Big data is becoming more and more accessible to companies every day because of recent digital advances. These innovations allow companies to access and store large amounts of info cheaper. However, with this opportunity, there are some risks.
Risks in the supply chain
Imagine you come across a forest, where there are many ways to feed yourself, and where there are many dangers, such as jaguars, mosquitoes, and poisonous fruits; you have to go through the forest despite the dangers. The same happens in the supply chain, there are a lot of contingencies every day, but you have to keep working.
Some of the daily risks are unforeseen demand, vessel breakage, loss of cargo, lack of visibility, lack of communication, wasted time, etc.
Big data for Supply Chain & Logistics
Big data offers to the supply chain businesses some solutions and opportunities at the same time.
To apply big data in your logistics business, you need to set the goals of your company and the reality in which it finds itself. For example, 43% of companies worth over 1 billion suffer cyber risks, while for smaller companies (up to 100 million dollars) the percentage is only 21%. You also have to establish your priorities. In this case, it is good to analyze the market trends, to know what your competitors do. For instance, in 2021, 20.2% of businesses prioritized business continuity planning to prevent risks and prosper in the supply chain; 16.2% invested in technology and automation of operations, and 5.8% sought to establish real-time visibility. The idea is to understand where the market is going to make decisions over time and avoid falling a little behind.
How big data helps players to maximize their production
For carriers, big data is very useful for obtaining details on delivery time, taking into account weather, driver characteristics, time of day and date, and real-time capacity availability. With this information, the company optimizes routes and reduces driver turnover and driver assignment. In other words, carriers reduce risks and costs, which ultimately increases their ROI.
For manufacturers, big data helps them reduce shrinkage, get efficient feedback from consumers, manage their inventory faster, and improve their lead times and reporting. All this makes their production more efficient.
Retailers obtain specific data, such as customer sentiment data and how they use their mobile devices in stores. This type of data helps them to continuously improve the accuracy of the inventory system, linking local traffic congestion and weather to store traffic, and reducing labor due to the reduction of misplaced inventory.
These are just a few examples of all that Big Data can do for you. Have the opportunity to improve your performance no matter what type of player you are. Enter the new era of logistics by applying Big Data and become more competitive.
Write us and know how to manage big data for your supply chain business!