Supply chain visibility – a critical problem-solving component

Affected industries: All industries (B2B and B2C)

Affected supply chain segments: All segments, and especially international transportation, as well as businesses reliant on air and ocean freight

What is supply chain visibility?

Supply chain visibility is the ability to track different goods and products across supply networks, giving a clear view of the inventory and activity. It enables shippers to improve customer service and control cost by managing inventory in transit with proactive status updates, limiting disruptions and mitigating risk.

For the first time, shippers assess that full supply chain visibility is in reach¹. This kind of wide-reaching digital data capability is appealing to many businesses looking to improve their risk monitoring tactics. In fact, a study by Fraunhofer found that digital companies – businesses that implement digital tools and consider digitization part of their corporate strategy – were more resilient in the Covid-19 crisis². Unsurprisingly, supply chain visibility was the technology with highest funding among European startups in supply chain management in 2021³. Considering a shift in focus to reaction rather than transparency, we are seeing the trend begin to flatten.

Getting ahead of the trend

All companies and logistics segments can benefit from increased transparency. The key is to harness the added transparency of visibility platforms to make strategic and operational decisions to increase agility, and not to become overwhelmed by the quantity of information made available by these technologies.