JUNE 202319inventories. A smart warehouse within a smart factory, combined with AR, VR, and AI techniques, will significantly alter how warehouses have been operating till now. Automated Guided Vehicles - Automated Guided Vehicles play an important role in the material flow in a digitized factory. They reduce manual activities like driving forklift trucks, accelerate transportation, and help in making processes more predictable. The industry is gradually moving towards AGVs.Smart Sensors - Smart sensors provide digital insights that help generate new value throughout the supply chain. Managers are updated with real-time information about their inventory, machinery, and purchased materials. Smart sensors also provide visibility throughout the supply chain and fuel analytics. This data helps to better understand and predict demand, optimize sourcing, and make high-value manufacturing decisions. Smart sensors have the potential to improve the supply chain process by increasing operational efficiency, lowering manufacturing costs, and providing critical insights into customer orders. Smart sensors would help simplify predictive maintenance and inventory management. It also aids in increasing labor productivity and accuracy along with updating the management about future product development and after-sales services. Digital Tools - With the standardization of business processes across the world, at continental we have started integrating different SAP and ERP systems. For instance, 'Spirit'- Strategic Process Integration Rolled out an International Template which integrates all ERP systems and business processes into a single system, allowing for end-to-end supply chain planning, from customers' demand to customers' fulfilment. SAP - APO can handle all of the organization's processes (Advanced Planning Optimization). Customer Demand Planning, Monthly Volume Review Planning, Suppliers Scheduling, and Production Sequencing and Scheduling (PSS) with Customer Order Fulfillment via SAP SD module comprise the entire planning cycle. These Demand Planning and Supply Management tools, as well as the distribution of weekly MRP schedules to the company's global supplier base, aid in securing global and local supplier capacities and meeting customer demands in a JIT environment. This ensures that the company has the right products, components, and goods at the right time, in the right quantities, and of the right quality manufactured on the most technologically advanced and automated production lines. Tools such as automatic replenishment, TOMS (Transport Order Management Systems), and GPS-enabled vehicles (outbound logistics) are improving the efficiency of Supply Chain Management (SCM) processes and are used at Continental. Supply chain technological advancements are expected to enhance the function. However, if they are not implemented correctly, they can cause problems. Changes in SCM technologies, for example, will create new job roles on the shop floor while rendering some roles obsolete. There is a need for companies to implement various reskilling, cross-skilling, and side-skilling programs to address this issue.Another potential issue is cybersecurity. While connectivity and smart technologies would make SCM processes more insightful and productive, they also have the potential to expose organizations to cyber threats and vulnerabilities. Being a part of a supply chain ecosystem necessitates attention to proper vendor management. Third parties with authorized access to the company's network can become unwitting attack vectors. A corrupt actor who steals a third party's login credentials could potentially gain access to the company's network by posing as an authorized user. Even if some processes are not integrated into the Internet, the manufacturing setting must be considered fully integrated. Although many breaches begin in IT networks, hackers or attackers may move on to other parts of the environment via connected devices. Furthermore, information about the non-connected process may also be included in some connected devices. Supply Chain processes are becoming more digital, intelligent, and interconnected. AI, smart sensors, AGVs, and digital tools are just a few examples of how the industry is adapting to change. This will aid in cost optimization, increasing productivity, and identifying process improvement opportunities. To summarize, the full potential of SCM 4.0 will be realized in the coming years through maximum digitization and effective implementation is required to reap the benefits. The COVID-19 pandemic has further accelerated this transition on a global scale. AI enables businesses to make smarter, more agile decisions and anticipate problems
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