Saas platform gives companies cutting edge technologies in supply chain management that not only drive innovation but also disrupt traditional methods of doing business. It has transformed supply chain management and logistics operations in recent years. As per research, the global Saas based supply chain market reached $6.04 billion in 2021. Market research has also indicated that the market will be reaching $14.49 billion in 2027. The actual question arises why the supply chain industry is moving towards adoption of Saas?
What is Saas based supply chain management?
Software as a service (Saas) based SCM denotes an application that is used for cloud based data management of multiple operational processes occurring throughout the supply chain. Saas offers enhanced order and inventory productivity and eliminates redundant processes but it also provides a system that automates the configurations of operational workflows based on their requirements.
Innovation of Saas bases SCM
Informational technology sector is at a boom and the result of this boom is digitization of everything within parameters. However, new technology becomes expensive and only well established businesses can afford it. On the other hand Saas based technology solutions have made it possible for all size businesses to automate and digitize their business. This is why there is sudden growth of Saas based SCM.
Ways Saas Reshaping Supply chain management?
Innovation and technology driven approach
AI based software has given us the ability to access anything from anywhere in the globe. Businesses can handle their inventory and review their monthly budget anytime. Such innovations give authority to employees of the company to manage and perform all business activities effortlessly. Because of this supply chain managers can get updates of their inventory, monthly budgets, purchases and sales anytime. They are not concerned about traveling to their warehouse every other month just to analyze their inventory. Now its possible by sitting at home.
Powerful integration
The integration software allows businesses to connect with other business systems and simplifies their processes. From checking accounts to shipping goods and fulfilling orders, there are many types of integration that a business can make its business process smooth. Effective integration system boosts productivity and scales higher profits.
Minimizing operational discrepancies
Human errors were high when businesses had to record their inventory inflow and outflow through spreadsheets. But when the operations started getting completely automated, the chances of human errors reduced by 50% in processes. Saas not just reduced human errors it also reduced chances of data duplications. On the other hand it also provides a solid support system.
Complete transparency of data
Saas products provide complete transparency over data and operations of business. They usually send notifications and alerts regarding where the order has reached, how much time to reach the retailer or warehouse in real time. Moreover, we can analyze the highest selling item, low cost products and other market trends within seconds. These actionable insights can be used to enhance the overall performance of a warehouse.
Conclusion
Supply chain management is a complex process but when Saas enters the picture it becomes easy and manageable. More and more businesses are switching towards Saas based SCM and according to a McKinsey report. In future, we’ll be witnessing a fully automated supply chain process in 2022”, follow us on Facebook, Twitter, and LinkedIn.