The Digital Supply Chain

Front Cover
The Digital Supply Chain
The Digital Supply Chain
Copyright
Contents
Contributors
Preface
1 - Introduction
1 - The Digital Supply Chain—emergence, concepts, definitions, and technologies
1. A transformative decade
2. Emergence of the Digital Supply Chain
2.1 The digitalization of supply chains
3. Building blocks for the Digital Supply Chain
3.1 Smart Factories, Smart Warehouses, and Smart Logistics
3.1.1 Smart Factories and Industry 4.0
3.1.2 Smart Warehouses
3.1.3 Smart Logistics
3.2 The Cloud and platforms
3.2.1 Cloud computing
3.2.2 Platforms
3.3 Analytics, Data Science, and AI
3.4 Emerging technologies—Blockchain, Digital Twins, and the Internet of Things
3.4.1 Blockchain technology
3.4.2 Digital Twins
3.4.3 The Internet of Things (IoT)
3.4.4 5G, Edge, and Fog Computing
4. Defining the Digital Supply Chain
5. Many opportunities, many challenges
6. Outline of book contents
Referencesa
2 - Digital building blocks and enabling technologies
2 - Digital Manufacturing: the evolution of traditional manufacturing toward an automated and interoperable Smart M ...
1. Introduction—the evolution of production paradigms
1.1 From Computer-Aided Manufacturing (CAM) to Computer-Integrated Manufacturing (CIM)
1.2 Industry 4.0 and the emergence of Smart Manufacturing Systems
2. Interoperability and automation
2.1 Interoperability and ontologies
2.2 The pyramid of industrial automation
2.3 Generic approaches to implement interoperability in smart manufacturing ecosystems
2.4 The smart factory: connectivity, automation, and data
2.5 IoT architectures for automation, interoperability, and monitoring of Industrial Big Data
3. Interoperable Digital Twins and predictive maintenance in modern manufacturing
4. Digitalization and smart factories: trends and future challenges
4.1 Product lifecycle management
4.2 5G for smart manufacturing and Industry 5.0
5. Conclusions
Glossary of acronyms
References
3 - Smart warehouses—a sociotechnical perspective
1. The digital supply chain transforms the requirements for warehousing
2. Warehouse management
3. Smart warehouses: enabling technologies
4. Order-picking in the smart warehouse
5. Smart warehouses are sociotechnical systems
6. Conclusions
References
4 - The Internet of Things—an emerging paradigm to support the digitalization of future supply chains
1. Introduction
2. The basic concepts of IoT
2.1 IoT architectures
2.2 IoT and CPSs
3. Supply chain management, novel digital technologies, and IoT
4. IoT applications in OM and SCM
4.1 Agri-food
4.2 Cold chains
4.3 Other manufacturing domains
5. Future challenges for IoT in the supply chain
5.1 Security and data privacy
5.2 Standards, identification, and naming services
5.3 Big data generation
6. Perspectives on IoT adoption and implementation in supply chains
7. Conclusions, limitations, and future research
Appendix A
References
5 - The cloud, platforms, and digital twins—Enablers of the digital supply chain
1. Introduction
2. Perspectives on cloud-based systems
2.1 Defining cloud computing
2.2 Software as a service
2.3 Cloud-based Enterprise Resource Planning (ERP) systems
2.4 Advantages and challenges for enterprises adopting cloud computing
2.4.1 Advantages
2.4.2 Challenges
3. Platform technologies
3.1 Characteristics of digital platforms
3.2 Platform commerce
3.3 Platform ecosystems
3.4 Manufacturing as a Service (MaaS)—combining platforms and the cloud
4. Digital twins
4.1 Defining a digital twin in a supply chain context
4.2 Applications of digital twins for supply chain resilience management
5. Conclusions
References
6 - Algorithms, Analytics, and Artificial Intelligence: harnessing data to make supply chain decisions
1. Introduction
2. Current and prevalent algorithms and AI techniques
2.1 Prescriptive techniques
2.2 Predictive techniques
2.2.1 Predictive analytics using statistical tools
2.2.2 Predictive analytics using AI
3. Current AI and algorithmic applications with the most impact
4. Potential techniques and emerging areas of application for AI and algorithms
5. Conclusion and perspectives
References
7 - The impact of digitalization on contemporary and future logistics
1. Introduction
2. Digitalization in logistics and supply chain management
3. Cloud-based systems
4. Emerging technologies
4.1 Platform logistics
4.2 Artificial Intelligence
