Page 11 - Logistics News - September October 2022
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OP I N I ON









          Adoption of flexible supply chain management   augmented intelligence is identified as a tool that requires




          software                                      the use of humans to provide deeper insights into the
          Supply chain management software is available in a   supply chain. These are decision support systems that are


          variety of different software packages, such as transport   feedback-driven, self-learning and self-assuring, which
          management software (TMS), warehouse management   emulate human cognitive abilities. Supply chain augmented
          systems (WMS) and vendor management software (VMS).   intelligence systems are not independent and combine
          The goal of adopting these types of software into a business   the strength of human reasoning and creative judgement

          is to alleviate risks, improve communication and customer   with machines’ flexibility, accuracy and speed to drastically

          service, reduce costs, improve control and assist with   improve cognitive performance and business decision-
          forecasting and decision-making. There are many supply   making. Some of the most prominent uses of augmented

          chain software packages that have been developed to adapt   supply chain intelligence are to process spatial navigation,
          to the changes of a business, but there are only a few that   drive machine vision and machine learning, and improve
          can adapt to drastic changes in the operating environment.   logistic reasoning.
          These packages are identified as complete business software


          packages that take various elements of a business and   The development and adoption of evolving


          integrate them into one system. Unfortunately, software   technologies within the supply chain field are growing
          systems that implement this holistic approach are generally   in popularity, but are still in their foundational phase.
          more expensive to adopt than their simpler counterparts,   A core contributor to the lack of investment in evolving
          which ultimately leaves organisations with the age-old   technologies is that organisations have never faced

          trade-off between price and quality.          the level of threats that are now prevalent worldwide.
                                                        Technological advancements within the supply chain
          Automation of warehouse activities            were once seen as a method of reducing costs and



          Warehouse automation is the inventory movement   improving efficiency, which is no longer the case.


          into, within and out of the warehouse with little human   Technology has now become the backbone of many
          intervention. Automating warehouse activities was once   organisations attempting to navigate the complexity and
          perceived as a non-essential technological advancement   volatility facing business operations and performance.
          as humans could conduct many operations instead of
          expensive robotic systems. The adoption of these systems   Technological advancements are becoming reactive

          grew in popularity during the COVID-19 pandemic, which   tools to counter the emergence of factors that directly
          highlighted the importance of adopting independent   impact business performance. This is a flawed approach


          programmable systems to ensure the smooth movement of   as it takes time to adopt new technology into business
          goods from the warehouse towards the consumer without   processes and it should therefore be a driving force within
          reliance on human intervention. Several organisations   an organisation, not just a defence mechanism against
          previously considered this technology to be a threat to   external threats. Organisations need to adopt technologies
          employees within the warehousing sector. However, it   that will grow with their supply chains and serve as a
          is now considered a necessity due to the volatility of the   solution provider during times of duress as opposed to


          global environment, which directly impacts the availability   technologies that serve as a once-off fix that will become
          of the labour market. Overall, the automation of warehouse   outdated in the near future.
          activities directly impacts organisational performance and
          competitiveness through reduced errors due to human   While the world struggles with new threats to both
          intervention and the realignment of organisational   human health and the business environment, supply chains
          resources to other business processes.        continue to be the support systems that maintain society
                                                        and businesses. If supply chains do not evolve at a fast pace,   L O GI S T I CS NEWS
          Augmented intelligence systems                they will also be overwhelmed and succumb to the threats
          Augmented intelligence is the development of human   facing the world of tomorrow. So ask yourself, is your

          intelligence using artificial intelligence.  Additionally,   supply chain evolving or facing extinction? •

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