Cloud Computing Outlook

5 Reasons why Cloud Migration is a Necessity for Supply Chain Management

By Cloud Computing Outlook | Friday, October 23, 2020

The significant reduction in the costs is one of the most decisive factors that compel the supply chain managers to move to cloud.

FREMONT, CA: Supply chain and logistics management utilize the resources, processes, and technology to innovate solutions that help deliver the goods to their right destinations on time. Managers looking for technology to aid such solutions may find the compelling options cloud computing has to offer here.

Lower IT Infrastructure Costs:

The significant reduction in the costs is one of the most decisive factors that compel the supply chain managers to move to cloud. Outsourcing the complete management and sustenance of the firm's IT infrastructure and workloads to off-premise data centers proffers a high degree of compliance and availability, which the firm may find too pricey to implement in its environment. Cloud hosting providers also offer support from subject experts who specialize in maintaining IT infrastructure. These cloud providers can also work out the best deal to include all the requirements of the supply chain managers and fit it all in the budget of the enterprise. 


Scalability is another benefit of cloud hosting—the ability to provide extra resources or decommission them as needed is not less than a boon. Agile operations can make the supply chain more productive and manage IT resources depending on the present and anticipated needs. 

Disaster Recovery and Business Continuity:

Loss of even a day's worth of data can create a major setback in the operations by disrupting the continuity of business, amassing monetary and time costs as a result of lost productivity and business. By hosting the company's data and systems in the cloud can protect the data from disruption, especially during disaster recovery. Most cloud hosting providers guarantee the resilient recovery of data during a disaster, along with the hosting of data. 

Software as A Service, Platform as a Service:

SaaS (Software-as-a-service) models offer cloud-based systems for the management of transportation, warehousing, and shipment till execution. Platform-as-a-service (PaaS) offers options to configure robust solutions such as data analytics, which is able to inform strategic and in -the-moment decision-making to keep the supply chain up and live. The use of cloud-based services can also assist the managers to standardize technology and make businesses more accessible, especially if they have developed via mergers and acquisitions.

The Internet of Things:

The Internet of Things (IoT) provides various avenues for supply chain managers to increase efficiency. The devices and objects with sensors, RFID tags, WiFi-enabled labels, and antennas that update information about their location, weather conditions, and several other variables that systems securely hosted in the cloud. These systems enhance the supply chain operations by tracking in real-time, the product locations in warehouses, automated picking, loading, unloading at the docks, and track the product consumption to initiate an automated re-order request. 

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