The Future of Supply Chain Management: Technological Transformations (Essay Sample)

The Future of Supply Chain Management: Technological Transformations Name Institution Instructor’s Name Date The Future of Supply Chain Management: Technological Transformations Supply chain management (SCM) is currently in a transitional state due to the evolution of various technologies. Traditionally, SCM has used the conventional model, which relies heavily on rudimentary methods to achieve its goals. However, we predict that autonomous driving cars, drones, additive manufacturing, or 3D printing, and robotics will significantly transform these processes. This paper discusses past supply chain activities and understands how these technologies will transform the future.  Historical Perspective In the past, manual processing posed challenges to SCM operations. According to Christopher (2016), inventory management included physical stock counts and was characterized by common mistakes like stockouts or overstocking. For instance, the restricted information flow between the supplier and the retailer led to the processing of orders taking days, which in turn affected production schedules and increased costs. However, with the advent of Electronic Data Interchange (EDI), which made data exchange faster, the general problems arising from manual work remained. Christopher (2016) also pointed out that while EDI helped to enhance communication, most channels involved human interface, which led to many delays and mistakes at almost every stage of the supply chain.  Technological Advancements Within this hierarchy, the following key technologies currently define the face of supply chain management: Ivanov and Dolgui (2019) describe the latter, highlighting the nature of these changes and the potential for self-driving vehicles to reduce transportation costs and duration. For instance, companies like Tesla are developing and piloting road transport vehicles such as trucks, which can operate day and night without human limitations or fatigue, thereby reducing the risk of accidents. This technology is a shoe that overthrows the manually driven trucks in the past and provides a more efficient and reliable means of transport.  Drones are another technology that is predicted to tremendously disrupt the field of SCM, especially in last-mile delivery. Ivanov and Dolgui (2019) give an insight into how, through drones, Amazon's Prime Air aims to deliver parcels within thirty minutes, thus cutting down the time taken and the contribution to the environment through fuel-bearing vehicles. This sharply contradicts the slower and less effective method used in the past in making deliveries.  In addition to the equipment's high cost, 3D printing contributes to the shift towards localized production with shorter supply chains. Ivanov and Dolgui (2019) document how companies like aerospace firms use the 3D technique for printing components at the point of use, thus replacing expensive outsourcing and offsetting supply risks. This deviates from the conventional approach of using global sourcing networks, which are prone to dif...