4.3 Pervasive computing and Internet of Things
4.4 Digital twins
4.4.1 Ocado and the digital twin concept
4.5 Physical Internet and Industry 4.0
4.5.1 Amazon and cyber physical systems
4.6 Big data and Business Analytics
4.6.1 Big data in ports
4.6.2 Fifth-generation communication technology and smart logistics
4.6.3 5G and smart ports
5. Concluding observations and future prospects
References
8 - Blockchain technologies in the digital supply chain
1. Introduction
2. Functionality of blockchain
3. Blockchain in the academic supply chain literature
3.1 Methodology
3.2 Drivers of blockchain adoption in logistics and SCM
3.3 Barriers to blockchain adoption in supply chains
4. Industrial applications of blockchain
5. Conclusion and further research
References
3 -Managing the Digital Supply Chain
9 - Digital architectures: frameworks for supply chain data and information governance
1. Introduction
2. Data as a resource—the need for data quality
2.1 Data and information management frameworks
2.2 Data and information landscapes and information ecologies
3. Data and information architectures
3.1 Data management in cyber-physical SC environments
3.2 Data governance in the SC environments
4. Data sharing agreements
5. Data attributes, sharing, and access control
6. Actors, roles, and relationships in data sharing
7. Conclusions
References
10 - Supply chain traceability systems—robust approaches for the digital age
1. Introduction
2. Visibility, transparency, and traceability
2.1 Being visible and transparent
2.2 The usage of terms—traceability, traceability system, tracking, and tracing
3. Motivations for traceability and transparency
3.1 Increasing operating efficiency
3.2 Meeting legal compliance
3.3 Managing risks
3.4 Building trust and confidence
4. Information requirements for traceability systems
4.1 Traceability standards
4.2 Common information building blocks
4.3 Working with information in a common language
5. Enabling technologies
5.1 Laser and camera-based system with barcodes and QR codes
5.2 Radio frequency identification and near field communication
5.3 Internet of Things and blockchain
6. Challenges
6.1 Cybersecurity—supply chain cybersecurity and multiple-party authentication
6.2 Standards—building standards and harmonization of guidelines
6.3 Data quality—unsynchronized data and signal corruption
6.4 Integrating new technology
6.5 Competing interests among stakeholders
7. An illustrative case: the wood supply chain
7.1 Motivation and challenge
7.2 Relevant information
7.3 Enabling technology
8. Conclusion
References
11 - Digital purchasing and procurement systems: evolution and current state
1. Introduction—the rise of digital procurement systems
2. The development of digital procurement systems
2.1 Early computer-assisted purchasing with MRP and spreadsheets
2.2 The integration of procurement and supply chain management through Electronic Data Interchange (EDI) and ERP
2.3 Characteristics of contemporary digital procurement systems—P2P and S2P
2.4 State of the art in practice
3. Research perspectives on digitalization of procurement
3.1 Research on digital procurement systems adoption: technology readiness
3.2 The need for wider research on contemporary digital procurement systems
4. Hitachi case study
4.1 Start of Hitachi's digital procurement system journey
4.2 Hitachi Rail Group: implementing Jaggaer
4.3 Pilot study: supporting tenders on high-speed bid projects
5. Looking ahead: the future of digital procurement systems
5.1 Further automation of digital procurement systems
5.2 The future of S2P digital procurement technology
5.3 Data integrity and cyber security in future digital procurement
6. Conclusions
References
12 - Measuring and managing digital supply chain performance
1. Introduction
2. A framework for performance management in digital supply chains
2.1 Traditional view of performance management in supply chains
2.2 Importance of data in digital supply chains
2.3 A data-driven framework for performance management
3. Case studies
3.1 Cisco Systems
3.2 Ramco Cements Limited
3.3 Tetra Pak
4. Impact of emerging technologies on performance measurement and management
4.1 Supply chain dashboards
4.2 Other emerging technologies
5. Conclusions
References
13 - The art of cyber security in the age of the digital supply chain: detecting and defending against vulnerabilit ...
