Technology is continuously advancing by the second every day. While its impacts are felt by all industries, one in particular may be facing a total technological transformation: the supply chain.
A new white paper entitled “New Supply Chain Technology Best Practices (The Application of New Technology in the Physical Supply Chain)” by the Global Supply Chain Institute (University of Tennessee Haslam College of Business) analyzes five modern and innovative technologies for their effects on the supply chain industry.
The research explores the five technologies – drones, robotics, wearable technology, additive manufacturing (3D printing), and driverless vehicles – based on their current applications in the world, where they might be applied in the future, their benefits to supply chains, as well as any potential obstacles they may face before a wide-scale rollout.
The Technology to Come
All of these innovations suggest serious changes to supply chains with both monumental risks and rewards. One thing is made undoubtedly clear in the article’s findings; companies are well-advised to keep up, as every new technology proposes a potentially substantial disruption in competition.
Most experts seem to believe robotics will have the greatest impact, followed closely by drones and autonomous trucks. As far as rollouts of these technologies, it seems to be a consensus that the technology is being developed at a far faster pace than supply chains will be able to implement them. For the time being, experimentation has been a significant portion of what we hear about in the mainstream news, with countless big-name companies testing the latest advances like Amazon, UPS, Apple, and more.
Special Delivery
Regarding drones, the applications seem endless; from customer delivery to disaster relief and even pizza deliveries. Their capabilities have also extended to inventory, inspection, yard management, and repair services. They do, however, propose problems including battery life, safe deliveries, and weather conditions.
Robotics, while not a new technology, has advanced supply chains in new ways. Most experts believe robotics to be the most useful of the five technologies covered because of its broad spectrum of applications. Like drones, consumer deliveries by robots are being experimented, but robotics seem to be making great strides in order picking.
While many of these robotic advancements leave room for collaborative work with humans, one of the biggest setbacks is still the fear and mistrust of robots.
New Accessories
Wearable technology also presents an opportunity for impact on supply chains. The white paper separates the broad topic into smart glasses, wrist devices, tablet-like devices, and clothing sensors.
Smart glasses may combine augmented or virtual reality technology to connect people to inventory or warehouses to which they might not otherwise have access. These technologies may streamline order picking and allow for virtual engineering design. They also motivate gamification of the workplace. There is also a major concern for personal privacy, comfort, and theft.
Print it on the Way
Additive manufacturing, or 3D printing, has been around longer than presumed but its effect has not yet broadly impacted the supply chain. While it has become revolutionary by printing everything from body parts to sneaker soles, the article specifies that speed, materials, and cost will play a vital role in how its supply chain evolution transpires.
Some experimentations and possibilities for 3D printing for the supply chain include the printing of products in route, quickly created repair parts, mass customization, personalization, and even 4D printing options. There are also “ultra-futuristic” concepts claiming that the ability to print any product anywhere will eliminate the supply chain altogether.
Driverless Deliveries
Driverless vehicles have immense potential to improve productivity, fuel use, delivery times, and flow of goods. The technology has been around and continually developing for over a decade now, and experts believe its widespread rollout is closer than we may think. Experiments, mostly successful ones, are being held globally by some of the biggest companies in the game including Tesla, GM, and Fiat-Chrysler.
There are, however, common sense barriers that must be overcome. Infrastructure improvements, such as street signage, are vital. Government regulation, reliability, and even cyber-security are all major concerns. The most obvious barriers are not only overall safety but a greater social acceptance of driving alongside autonomous vehicles.
Risk, Reward, and the Future Supply Chain
All five of these technologies come with their own unique – but overall similar – risks and rewards. Which, if not all, become mainstream parts of the supply chain are up for debate; however, this article suggests a clear step-by-step process for companies to ensure they don’t get left behind by the competition. The suggestion is clear; embrace the changes coming and the enormous opportunities they present.
The supply chain is an industry that can greatly benefit from the experimentation and probable utilization of these new advancements, and all the ones yet to come.