Supply chains are becoming increasingly complex, and in the aftermath of the COVID-19 pandemic, there’s never been a greater need to instill confidence in partners, vendors, and end-users through increased visibility via supply chain digitization.
Business leaders are looking to solve these challenges using technology that digitizes practices and processes. In return, this adoption not only allows them to adapt to market shifts but also change the fundamentals of how their industry functions – a process referred to as digital maturity.
Why Digitization is an Important Conversation Piece for the Supply Chain
By definition, digitization refers to the process of standardizing business processes with a goal of cutting costs and improving operational excellence. It is not to be confused or interchangeably used with digital, which is the format in which many technologies are delivered.
MIT Sloan Review notes that digitization plays an essential role in delivering personalized services and managing complex product portfolios. Digitization enables the accuracy of business processes and security of business transactions and back-end activities by making data reliable and accessible. Without digitization, companies may struggle to scale their operations.
The good news is four out of five companies report they’ve digitized at least some part of their supply chain. But the reality is that 20% haven’t yet started a digital maturity journey.
Leaders who are aiming for supply chain improvements should consider how digital channels can fill those gaps. They need to identify opportunities, create greater efficiency, and drive overall business value through better supply chain visibility.
At Specright, we’re working hard to accomplish all of the above by digitizing data at the spec level to help fill critical holes in the digital roadmap.
Focusing on Digital Maturity
According to a recent Gartner report, digital maturity is already relatively high among supply chain organizations. 42% of respondents have reached Level 4 – showing they embrace digital technologies and have gained experience in this area, but lack digital leadership. Roughly one in five companies are at Level 5 – which demonstrates a strong understanding and adoption of digital tech along with superior leadership.
In addition, the impact of digital technology on supply chain organizations is overall positive, especially among Level 4 and 5 companies. Those who have achieved a higher level of digital maturity are more likely to be considered leaders in supply chain performance and have greater supply chain maturity.
Gartner notes to achieve these feats requires focused leadership with an interest in advancing digital maturity by leveraging the following opportunities:
- Partnering with vendors that offer emerging technologies AND can demonstrate tangible, proven value;
- Identifying detours or drop offs in your digital roadmap and seeking technologies that can fill those gaps; and
- Conducting thorough risk assessments on your technology shortlist and applying them to your specific use cases.
One key way to drive a company’s competitive advantage and business value is to capitalize on available technologies that “offer compelling value propositions” — such as Specright’s Specification Data Management™ software. Specright can provide insight into the supply chain at the spec level, giving companies the tools they need to optimize current operations.
Specright Serves to Drive Enhanced Business Value
Specright’s SDM™ platform supports supply chain leaders in digitizing processes and allowing them to trade a reactive approach for a proactive one when it comes to building efficiency and resiliency in the supply chain.
By narrowing data organization at the spec level, companies are positioned to gain real-time, up-to-date insights regarding their material usage and vendor relationships to reduce costs, drive sustainability, and improve speed-to-market to remain competitive in their respective industries.
Specright recently received the honor of being selected as one of Gartner’s 2020 Cool Supply Chain Vendors. We join four other companies on the list that are committed to advancing digital maturity and increasing business value.
Download our ebook and learn how Specright is helping companies leverage product specification data to power efficiency across the supply chain.