Data Analytics and the Supply Chain

The supply chain is a great place to use analytical tools to look for competitive advantage, because of its complex nature and also because of the prominent role supply chain plays in a company's cost structure and profitability. Data analytics is the science of examining raw data and drawing conclusions about information. It is used by many business houses to facilitate better business decisions and verify or disprove existing models or theories. Relying on traditional supply chain execution systems is becoming increasingly more difficult, with a mix of global operating systems, pricing pressure and increasing customer expectations. There are also recent economic impacts such as rising fuel costs, global recession, supplier bases that have shrunk or moved off shore, as well as increased competition from low cost outsourcers. All these challenges potentially create waste in the supply chain that is where data analytics steps in. To know more about the role of data analytics in supply chain visit:http://www.industryweek.com/blog/supply-chain-analytics-what-it-and-why-it-so-important .