According to a report from Celonis, 46% of supply chain leaders say siloed data and teams keep them from establishing processes to manage their supply chain.
If you work on a supply chain team, you’re all too familiar with the significant impacts data silos have on all areas of your business. Operationally, these silos mean that your supply chain team might not be aware of inventory issues that the warehouse team is experiencing, leading to misaligned operations, delays, and disruptions for end customers.
Data silos also hamper your analytical abilities. In many cases, your internal team can’t access data that lives outside of your organization or department, meaning that you’re unaware of valuable insights that can drive strategic decisions.
Data silos aren’t a new problem, but breaking them down is still complicated for many supply chain teams. As more data is generated within your organization and from your external vendors, making sure you have a plan to access and analyze that data becomes even harder. Let’s dive into some solutions and best practices for your team to consider.
Challenges and Best Practices for Breaking Down Data Silos
Overcoming data silos isn't without its challenges. The most common obstacles we see include connecting new tech and legacy systems, data governance issues, and even just resistance to change. These challenges can be addressed with strategic approaches and best practices:
Initial Assessment
The first step in breaking down these silos in your data is identifying what you already have. Take stock of your existing systems, ranging from Transportation Management Systems (TMS) to Warehouse Management Systems (WMS) and ERPs. Consider partner and vendor systems as well because smooth data flow is vital for collaborative ventures.
Define Objectives and Metrics
With systems in sight, outline your objectives. Do you want to streamline freight execution, enhance transparency, or focus on ESG metrics? Objectives help in aligning data integration strategies. Simultaneously, define KPIs to measure the success of your integration efforts. Accurate data is vital here to set baselines and measure improvements.
Technology Selection: The Backbone of Integration
Choosing the right technology stack to connect your systems is crucial. While API-based integrations are commonplace, sometimes you might need to tap into older systems that only support EDI or even flat files. Your tech stack should be versatile enough to handle these needs. This is where platforms, like Chain.io, can be used as translators, converting data from one format to another. Chain.io even has pre-built integrations to make breaking down silos faster for supply chain teams.
Integration Development and Testing
Building the actual integration comes next. Using the Chain.io platform and our plug-ins to leading logistics software providers, you can quickly connect systems. Our integration library helps you get started, and tasks help you assign the work across your team so integrations are completed quickly.
Implementation and Monitoring
Once everything is set up, you're ready to go live. Continuous monitoring is essential to ensure data integrity and to quickly identify and fix issues. This is where a platform like Chain.io becomes even more valuable - you’ll have one hub to manage your integrations and monitor the status of your flows so you’re aware of any errors quickly and can take action.
Don't Overlook the Human Element
While automation and algorithms are essential, the human element in data integration shouldn't be overlooked. Even the most advanced tools can't replace a team that understands both the technical and business implications of the data being integrated.
A Silo-Free Supply Chain
In a perfect world, your team successfully breaks down all silos and has a full, unified view of the data related to your supply chain and freight. Even making some progress toward data accessibility is a step in the right direction.
By eliminating silos, your team has access to:
- Centralized Reporting and Dashboards: With data aggregated from multiple sources, reporting becomes more accurate and insightful. Dashboards can provide real-time visibility into key metrics across the entire supply chain.
- Comprehensive Analytics: Access to complete data sets enables detailed analysis, helping to identify inefficiencies, optimize processes, and forecast future trends.
- Improved Decision-Making: Decisions are easier to make when all relevant data is available and accessible. This leads to more strategic and effective actions.
Connecting to Siloed Data
Breaking down data silos is not just a technological challenge but a strategic imperative. Take this use case with Imperative Logistics Group for example:
Imperative Logistics, an international and domestic freight forwarder and customs brokerage, was frustrated that they had to go into so many different systems to get an overview of their business, which in turn impacted their efficiency and decision-making.
Using the Chain.io platform, Imperative Logistics began to break down their siloed data by integrating a business intelligence platform with their existing ecosystem for executive and operational visibility.
How Chain.io Helps
At Chain.io, we move the data that moves your freight. Our platform connects systems so you have better control over the information you need to manage your supply chain.
Whether it's about booking, moving, clearing, or delivering freight, we make your data flow faster and processes more informed and efficient. If you’re addressing siloed data within your supply chain, get in touch with our team to see how Chain.io can support.
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