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IoT in Supply Chain Management

• Enrolment No.: 200301005 | Student Name: Debojyoti Mondal


• Enrolment No.: 200301017 | Student Name: Rahul Choudhary
Supply Chain
Management
A supply chain is the network of all the organizations, individuals, resources,
technology involved and the activities in the production of a product and the
sale of a product, from the delivery of materials to the manufacturer from
different suppliers and with the end delivery to the end consumer
What is The supply chain section whose main responsibility is to provide the finished
product to the end consumer by different means of transport is called the
Supply distribution channel

Chain? Supply chain management or SCM is the management of information,


materials and finances as they are moved from one hop to such as the flow
from supplier to the manufacturer and then from the manufacturer to the
end user
Planning –All the resources are passed through
proper planning which is required to meet the
consumer demand for an organization’s service or
a product
There are six
components of Sourcing – Suppliers are being selected to provide
the materials and services which are needed to
create the end product
almost all
kinds of Making – Activities are being organized to accept
the received raw materials from the suppliers,
manufacture the product, quality testing and
supply chain packaging for shipping and the delivery schedule

management Delivering – Coordinating the customer orders,


scheduling of different deliveries, shipping loads,
invoicing customers and receiving finances for
product or services
There are six Returning – A network should be
created whose main purpose is to
manage the return of defective
components of products and the return of payment or
replacement of the defective item
almost all
kinds of Enabling – Support processes are
established to monitor information
supply chain flow throughout the supply chain
process and ensure compliance
management through all regulations
Challenges of the sector
Increased Costs Throughout the Supply Chain

Supply Chain Complexity Due to Multiple Channels to Market

Consumer Demands Drive Need for Improved Speed, Quality and


Service
Risk in the Supply Chain Creates Pressure

The Impact of Supply Chain Volatility


IoT based solutions in supply chain

Better Maintenance Practices Improves forecasting Enables better track and Streamline co ordination
enables performance accuracy. trace of inventory. - between warehouse and
measurement and monitoring to Accurate Asset Tracking logistics.
avoid errors and malfunctions.
predictive maintenance approach.

Ideal for assets management Can provide direction to


Helps prevent loss and
such as fleet of trucks and drivers regarding
damage of goods.
service vehicles. conditions and trailer
delivery times.
IoT based solutions in supply chain (continued..)

Able to integrate forecast


Can provide precise location of an item, Prevents spoilage and wastage
weather changes with route
reducing the time it takes to find in by monitoring the date to
schedules to enable better
inventory. - Improved Inventory Practices expiration on each good.
delivery decisions.
/ Locate goods in the warehouse

Provide real time data to Aids in creation of error-free


provide insight to support processes.
strategic and tactical decisions. -
Transparent Marketing
Benefits of IoT in supply chain

Higher speed - increase the overall supply Higher accuracy – real time Improved flexibility - reduces the
chain speed exponentially, shorten the data can address issues fast impact of human error, high
feedback circle, faster decision-making, with higher perfection. precision in asset tracking, shipping
proactively mitigate delay risks, improve the and navigation for the drivers on
efficiency of locating goods. the road.

Increased efficiency - Tools like smart


Better segmentation - good way for retailers to
glasses help workers seamlessly to
learn more about their products, customers and
ensure they spend less time completing
demand and build relevant strategies
a task
Challenges of using IoT in logistics and supply chain

Skill gap - require intensive training for Increased data storage challenges – need
warehouse workers enough server power to store and process
all the collected data, need data scientist.

