EFFECT OF INTERNET OF THINGS (IOT) ON ENHANCING SUPPLY CHAIN MANAGEMENT (SCM):MEDIATING EFFECT OF TRACEABILITY,VISIBILITY AND FLEXIBILITY ON EFFECTIVE SCM

Abstract

This research aims to examine the impact of the use of IoT Technologies for SCM taking into account important aspects that include traceability, visibility and flexibility. The study uses a quantitative approach, with an emphasis on a survey to gather data from organizations with the implementation of IoT in their supply chain. A total of 430 responses were received from the SC managers and practitioners working in different industry sectors. Descriptive statistics of the results were also determined using correlation and regression analysis to establish the impact of IoTs on SCM with relation to its performance in the areas of traceability and visibility, and flexibility. The research results point towards a positive correlation between the IoT and SCM efficiency. IoT aids decision-making, improves track and trace of goods and materials, raises transparency of supply chain process flow and is a good fit in volatile chains. These findings support the previous literature, and attest to the capacity of IoT to effect change in SCM best practices. The study confirms the assertion that IoT enhances SCM effectiveness through increased traceability and visibility coupled with flexibility. However, the study can only be done within certain industries and regions only; thus, further research should consider the impact of IoT on SCM across different industries throughout the world.