information.
We have been helping 50+ companies anticipate disruptions, identify risks, and help them in not just supplier performance, logistics delays, and market fluctuations. We are able to offer actionable insights that enable companies to make data-driven decisions that have a direct effect on their resource allocation, better inventory management, and enhance their overall customer satisfaction.
We at SignalX do not just concentrate on real-time tracking; we are enabling proactive risk management for companies with tools that will enable them to predict and minimize disruptions, whether be it tier 1 suppliers or checking further subcontracting at tiers 2 and 3. Our platform is able to effectively help you manage the operational, social, and other factors through which you can gain a clear competitive edge and drive productivity, profits, and be agile, which means your supply chain remains resilient and future-ready.
