6 Reasons Why Supply Chain Leaders are Moving to the Cloud

March 8, 2019 | 3 minute read
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Today’s business landscapes have changed, and supply chains are a big reason why. From drop shipping to digital twins, there are many ways that cloud-based supply chain management applications have cut costs and improved efficiency. Today’s supply chain leaders see the value of having a comprehensive view of data across their supply chain management systems, and they are enjoying the benefit of being able to respond to problems in real time. Our SCM team has put together an easy-to-understand white paper that identifies six top reasons how companies can benefit from a move to the cloud. Read all about them here and download the white paper for more information.




           In the modern social media society, a reputation can get ruined with one small mishap. The way a business’s supply chain system is designed has a big impact on how it will perform in the marketplace. With new cloud-based solutions, businesses are able to see end-to-end and have complete visibility into their data. With a comprehensive view, they are able to analyze strategic data to drive innovation. Products like Oracle Innovation Management Cloud allows business leaders to vet ideas and run analytics to see which products have the most potential in the marketplace before and during their creation.



           Order management has never been so important. With e-commerce businesses like Amazon introducing two-day, one-day, and same-day shipping, customers have higher service expectations than ever before. Pulling off a multinational supply chain is made easier when moving to the cloud. With cloud solutions, businesses (and customers) are able to have insight into their order process for its entire journey. The ability to see everything in one place also allows companies the flexibility to react to errors or delays and deliver personalized service on a global scale.  



           Another important aspect of a business is balancing supply and demand. Cloud-based planning systems connect what was once (potentially) inaccurate manual process and disparate systems into one. Because the systems talk to each other, businesses are able to pull important KPI’s to “plan at the speed of demand”. Now, businesses are able to take highly predictive insights to adapt to changes such as late orders and material shortages. These systems also give suggestions on how these hiccups could make as little of an impact as possible.



           According to The Deloitte Global CPO Survey 2017, “79% of CPO’s cite reducing costs as their number one priority”. Procurement in the cloud gives visibility to every process, including spend compliance, contract enforcements with outside vendors, and supplier performance. It allows businesses to simplify their operations and cut costs where they previously had no insight. All of this together allows companies to streamline their source-to-settle process to achieve higher profits.



           Manufacturing often goes hand in hand with planning, but many organizations don’t have these systems connected. Without the connectivity, businesses are unable to have complete and accurate data on supply and demand, nor are they able to understand the true cost of their operations. Connecting a cloud manufacturing system with a cloud planning system allows full visibility into all areas of production. With the integration of Internet of Things and Artificial Intelligence into these prodcuts, manufacturing is being revolutionized in the cloud by allowing businesses to react to disruption and changing markets. These emerging technology empowers businesses by correlating and analyzing the right data at the right time.



           Delivery used to be a simple process, but with globalization, it no longer is. Businesses are forced to have fast services, while being carrier-friendly, and also cost-efficient. These complex processes are solved with the visibility enabled by cloud-based logistics management. Managers are able to see where their transportation and goods are at all times. Oracle enables businesses the visibility into how transportation impacts cost-to-serve and profitable-to-serve metrics. They are now able to cope with the dynamic demands of a modern supply chain, improving efficiency, reducing costs and ensuring compliance.


In the next few years, most business leaders are transforming their legacy on-premises SCM systems in part or fully to the cloud. Regardless of which application, the cloud allows for full visibility of all functions as well as connects many siloed system into one complete view. With the inclusion of new emerging technology, companies can now use its predictive analytical capabilities to maximize their supply for the demand as well as become a real competitor in their industry. The cloud is bringing real efficiency and cost reductions to businesses while allowing them to improve insights and KPI’s than ever before.


Are you ready to make the jump? Read more in our new white paper, “Why Supply Chain Leaders Are Moving to the Cloud: Six Top Reasons”.

Nicole Nguyen

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