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How Technology Enables the 'Demand-Driven Enterprise'

By Keith Moore – Posted March 31, 2022

What is a demand-driven enterprise? The Demand Driven Institute defines it as one that "can sense market changes, adapt to complex and volatile environments, and develop market-driven innovation strategies."

At the same time, the demand-driven enterprise can’t ignore its execution arm — the warehouse. That’s where people are responsible for planning, yard management, warehouse management and inventory control. They rely on data and systems to manage shipping, receiving, dock schedules, inventory control, labor planning and work release, among other functions.

Most distribution centers have a number of complex tasks that are hindered by multiple constraints, as they struggle to get the right inventory out the right door at the right time. But technology can help them to make decisions faster, resulting in optimized warehouse operations and increased efficiency.

It’s not easy to identify a single point of failure in today's complex supply chains. COVID-19 has led to raw-material shortages and missed production schedules. Companies overproduced during the pandemic, and are now facing the consequences of having used up much of their raw-material inventory. Meanwhile, in the warehouse, labor availability remains a big problem, prompting efforts to digitize and automate support systems. But delivery schedules for new equipment can be up to 36 months out. So most organizations are exploring innovation through software.

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