How Analytic is transforming Supply Chain

The article (Forbes, Bernard Marr, April 22, 2016, http://www.forbes.com/sites/bernardmarr/2016/04/22/how-big-data-and-analytics-are-transforming-supply-chain-management/#11afda964c2d) talks about how analytic is transforming supply chain management.

There are many applications can be developed for supply chain utilizing analytic. To manage inventory effectively unstructured data can be analyzed with technology such as digital camera analytic to monitor stock level. Forecasting can be benefited by machine learning algorithm with predictive modeling. Distribution center and warehouse can be operated with minimum human intervention.

How visual analytic will change supply chain across manufacturing? How analytic will change supply chain in the transportation industry? How analytic will change supply chain in the retail industry?

Sharing Economy in the Manufacturing Sector

According to the article (‘Can product manufacturers benefit from the sharing economy?’ <!–

by Hannah Furlong)  consumers buy less when they are provided option of sharing.

Manufacturers can benefit if they strategically design pricing and increase quality to meet customers’ needs. Research found that sharing of products that have low marginal costs can result in decreasing revenue for companies who manufacture those products since number of customers will be reduced.

For high cost products, manufacturers can charge higher prices because increased perceived value due to sharing economy business model. Manufacturers can make more efficient and durable goods to capture these opportunities.

Can product manufacturers effectively realize this opportunity? What manufacturers should prepare for these changes? What industries can be the most benefited?

Source: sustainablebrands.com, Can product manufacturers benefit from the sharing economy? by Hannah Furlong, Sep 28, 2016

http://www.sustainablebrands.com/news_and_views/products_design/hannah_furlong/can_product_manufacturers_benefit_sharing_economy

Sharing Economy in the Payment Industry

Sharing Economy in the Payment Industry  

According to the article (The sharing economy is doing amazing things for mobile payments, written by ), Business based on sharing economy is conducted by peer to peer payment through mobile payment technology.

Many of sharing economy business models depend on customers being able to make mobile payments. PwC projected that the sharing economy will grow from US$15 billion in 2013 to US$335-billion in 2025 which means high potential to grow.

Does the payment industry will grow as sharing economy grow? How the payment industry should prepare for this change given the rapid growth in the technology? How customers are adopting for these changes?

 

Source: memeburn

The sharing economy is doing amazing things for mobile payments

Sharing Economy’s Effect in the Auto Industry

The article posted on Mar 28, 2016 (http://www.bloomberg.com/news/articles/2016-03-28/how-sharing-cars-could-actually-boost-auto-sales) provides a unique point of view on the car sharing economy.

The traditional view is that auto sales will decrease with car sharing economy resulting in a negative effect for the manufacturing industry. A new paradigm is that a car sharing economy could have a positive effect on auto sales because of “empty legs” which means additional distance between one passenger and another. In New York City, UberX drivers travel almost half of the miles without a passenger according to the article.

In the contemporary scenario, each person drives one car. In the future, as adoption rates increase, the market size will grow by 1.2 car and consume 20% extra miles as empty rides between one passenger and another will add 10% to 20% more miles per drive. The life expectancy of on-demand vehicles is expected to be 3 years because of higher utilization. Sharing economy will increase demand for small sized cars.

How will car sharing economy transform the auto industry? How should the automobile business model be changed? What kinds of automobile need to be developed for the future?