Trust and Transparency in Logistics
In the world of ever increasing requirements for production quality control, it is necessary for supply chains to adapt and become more trustworthy. In order for the logistic companies to reach that, they have to offer a greater rate of transparency to their partners and customers. Also, they have to understand what information these partners and customers actually want. While partners need information about how the individual participants of the supply chain cooperate, the customer is interested in information about the product they’re purchasing.
Digital twins enable logistic companies, as well as other members of the supply chain, to offer a greater rate of transparency, and therefore meet the requirements of business partners and customers. Thanks to that, the companies are able to reach one of the most valuable and difficult-to-reach commodities in business. Trust.
Enable the partners to peek behind the curtain
Most supply companies use digital twins for improving the products or assets, whereas logistic companies implement modern technologies for process transformation, as a rule.
By creating a digital twin of the whole supply chain, the businesses can offer complete information about the product’s life cycle and the distribution process to their partners.
For example, on the strongly regulated pharmaceutical market, an accurate overview is absolutely crucial. Drug manufacturers want to have a better overview of the vehicles that carry their products and want to know when and how they will arrive at the pharmacy for final sales to customers. Then, logistic companies work with information, such as product identification, batch and serial numbers, production plans and pick-up times and thanks to that, they are able to plan the entire distribution process much more effectively.
This overview doesn’t only bring better cooperation with partners. They also bring trust. If the partners know they can rely on each other, there is much greater probability that they will cooperate in the future as well.
Calm and satisfied customers
Logistic companies are responsible for coordination of (not only) material flows. Their task is to deliver the right goods to the right place at the right time. A supply chain digital twin offers logistic and supply companies a complete picture of the individual items’ transportation, from production to the customer. Therefore, it is giving the customer the possibility to see where the specific product originated, how it was distributed and what journey it had to take to get to them.
For example, by scanning the code on the packaging, the customers can find out where their coffee was harvested, how long their cake was laying in the warehouse or whether their ice cream was transported by a freezer truck. This transparency of the entire process builds customers’ trust in the seller’s brand and increases their loyalty.
The best business relations are built on trust and respect
If companies reach a greater rate of transparency in production and distribution through digital twins, they will also gain greater respect and trust in their partners and customers. Therefore, they will achieve long-term successful relationships securing economic success in the future as well.
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