Efficiency through Digital Transformation of the Supply Chain

Success and transparency through cooperation?
Four questions to the fashion expert Armin Kämmerer

How can the demand for sustainable management and entrepreneurial success be aligned through the digitalisation of the supply chain? How important is cooperation with other market players? Read more about the topic of supply chain in our interview with fashion expert Armin Kämmerer.

Mr Kämmerer, in the first two parts of our interview series, we have looked at the topics of digitalisation and sustainability. How is the growing environmental awareness related to the digitalisation of the supply chain?
These topics cannot be separated from each other, they are connected. For quite some time now, a change in buying behaviour has been emerging, new habits are becoming the norm – e.g. online shopping. At the same time, sustainably produced products are increasingly finding their way into the shopping baskets. Companies in the fashion industry, on the other hand, have been investing in the digitalisation of the process landscape for some time and are focusing on transparency in their supply chain.

So, the trend towards greater sustainability is not a one-way street, it comes from both sides?
Exactly. The rules have changed for all market players. Customers have become more sensitive and demanding, and there’s a bigger market for greener products from certified organic supply chains. To meet these customer expectations, companies need to be very innovative. As well as managing technology and improving efficiency, they will also need to keep an eye on key social and environmental issues. Companies that are able to respond to these dynamics will have the chance to differentiate themselves from the competition, and new opportunities will open up. It’s about developing new products and business models that are sustainable in the sense of a circular economy and profitable at the same time. This can only be achieved with a fully integrated industry solution. The digitalisation of the supply chain is therefore inevitable.

What does digital networking of the supply chain mean for the customers?
Customers are the key players in the supply chain – it all starts with the customer experience. If you ask yourself why it is necessary to make the supply chain digital and transparent, it becomes clear that it is all about customer satisfaction. Consumers are looking for high quality products and services, and they expect good customer service not only before but also after the purchase. A resilient and ethical supply chain can deliver this quality. Coordination between supply chain partners is key to putting the customer at the centre of the business model. Strong supply chain management enables the control of risks and the creation of a resilient supply chain based on the protection of customer interests. Continuous optimisation of the network, including automated information exchange, meets both the needs of the customer base and the business requirements of companies. It is more important than ever to focus on communication and collaboration in key areas. In addition, the availability of accurate, real-time data shared with collaborative partners ensures smooth operations.

What is your conclusion?
The industry, but also the consumers, are in a state of flux, circumstances and habits are constantly changing. What is needed is more transparency, more flexibility, more sustainability. There is no single solution to the multitude of issues and questions that a company can develop and implement on its own. Solutions for the future can only be found together – fashion companies, suppliers, customers, IT and politics.