Supply chain disruptions can arise from various sources, such as extreme weather events, geopolitical tensions, or unforeseen technological issues, leading to significant operational and financial setbacks. However, location intelligence leverages geospatial data and advanced analytics to provide invaluable insights into the intricacies of supply chains.
By understanding the “where” of their operations, businesses can optimize routes, monitor risks, and make data-driven decisions that enhance their overall resilience. Recently, we held a webinar on Building Resilience in Supply Chains Using Location Intelligence (LI), and we are discussing the key takeaways from this webinar in this blog.
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Our esteemed speakers included Sanjeev, Tech Lead Architect at AWS with over 25 years in technology and digital transformation, and Shravan, Senior Director of Client Success at Straive.
Watch the webinar on-demand video here:
Understanding Supply Chain Resilience
We began the webinar with an understanding of supply chain resilience, crucial at a time when global risks such as extreme weather and cyberattacks frequently disrupt supply chains. Examples such as reduced ship traffic due to droughts in the Panama Canal illustrate the tangible impacts of these disruptions.
Technological Solutions to Enhance Resilience
The panel discussed how businesses are rethinking their supply chain structures in response to recent global disruptions like the COVID-19 pandemic. This includes moving away from global just-in-time supply chains to more localized models, thereby reducing reliance on overextended supply lines.
Shravan mentioned our two major location intelligence projects done for United States Cold Storage (USCS) and a major German manufacturing company:
- United States Cold Storage: By linking analytics to strategic imperatives, they achieved a 16% reduction in warehouse dwell times.
- German Manufacturing Giant: Implemented a three-year data strategy, realizing business benefits worth $207M.
Read our USCS Case Study here:
These projects highlight how integrating advanced analytics and location intelligence can lead to significant cost savings and operational efficiencies. For both clients, we streamlined the following activities:
- Load Planning: Optimizing logistics to reduce costs and carbon footprint by choosing routes that maximize load efficiency.
- Smart Mobility: Improving driver safety and efficiency through real-time telematics and GPS data.
- Risk Monitoring in Agricultural Supply Chains: Using satellite imagery to monitor and mitigate risks in crop production.
- Strategic Site Selection: Optimizing the location of distribution centers to maximize coverage and efficiency.
Key Trends of Supply Chain
Further, we discussed that incremental changes are insufficient to bring more resilience to a supply chain. We need to make more drastic changes. We also discussed the key trends of the supply chain:
- Strategic Structuring of Supply Chains: Post-COVID-19 pandemic, businesses are shifting from global to local or regional just-in-time supply chains.
- Sustainable Innovation: Moving from compliance-driven to innovation-driven sustainability, redesigning products and processes to manage risks and leverage opportunities.
- Digital Technology Integration: Shifting from implementing digital tools to integrating digital technology into decision-making processes.
In addition, we explored sustainable supply chains involve economic, environmental, and social sustainability:
- Economic: Optimizing logistics to reduce empty space and kilometers traveled.
- Environmental: Reducing waste, aligning with circular economy principles, and decarbonization.
- Social: Ensuring no forced or child labor in supply chains and tracking climate and nature risks.
GenAI in Supply Chain
At the end of the webinar, we discussed the role of Generative AI in the Supply chain:
- Generative AI will play a significant role in geospatial applications, making them more accessible and easier to use. However, the cost and justification of implementing such solutions need to be addressed.
- Generative AI, particularly vision transformers, will enhance feature extraction and segmentation in geospatial data processing, leading to better outcomes.
Concluding Thoughts
Our speakers concluded that while location intelligence and digital transformation are crucial, understanding the specific needs and contexts of businesses is key to effectively leveraging these technologies. They also noted the growing importance of sustainable practices in supply chain management.
This webinar not only highlighted the critical role of geospatial AI in modernizing supply chains but also demonstrated the practical benefits of these technologies through real-world applications. As we continue to navigate a rapidly changing global landscape, the insights shared today will undoubtedly play a vital role in shaping future supply chain strategies. For more information, watch the on-demand webinar recording.https://gramener.com/demorequest/
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