Connectivity issues – need strong internet


Security threats - outside attacks and leaks, data
connection for wireless devices. Sol -
security, shared data and technology in cloud.
Internet coverage increases and 5G
becomes widely available.
IoT in supply chain: examples and success stories
Amazon (IoT and the Smart Warehouse) – A symphony of humans and machines working
together
• Every one of Amazon’s orders is unique, meaning it manages millions of
different products of various shapes, weights and sizes.
• Amazon employees used to roam warehouse floors to scan for each
product.
• Now, they use Wi-Fi connected robots provided by Kiva Systems –
which Amazon acquired in 2012 (now named Amazon Robotics) – to
identify products by reading QR codes using built-in cameras for
warehouse management, lifting and transferring products from one place
to another inside the warehouse.
• The AI system assesses which products are to be prioritized for Amazon
Prime orders, for example, and the robots do the rest.
• Its robots and humans working side by side through IoT.

Benefit:
• Human workforce became more productive, allowing people to
focus on tasks like packing, wrapping, or inventory management.
• Optimization in Product Placement.
• Performance Optimization.
• Cost reduction.
Volvo
• Volvo Group implemented IoT tracking solution in its Trucks plant
located in Blainville to track and locate trucks during the production
and customization process.
• Used to waste hours of their time everyday looking for vehicles on
the huge parking areas of the factory, having to track around 250
trucks in a plant which produces 72 vehicles and assembles over 230
cabs daily.
• Introduced Abeeway’s GPS Industrial Trackers in every truck.
• Real time tracking information sent to ThingPark LoRaWAN
Network Server using LoRaWAN®.
• Long-range communication at a low data rate, reducing power and
cost of transmission, bi-directional communication, end-to-end
security, mobility and localization services.
JJ Food Service (UK's Food Service giant builds IoT Solution for Supply Chain
management, achieves control over its food temperature in-transit)
Leading food service specialist that supplies food & non-food items to 30,000 plus customers of varied business like
restaurants, cafes, etc across the UK.
The Challenges:
• During the food order delivery, if the temperature of perishable food is not optimal then there is a risk of customer returning
the goods.
• The truck drivers used to monitor the temperature of the truck and goods periodically. Manual monitoring.
• If there are any mishaps during transit like incorrect loading and damaged goods. Drivers used to manually make the
adjustments and issue credits for the customers before collecting the cash.
IoT Solution:
• Used Microsoft Azure platform and IoT expertise.
• The IoT enabled devices used in the solution are Bluetooth
ZenMeasure sensors installed in the delivery truck compartment,
which capture freezer and chiller temperature.
• It collects data from IoT enabled devices, stores and monitors the
temperature using Windows Phone application.
• For real-time temperature monitoring, they triggered Windows Phone
background tasks that send real-time data of temperature to Azure
Event Hub and stores the same in Azure SQL DB locally.
• Provided meaningful real time reliable insights to customer, helped
increased customer base.
Main players providing such
services along with their
business/service models
Indian Context
There are a large Lets take a look at
number of some of the
companies promising Internet
working on a wide of Things
variety of solutions companies in India
TagBox’s flagship solution Boxlens, a supply
chain monitoring IoT platform, is helping
organisations solve three key challenges -
product quality and compliance, end-to-end
traceability, and operational efficiency
TagBox
An interesting aspect about the platform is
that it not only helps in improving the
visibility of the products and assets, but also
the process and environment in which they
operate

TagBox provides a completely wireless


hardware setup and a fully configurable
software platform
Data captured from the IoT devices
help companies to monitor the
performance and health of their
drivers
Eyedentify – The company leverages IoT and
analytics to monitor driver behavior
Driver and vehicle location in real-time
Monitoring
Eyedentify’s DMAS uses dashboard
cameras to detect conditions such
as drowsiness, fatigue, and
distracted driving
Today, supply chain firms’ primary objective is to
ensure just-in-time distribution, visibility of the
supply chain, accountability of the product
lifecycle and quality services
Any supply chain company’s performance lies in
inefficient warehouse control and warehousing,
internal sales process automation, quick delivery,
and secure storage and standard of products
CONCLUSION The Internet of Things is going to revolutionize the
supply chain domain by taking with it intellectual
connections and use cases

IoT-based technologies are being widely adopted


in the industry, providing multiple benefits and
opportunities

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