SaaS, or software as a service, has recently been a game-changer in the logistics and supply chain management industries. Because of recent technological advancements, businesses can now outsource various functions to the cloud, opening up new possibilities for how these functions can be used. This shift is especially noticeable in the fashion business, where supply chains have many moving pieces and the potential for errors is far larger.
In today’s world of global, interconnected organizations, SaaS has proven essential in streamlining firms and enabling transparent supply chains, which are more crucial than ever. This creates a challenge for companies with global supply chains because most companies employ suppliers and contractors all over the world – and sell their products in a variety of nations. It’s no surprise that providing SaaS to support these emerging global supply chains has shown to be a lucrative business opportunity.
According to Allied Market Research, the global SaaS-based supply chain market earned $7.3 billion in 2020 and is predicted to reach $26.0 billion by 2030, growing at a CAGR of 13.4% between 2021 and 2030.
The SaaS model makes it possible to reap the benefits of automated order management. Integration of end-to-end automation with pre-existing processes is made possible by SaaS, which covers the entire document lifecycle from initial capture and storage to workflow, maintenance, and retrieval. Instead of hosting an order management automation system in-house or outsourcing a revenue-generating activity, a SaaS approach automates sales order processing without the risks of outsourcing, increased IT complexity, or associated expenses, allowing businesses to save funds better.
Driving technology adoption in the industry with MACH Alliance
Modern technology has progressed rapidly, paving the way for business operations. Fluent Commerce, which is an OMS company, has taken the MACH Alliance way to enable businesses to take advantage of the most innovative and adaptable enterprise technologies and accelerate the workflow. MACH stands for Microservices based, API-first, Cloud-native SaaS, and Headless, which facilitates businesses in adopting seamless interactions.
MACH is an industry-standard that governs modern technologies. It is a non-profit industry organization that promotes innovative, high-quality technology ecosystems. The objective of the Alliance is to future-proof enterprise technology and enrich present and future digital experiences with open and connected enterprise technology.
Fluent Commerce is one of the founding members of the MACH Alliance and has undertaken this endeavor to increase global awareness of MACH technology. The company’s MACH Certification provides businesses with the assurance that they are selecting best-in-class providers capable of delivering future-proof technology. When the MACH Alliance certifies a platform, it means that the platform is not only cloud-ready but also cloud burn. A SaaS platform with MACH certification assists organizations in improving their product cycle times, reducing order fulfillment issues and implementing better inventory management strategies.
How does SaaS help Supply Chain Management?
SaaS products are far more accessible, allowing professionals at all levels of the supply chain to access vital data from a broader range of locations and devices. Whereas more traditional systems would have required expensive, specialized hardware for remote access, can access SaaS apps via almost any connected device.
It is also more cost-effective and stable over time. Storing data on the cloud eliminates the need for onsite infrastructure, as well as the security and upkeep that comes with it. Software and technology advance quickly these days, with new programs appearing to be obsolete in the time it takes to install them. With SaaS, your program receives continuous support and upgrades, allowing it to adapt to changing technology as it develops.
The benefits of SaaS solutions in Supply Chain are described below.
- Innovative Tech-driven Approach
There are multiple tech solutions around the globe, offering cloud based SaaS software for you to access everything from anywhere instantly, from handling returns to accessing inventory snapshots to reviewing monthly order volume and more.
- Enhanced Workflow
Logistics SaaS can assist you in improving your organization’s workflow. For example, you can quickly automate repetitive processes like paperwork or documentation. This allows your employees to concentrate on more vital tasks that necessitate human interaction.
- Improved Data Handling
Because SaaS solutions are cloud-based, they make it simple to collect, store, use, analyze, and safeguard data. Forecasting features can also be used to reduce inventory losses, ensure proper deliveries, and eliminate last-minute situations.
In addition, there is no physical storage medium for the data. You save money because infrastructure installation and management costs are eliminated.
- Strengthened Data Analysis
Previously, data was simply collected and maintained, as in the case of commercial airlines, which keep client information and flight information. However, organizations have gradually realized the value of data analytics. As a result, organizations use data in novel ways to make informed decisions.
Logistics SaaS solutions can help with this. With a dependable SaaS solution in place, you are able to analyze multiple processes and identify and resolve issues as they arise.
- Increased Transparency in the Supply Chain
Companies must have real-time visibility into various logistics processes and data in order to maintain operations under control. And a solid logistics SaaS solution can assist you in accomplishing this. You can keep a close eye on all procedures and deal with problems as they arise.
- Financial Benefits
Companies using an on-premises software solution must invest in licenses, pay for server management, bear per-device costs, and deploy the program across a variety of devices. This equates to a considerable sum of money.
All of this adds to overall efficiency gains, mostly through improved communication between departments and partners, and strengthens your brand and supply chain for the future.
By Sandeep Mukherjee, Director, Fluent Commerce India