TOPIC:

ASSIGNMENT

CLASS:

MBA-DAY

Semester -3rd

Submitted By:

AKHLAQUE AHMED

1825133

Submitted To:

Department of Management Science

SZABIST ISLAMABAD.

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DIGITALIZATION OF SUPPLY CHIN AND LOGISTICS:

Most of the company's investment in the digital field because of who wants to
more satisfying customers with the help of the internet application process. This
system is very helpful for companies because in these systems who get a lot of data
and those data related to companies' business plans. We know that today is big
issues of the right data of customers and if companies have not accurate data of
customers than who can't achieve maximum profits.

According to the history of the digital era companies got a lot of benefits from this
system. We have an example of *SAP system application software". With the help
of these software companies manage they're all are of business, marketing, finance,
HR, and supply chain. We are discussing the supply chain area this area lead by
CSO Chief Supply Chain Officer. These officers of only duties are the focus on
supply chain management functions and update to the system. The supply chain
function is ensured about operations from the client to suppliers.

THE TREND IN SUPPLY CHAIN MANAGEMENT.

According to the digital trend, the company faced a lot of disruption, problems.
Because companies rethink their design supply chain process. Currently, most of
the companies use technologies for the working process. According to customer
satisfaction, companies must follow the game trend. Companies adapt to new
technology, utilize and merge in their working system to gain new opportunities
for the business. According to my point of view this trend so effective for the
business profit.

In the current survey of the population rural area population day by day increases
and that shifts to regions' area. This shifting is a heavy influence on supply chain
management systems. According to the change of the demographic area which
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shows the labor availability will be increased in the coming time. Same as
customers' expectations day by day growing. The customer wants the online trend
for every product or service. According to this trend supply chain must be faster
and extra-precise.

VISIONS AND FUTURE STATE

Companies can't understand the customer's new requirements and don't know the
coming challenge to the supply side, also don thave any system, about their
improvement in the company system.

Companies have a chance to solve all the issues with the help of the digitization
system.

FASTER

Because Digitization is too much faster than other approaches. With the help of
digitization companies also distribution process will be good and delivery must be
on timing to customers. With the help of digitization, companies forecast or
predict they're future internal and external demand with the help of data.

In future times we will see *Predictive Shipping: meaning companies have know-
how about their customer's purchase timing when customers purchase or need a
product or service. With the help of this system, companies have already ready to
deliver to the customer their order.

More Flexible:

Simple, when companies face a heavy problem so who must be reduced to their
goal and adjust their time with the help of digitization.

MORE ACCURATE.

Coming Generation is to be advance as to the current generation so the company

must be prepared for the supply chain system.

MORE EFFICIENT:

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 Company must be an improvement in the supply chain in physical and planning.
Industry also allocates a new warehouse for raw material. Transport systems must
be good for companies because customers or storekeepers have limited resources,
products, and services. So, companies must be delivered the order on time.

DIGITAL WASTE PREVENTS SUPPLY CHAINS FROM LEVERAGING

THE POTENTIAL OF SUPPLY CHAIN:

According to the current digitization system waste a lot of supply chain sources. It
is difficult to understand how to waste the source. So, we are classified into 3
types of data waste source;

01 DATA CAPTURING AND MANAGEMENT: we see that today most

companies ta or manual data system which is also lost for companies.

Because in this data system companies waste a lot of time and not collect accurate
data about the real customer. Another example is the warehouse has advanced
shipping notification but have not a good transfer system. So, companies waste
data sources which are most important for the business.

02: INTEGRATE PROCESS OPTIMIZATION: we read about a lot of

companies who introduced the Integrate planning process in their business process
structure but there is will be a good way to follow at the upper level. Officers also
determined overall the planning or check out the data in the form of manual. So the
main point is that manual data is a negative impact on forecasting accuracy
because companies have not valid data. So, this problem will be solved with the
help of a digitization system, introduce each level of companies and must be given
training to all of employees about this system.

03: PHYSICAL PROCESS EXECUTION OF MACHINES& HUMANS:

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 According to the current business level, most of the companies have not good
transport systems or not good machinery. So, h Simple companies waste a lot of
time on this system. So, in simple words, companies waste a lot of time on this
process. Companies must update their machinery and improve the skill of labor
and manage the pick road which links to the main point. Warehouse must be
repaired and make a safe environment for the production process.

INCREASING OPERATIONAL EFFICIENCY LEVERAGING SUPPLY

CHAIN:

We know that a good supply chain process also beneficial for the company's
structure. The company adapts McKinsey's digital supply model in the
organizational structure. For the improvement organization business. Through this
model, every company will be a great change in services, Capital, and cost.

According to the McKinney Digital, the supply chain model introduces the
main 06 parts of the organization.

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Planning: Every company wants more benefits in the coming time so Mckinsey in
planning a step who introduced two factors is Predictive analytical and the other is
closed-loop planning. 01 predictive analytics companies predict their 100 to 1000
internal or external demand influence variable and company also prepare for that
impact and advance who make a strategy for the management.

ORDER MANAGEMENT: in this step companies think like sharp because they
want to more profit with low investment. In this step who introduced No- touch
order processing technology which runs with the help of digitization in this
company system automatically generates an order system without any click. But in
this process organizations have a good system and valid data and must be experts
who put data in systems. This system also uses less time and give accurate decision
for the right time.

COLLABORATION: in this step company must connect with customers and

suppliers. Simple company makes a joint planning structure for this collaboration
process. With the help of these systems companies always the right decision makes
for the customer or supplier.

SUPPLY CHAIN STRATEGY: through this system, the company also

understand the individual and customization need and wants of the customer. This
system is most helpful for customers because they decide about their purchase or
shopping. In this system customers also see their paise and think about their
purchase and make own design for the purchase of products or services.

IMPACT OF THE SUPPLY CHAIN:

According to the current situation, of business, we see that today is most of the
companies use new technology and provide good service to customers. Those
companies who not use this type of technology so will be in lose because they can't
fulfill their needs or can't understand the customer purchase power. So with the
help of this system companies measure 1000 of impact which is not good for the
business. In this use of qualitative calculation.

SUPPLY CHAIN: when we use this type of digitization system that automatically
extra expense will decrease and as well as time. Companies will go on the

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improvement side. If they use this technology who will be making a balance of the
business.

SUPPLY CHAIN PLANNING:

Every company of planning system just like demand planning, again structure or
advance prepare for coming S&OP process. So, than automatically companies will
be going to the growth side because who working advance to other competitors.

INVENTORY: this process used to main both side demand and supply and
analysis the main character of demand and supply. The main good point of
inventory is replenishment lead time. With too much production and companies
also fat change over to other companies. Long time means company do their
business in US-A and the EU with the help of inventory company reduces their
time in local level.

TRANSFORMATIONS INTO DIGITAL SUPPLY CHAIN:

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The company must-have capabilities and environments to adapt to this digitization.
When the company uses this system must thing is the IT landscape for this system
and must have the expertise for the run system.

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