Top 5 Supply Chain Trends and Innovations That Will Be Transformed With the Help of Blockchain in 2020

In 2020, supply chains will face a demand for changing and new challenges. To respond to this, it will be necessary to ensure reasoned development aimed at following the development of international markets, working more effectively with partners, and offering consumers the personalized experience they are looking for. To succeed in this ever-changing ecosystem, companies are looking for new ways to meet their supply chain needs.

Solvingthe “last-mile“ delivery problem is one of the biggest challenges the supply chains are facing and it emerged because of accelerating urbanization. The “last mile” means the last leg of the whole supply chain process, more precisely, when goods are sent out from a transportation hub to the end-user. 

At the start of 2020, we’ve put together a list of must-see trends for supply chains.

  1. Reduced Product Life Cycle and Processing Time

Fueled by companies like Amazon, the craze for express deliveries is growing. Companies are therefore looking to optimize their processes and the efficiency of their supply chains. To shine in this area, the links not to be overlooked are inventory management, order processing, and return tracking. Faced with this observation, companies are looking for solutions capable of connecting their partitioned systems, ensuring a more rigid framework for the processes, providing precise deadlines, and guaranteeing true traceability.

  1. Improved Supply Chain Agility

Regulations around the world are constantly changing, which is why companies need to gain flexibility – both in planning and execution – within their supply chain. To adapt to these changes and minimize the risks, it’s essential to digitalize their work processes, thereby reducing the time spent on manual tasks, particularly in terms of supplier audit and control. Result? Businesses can ensure compliance and leverage data to make more informed decisions, which can help them better predict business and provide greater transparency across the ecosystem. Companies who require supply chain finance will be able to better track payments and orders with the use of blockchain

  1. Workflow Automation

Automation across the supply chain will continue to have a positive impact on process efficiency and decision quality. Companies will be keen to invest in artificial intelligence (AI) to improve, in particular, demand forecasting models, contractual processes, and the management of storage space and inventory. As for dealing with storage space and inventory, there’s a new concept called on-demand warehousing. It’s a flex win-win technology because it provides a flexible option to store inventory elsewhere for a period of time.

More and more companies will adopt Robotic Process Automation to automate repetitive tasks, speed up workflows, and reduce the error rate, with the direct benefits of reducing costs and improving quality. Supply chain and manufacturing are two functions most likely to see cost savings as a result of using AI, according to a recent survey by McKinsey & Company.

  1. Digital Control Towers

Many companies are turning to an innovative solution, the “digital control tower”. It’s a virtual center that provides end-to-end visibility and global control over supply chains. This control tower allows supply chain managers to track goods in transit in real-time and process updates anytime, anywhere in the world. In this way, companies can improve their collaboration internally but also with supply partners, better anticipate and resolve bottlenecks, and ensure real monitoring of information.

  1. Blockchain

Blockchain is the record-keeping technology, it’s a distributed, decentralized, public ledger. With Blockchain, digital information (the “block”) is stored in a public database (the “chain”). To add the new information to the “block”, a transaction must occur, it must be verified and stored, and a unique, identifying code must be given to the block. As explained by Exyte Team, these are all features that perfectly serve to supply chain, improving its transparency, reliability, and efficiency. The concept of blockchain for the supply chain is still in development, however, it has an enormous perspective for all industries.

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