Roadmap for a successful supply chain digital transformation of your business logistics
Transformation 6 min read

Roadmap for a Successful Supply Chain Digital Transformation of Your Business Logistics

The average supply chain has a digitization level of 43 percent, the lowest of five business areas that were examined. A mere 2 percent of the surveyed executives said the supply chain is the focus of their digital strategies. – McKinsey Study 

The inconsistency above statistics shows between potential and actual gains from supply-chain digitization is because of the technology gaps and the choices made by the management.

The technology gaps are due to the advances in supply-chain technologies caused by an initial burst of innovation. So, businesses are forced to streamline their operations, expand the capabilities of particular systems, and enhance other analytical practices.

Combining digital applications with operational changes helps companies realize potential growth that stands the test of time.

Even after such disruptions, such technologies failed to carry out the complex functions of transforming the entire supply-chain management. New and modern techniques allow business owners to optimize their supply-chain performance and take it to the next level.

Implementing supply chain digitization with proper strategy using modern technologies can transform entire operations and unlock new growth opportunities.

Let’s take a look at the basic transformation approach –

  • Ascertain the degree of change in their future supply chain
  • Assess the supply chain’s current status 
  • Develop the supply chain transformation road map 

When we talk about the digital transformation of supply chain management:

  1. The degree of change requires no-regrets improvement of the processes over time
  2. The assessment takes into consideration all the integrations and their impact on the supply chain
  3. The transformation roadmap requires certain timeframes for scaling up with digital solutions

Developing an effective strategy for supply chain digital transformation

The three easy steps towards value chain optimization for the business logistics:

1. Planning an effective supply chain transformation

Keep organizational digital vision as your start-off point, define the digital vision in line with other business leaders in your organization. Decide upon the type of digital experience you want to deliver to your customers, and identify the value chain opportunities required for delivering it.

The CEO’s priority is a critical juncture at this point, as highlighted by Gartner in their 2018 survey of 460 CEOs. The survey highlights that the business leader’s sole focus is on business growth, yet they are willing to operate with new operating models and corporate structures.

Once your company sets out a digital vision for its supply chain, it should articulate that idea in terms of business and technological capabilities.

These might include the following points:

  1. Better decision-making with Machine learning capabilities.
  2. Automated S&OP preparation and workflow management with process automation.
  3. Live notification for end-to-end customer engagement throughout the process.
  4. Business innovation model for supply chain automation process and seamless ERP integration.
  5. Talent requirements for digital applications enablement and implementation.

Setting up performance measures completes the company’s vision for its supply chain transformation. It requires the company to measure its current performance, find out the weak areas, and then set achievable improvement goals.

2. Aligning the supply chain operating model with your digital vision 

Around 25% of supply chain organizations are aligned with a singular governance process. The lack of alignment clarity creates a dearth of opportunities for the supply chain to support any retail or manufacturing business’s key digital vision.

The company must align the supply chain operating model with the digital vision. 

For instance, a product manufacturer’s business priority is to make sure that their customer’s equipment never runs into problems or remotely detect and troubleshoot the same for a better customer experience. With modern digital advances, this has become a reality, where the product manufacturer can digitally monitor the assets and provide real-time solutions. Such a service enables manufacturers to improve their service-based revenue streams.

If we talk about the real-world application of this instance, then HP’s Instant Ink suits the category perfectly where the manufacturer ensures the printers always stay online with a subscription-based model for ink or toner, hassle-free delivery, and prepaid recycling.

For delivering such digital business priorities, you need a digitized supply chain! The digitalization of the supply chain means more than simply responding to spare parts orders. It includes predicting potential failures, maintaining seamless spare parts supply, and providing service across the partner geological ecosystem to prevent unnecessary downtime.

To have such a supply chain infrastructure, manufacturers and retail businesses must invest in technologies such as: 

  • Data Analytics for real-time performance tracking & predicting failure
  • AI (Artificial Intelligence) and ML (Machine Learning) for successful automation of the process 
  • API integrations for sharing data with partners 

3. Prioritizing your technology investments 

The recent pandemic has shown the business world that the digitalization of processes is the step towards a safer future, driven by automation, predictability, and survival. Supply chain organizations must focus on operational improvements for boosting their bottom line and creating enough revenue for securing investment opportunities in future top-line technologies.

Business leaders need to modify their conventional and conservative approach to match the requirements of modern wider organizational goals and priorities. They need to reshape a future-proof digital supply chain that delivers more than just products but also an excellent customer experience.


A 2022 Digital Guide to the Global Supply Chain Crisis

Download Now

digital transformation in manufacturing

Creating a digital transformation roadmap for next-gen supply chain

Here is an illustrative guide to help you understand the supply chain digital transformation journey you need to start. 

Prioritizing the digital technology investments
  1. Strategy – Create a process roadmap that will guide your strategy execution
  2. Preparation – Streamline and unify your supply chain data 
  3. Analytical Approach – Create a data pool with powerful analytics 
  4. Development – Hire a digital transformation partner based on your digitalization goals
  5. Collaborate – Collaborate with your teams to carry out the successful supply chain transformation
supply chain transformation process

The supply chain transformation process is necessary for aligning the supply chain with your overarching business goals for deriving maximum efficiency. The supply chain transformation process redefines the responsibilities within your organization. This change cannot take place overnight and must be done in a step-by-step and strategic approach.

To conclude: Your value chain digitization must align with your strategy

The companies realize the potential benefits of using modern technologies, but they are still struggling to take the right approach towards transformation & implementation.

Businesses can bring flexibility and resilience to their supply chain operations while improving processes and lowering the additional transport costs when they develop a comprehensive roadmap for the opportunities.

By carrying out a thorough analysis of existing processes and drawing up a long-term transformation road map, the companies can better capture the actual value that digital technology can provide.

Digital Transformation

Enabling digital evolution in manufacturing

How we helped our client integrate, automate, and digitize disjointed systems and processes to grow their business?

View Case Study
digital transformation in manufacturing

Rapidops, Inc. is a digital transformation services company that helps many businesses including retail manufacturing and others industries with their supply chain transformation. We partner with global brands to provide them with seamless digital products for smoother operation and real-time data derivation.

Our digital products enable businesses to overcome their initial resistance to move towards digitalization. Want to discuss your next digital transformation opportunity? Get in touch with us, we would love to build your digital future with you.

Saptarshi Das

9+ years of expertise in content marketing, SEO, and SERP research. Creates informative, engaging content to achieve marketing goals. Empathetic approach and deep understanding of target audience needs. Expert in SEO optimization for maximum visibility. Your ideal content marketing strategist.


Let’s build the next big thing!

Share your ideas and vision with us to explore your digital opportunities

Similar Stories

Top Digital Transformation Trends for 2023 – Infographic

As the digital landscape evolves rapidly, businesses must stay ahead of the...

read more
Transformation 8 min read

Top Digital Transformation Companies That Are Setting Themselves Apart from the Competition

Witnessing the success companies achieve after implementing digital transformation proves that it is...

read more
Transformation 5 min read

Digital Transformation Examples: How Industries Leverage it

Technology has been changing the world since the beginning. The world we...

read more