1. Introduction
2. Governments, consultancies, and industry approaches
3. Research on supply chain cyber security
4. Research frontiers
5. Conclusions
References
4 - Digital Supply Chain - sectoral cases
14 - Digital retail—key trends and developments
1. Introduction
2. The reshaping of the retail value chain
2.1 Manufacturing in the retail value chain
2.2 Retailing—the emergence of the platform model
2.3 Delivery and fulfillment
3. Platform-based retail ecosystems—the cases of Alibaba and Amazon
3.1 Alibaba Group
14.1.1 Smart logistics network
3.1.2 New retail
3.1.3 New manufacturing
3.2 Amazon.com, Inc.
3.2.1 In-house fulfilment
3.2.2 Innovative retail
3.2.3 AWS for smart factory
4. Discussion
4.1 Transition to a platform business model with ongoing investment in physical assets
4.2 Channel-agnostic, convenient, and personalized retail experience
4.3 Faster and flexible logistics capabilities
4.4 Manufacturing operations
5. Conclusions
References
15 - Digitalization in the textiles and clothing sector
1. Introduction
2. Digital clothing design and sample development
2.1 Product design, sample development, and product lifecycle management
2.2 Wearable technology
3. Digitalization of clothing supply and manufacturing networks
3.1 Sourcing and procurement
3.2 Production planning and manufacturing
4. Digitalization of clothing distribution and retail formats
4.1 Distribution
4.2 Retailing
5. Digitally enabled clothing circularity
6. Conclusions
References
16 - Digitalization in production and warehousing in food supply chains
1. Introduction
2. DigiMat—an innovation project between a food supply chain and academia11The reader can contact the authors for further info ...
3. Characteristics of food supply chains
4. Introduction to cases
4.1 Case 1—smart planning and control in production
4.2 Case 2—smart material handling in production
4.3 Case 3—smart planning and control in warehousing
4.4 Case 4—smart material handling in warehousing
5. Conclusions and future research perspective
References
17 - Automotive supply chain digitalization: lessons and perspectives
1. Introduction
2. Overview of SC digitalization in the automotive sector
2.1 Era 1—Industry 2.0 and fragmented operations digitalization—1950–1970s
2.2 Era 2—toward internal and local SC digitalization (local integration)—1980s
2.2.1 Toward manufacturing integration
2.2.2 Toward local integration of supply and distribution logistics
2.3 Era 3—toward extended interorganizational SC digitalization—1990s
2.3.1 Regionalization and interorganizational process digitalization and traceability
2.3.2 Digitalization of global integrated enterprise information systems and the emergence of modular design
2.3.3 Extended interorganizational SC digitalization and just-in-time
2.4 Era 4—total integration and interconnected SCs digitalization—2000s
2.5 Era 5—Industry 4.0, full SC digitalization—from the 2010s
2.5.1 Digital technologies and electronics in vehicles
2.5.2 Opportunities to develop new services and rethink the automotive product–service system
2.5.3 Pressure to achieve total traceability and end-to-end visibility
2.5.4 New SC governance issues
2.5.5 New cars and the future of automobility
2.5.6 Complex and risky ecosystems
2.6 The coevolution of information systems and automotive supply chains
3. Lessons from the SC digitalization of a car manufacturer
3.1 Understanding the SC digitalization strategy and processes of a car manufacturer
3.2 Lessons from the SC digitalization process experience
3.2.1 At the strategic level
3.2.2 At the organizational level
3.2.3 At the operational/technical level
4. Conclusions
4.1 What?
4.2 Why?
4.3 How?
Acknowledgements
References
18 - Digitalization of the international shipping and maritime logistics industry: a case study of TradeLens
1. Introduction
2. Methodology
3. Digitalization in the maritime industry
4. TradeLens: a blockchain-enabled digital solution in the shipping industry
4.1 Background
4.2 TradeLens use cases
4.3 TradeLens SWOT analysis
4.3.1 TradeLens strengths
4.3.2 TradeLens weaknesses
4.3.3 TradeLens opportunities
18.3.4 TradeLens threats
5. Impact of shipping industry digitalization on the shipping ecosystem
6. Discussion and conclusion
References
19 - How can SMEs participate successfully in Industry 4.0 ecosystems?
