Page 11 - Logistics News - September October 2022
P. 11
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? •
www .l o g ist i csn e w s .c o .z a SEP T E MB E R/O CT O B E R 2022 9