Cloud Computing in Supply Chain Management

Abstract

In the modern world, companies are investigating state-of-the-art practices to optimize both the cost and operational efficiency of their supply chain. Cloud computing emerges as a meaningful technology that could contribute to this optimization by providing infrastructure, platform, and software solutions for the whole supply chain network via Internet. The utilization of cloud-based services in supply chain management leads to financial and operational benefits, while at the same time potential risks and limitations should be taken into account by all supply chain stakeholders. In this chapter, an overview of cloud-based supply chain management is addressed. At first, a brief introduction to cloud technology is provided. Then, the application of cloud computing on supply chain activities is presented, while positive and negative aspects of adapting this technology in modern supply chains are discussed. The case for Third-Party Logistics (3PL) service providers is specially addressed. Finally, conclusions and future research steps are presented.

Analytical target cascading for multi-level supply chain decisions in cloud perspective

“…Cloud technology, integrates current IT technologies, including parallel computing, utility computing, Internet technology, virtualization and open source software (Wu et al , 2015). Meanwhile, the IT resources could be virtualized, distributed and demand-driven (Toka et al. , 2013), which would be in need by the globally distributed business units.…”

“…As the application of cloud technology into supply chain management, a lot of supply chain activities can be effectively implemented (Toka et al. , 2013), such as forecasting and planning, sourcing and procurement, logistics, as well as service and spare parts management.…”

“…Cloud technology, integrates current IT technologies, including parallel computing, utility computing, Internet technology, virtualization and open source software (Wu et al, 2015). Meanwhile, the IT resources could be virtualized, distributed and demand-driven (Toka et al, 2013), which would be in need by the globally distributed business units. Cloud technology helps facilitate better linkages of supply chain participants by aligning the business resources, sharing information to coordinate the entire supply chain (Zafar et al, 2017).…”

“…As the application of cloud technology into supply chain management, a lot of supply chain activities can be effectively implemented (Toka et al, 2013), such as forecasting and planning, sourcing and procurement, logistics, as well as service and spare parts management. As shown in Figure 1, sales data can be gathered from the distributors and retailers via physical internet, sent to the cloud platform, and at the same time, the information is available to the entire supply chain (Pires and Camargo, 2010).…”

Developing a model for investigating the impact of cloud-based systems on green supply chain management

“…Subsequently, the cloud supply chain is two or more groups linked together through the provision of cloud services, related information, and financial flows. Moving toward the cloud supply chain will reduce costs while boosting productivity; however, before shifting from the traditional supply chain to the cloud one, the company needs to assess all the factors for implementing cloud technology in its supply chain (Jede and Teuteberg, 2015; Toka et al , 2013). According to the framework presented by Zhou et al (2012), any company that intends to shift from current SCM to cloud computing must consider six steps (Zhou et al , 2012): Establishing a cloud strategy: Company must recognize its core business activities and decide which part of the activities should be entrusted to the service providers in a cloud-based manner. Market analyzing: It means to study and evaluate service providers in the marketplace. Selecting a service provider: It means choosing the best provider of the three primary cloud services, i.e.…”