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Why CFOs are taking on supply chain digitisation

Shanton Wilcox, US manufacturing lead at PA Consulting, explains how companies are taking a digital approach in areas like logistics and planning.

Click here to read the full Financial Management article

The article notes that digitisation of supply chains is increasingly on the radar of CFOs. Improving processes can help manage costs, comply with new regulatory requirements, set pricing strategies, and keep customers happy by avoiding supply outages.

Logistics, cost and pricing wins

Shanton said there are several options to digitise areas like logistics and planning. “For instance, within logistics, there are widely available systems available for digitising transportation management processes and operations. That extends from transportation execution through to international shipments. These are critical, high-value, low-risk options for digitising high-volume, day-to-day operations."

Another option is to use supply digitisation to improve pricing strategies. Shanton said PA Consulting has talked to clients about using more informed pricing projections to hedge prices on commodities such as lumber and steel. "This informs purchasing decisions and helps manage volumes to optimise capital tied up in inventory," he added.


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