1. Introduction
2. Supply chain technology solution provision in Industry 4.0
3. Methodology
4. Starting collaboration—an Open Innovation approach for Industry 4.0 technology solution provision in supply chains
5. Reshaping linear supply chains to become innovation ecosystems
6. Expanding relationships—a Social Exchange view in innovation ecosystems for Industry 4.0 technology solution provision
7. From supply chains to a platform-driven ecosystem structure
8. Maturing technologies—a Boundary-Spanning perspective for Industry 4.0 platforms
9. A conceptual model for Industry 4.0 technology solution provision
10. Conclusions
Acknowledgments
References
5 - Research frontiers in the Digital Supply Chain
20 - Network science for the supply chain: theory, methods, and empirical results
1. Introduction
2. An outline of supply network analysis
2.1 Data selection or generation
2.2 Network analysis software and data preprocessing
2.3 Descriptive network analysis
2.4 Mathematical, simulation, and statistical analysis
3. Data sources for supply network analysis
4. Network basics
5. Structure of supply networks: theory, methods, and empirical results
5.1 Node-level network measures
5.2 Structural properties of supply networks
6. Effects of network structure on performance
6.1 Network structure and operational and financial performance
6.2 Network structure and resilience
6.3 Supply network structure and innovation
7. Conclusions
References
21 - Deployment considerations for implementing blockchain technology in the pharmaceutical industry
1. Introduction
2. Blockchain overview
3. Supply chain benefits of blockchain
4. Pharmaceutical industry applications
4.1 Track and trace
4.2 Supply integrity and safety
4.3 Inventory management
4.4 Clinical trial management
5. Pharmaceutical blockchain reference model
5.1 Implementation issues
5.2 Authenticity nonverification
5.3 Nonsaleable returns
5.4 Improper commissioning
5.5 Information flow interruption
5.6 Delivery disturbances
5.7 Unfit for commerce
5.8 Error processing
5.9 Security and confidentiality
5.10 Recall
5.11 Declared emergency
5.12 Counterfeits
6. Scaling issue analysis
6.1 Illustrative example
6.2 Generalized example
7. Research areas for implementation feasibility
7.1 Scalability and data management
7.2 Data obfuscation
7.3 Permission and access
7.4 Collaboration
7.5 Cost models
7.6 Comparative studies
8. Summary and conclusions
References
22 - Digital supply chain surveillance: concepts, challenges, and frameworks
1. Introduction
2. SDAR—surveillance, detection, action, response
3. Supply chain surveillance activities
4. The role of AI in DSCS
5. Challenges in the application of DSCS—an illustrative example
5.1 Problem formulation and solution approaches
5.2 Technical challenges
5.3 Managerial challenges
6. Conclusions
References
23 - Sustainability and the digital supply chain
1. Introduction
2. The emergence of a digital supply chain
3. Sustainability in the digital supply chain
4. Building a sustainable digital supply chain
5. Driving down urban emissions—the case of the Electric Vehicle (EV) supply chain
5.1 Historical perspective
5.2 EV supply chain (un)sustainability
5.3 Product architecture
5.4 Digital technologies in EVs and EV supply chains
5.5 Sustainability and the digital EV supply chain
6. Global food supply chains—the case of the beef supply chain
6.1 Historical perspective
6.2 Beef supply chain (un)sustainability
6.3 Sustainable alternatives to beef production
6.4 Sustainability and the digital food supply chain
7. Implications for theory, practice, and policy
8. Conclusions and research agenda
8.1 Harnessing data for sustainability evaluation
8.2 Transparent may not always mean sustainable
8.3 Tensions and paradoxes
8.4 New solutions, same problems
References
24 - Reconceptualizing supply chain strategy for the digital era: achieving digital ambidexterity through dynamic c ...
1. Introduction
2. Literature review
2.1 Dynamic capabilities
2.2 Organizational ambidexterity
2.3 Supply chain theory foundations and evolution
2.4 Contemporary supply chain challenges
2.5 The supply chain of the future and the shifting theoretical foundations of SCM
2.6 New digital technologies (NDTs) to create higher-order capabilities for supply chain components, processes, networks and fl ...
3. Conceptual framework and system of relationships
4. Building digital supply chain capabilities (DSCCs)
4.1 Supply chain visibility capabilities (sensing)
4.2 Supply chain agility capabilities (seizing)
4.3 Supply chain flexibility capabilities (transforming)
4.4 Dynamic supply chain capabilities as a prerequisite of supply chain ambidexterity
4.5 Supply chain ambidexterity and DSCCs
4.6 The relationship between DSCCs and business performance
5. Theoretical implications—achieving digital ambidexterity
6. Managerial implications
7. Conclusions and further research
References
Index
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