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Are "end-to-end" supply chains really a thing? And if not, what will it take to make them a reality? Erez Agmoni, global head of innovation with Maersk, explains.
For all the talk over the years about “end-to-end” supply chains, that goal remains elusive from a service perspective. To make it a reality, all of the elements involved in an international move must be able to coordinate their efforts so that both goods and data flow smoothly from mode to mode, all the way to the customer.
“It’s difficult to get the benefit of end-to-end,” Agmoni says. “It’s not there to the full extent yet, but certain things that multiple companies are working on could change the game for customers.”
Each stage of a supply chain — including carriers, warehouses and third-party entities — can be optimized for maximum efficiency. It’s when one tries to put the pieces together that the challenge of end-to-end flow becomes evident. Only then can service providers adjust to unexpected changes in demand, as well as disruptions that necessitate last-minute changes in routing. Today, however, service providers aren’t being held accountable by their customers for working in concert to ensure end-to-end efficiencies.
Ensuring the uninterrupted transmission of data accompanying shipments is especially important. “That’s been a challenge for quite a long time,” Agmoni says. “It will be a little more time before we see a seamless flow of data. It’s a dream that is hopefully coming up soon.”
New technology will help to make it possible. Artificial intelligence, in particular, will be a key enabler of end-to-end supply chains. It’s the only way to manage the huge amounts of data that are generated by international transport. At the same time, though, humans must remain in the loop. They should always be available to step in, so that the system isn’t depending entirely on historical occurrences when faced with an unexpected disruption.
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