Opportunities of big data analytics in supply market intelligence to reinforce supply management

Salla Paajanen, Anna Aminoff

    Research output: Book/ReportReport

    Abstract

    Firms need comprehensive knowledge and understanding of the opportunities available in the supply market. Managing external resources of a company, such as suppliers, is important in order to capture value and utilize innovations in addition to concrete products or services. This can be achieved by supply market intelligence (SMI). SMI can facilitate in finding the best partners and other suppliers, and combination of capabilities. However, despite of its evident managerial relevance, SMI has been a little researched topic in the academia, and inadequately developed and utilized in companies. Simultaneously, big data analytics (BDA) has developed rapidly, becoming vital for businesses across industries. The big data characteristics of high volume, variety and velocity (3Vs) require utilizing advanced analytics. In this report, we will introduce the potential in creating SMI to support strategic supply management via BDA through eight messages that every supply management professional should recognise. We will also unwrap some of the future trends of BDA according to big data professionals. Value can be realized through actions such as creating competitive advantage via informed decisionmaking, improving supply risk management and identifying opportunities in the supply markets. An overall picture of the supply markets, value nets and supply chains can be obtained by creating comprehensive SMI. External solution providers can be utilized to conduct the analysis in collaboration with the focal company. Ultimately, analytical mindset and understanding of the analysis are important for integrating SMI into processes. In the future, artificial intelligence (AI) -based machine learning and automation will continue to increase importance in analysing big data. Technological developments, such as cognitive computing, robotics, mobile technologies and Internet of Things (IoT) create future opportunities that still require further research in order to achieve the best benefits. Digitalisation of supply management and the entire supply chain changes processes and creates new methods of working.
    Original languageEnglish
    PublisherVTT Technical Research Centre of Finland
    Number of pages37
    ISBN (Electronic)978-951-38-8569-4
    Publication statusPublished - 2017
    MoE publication typeD4 Published development or research report or study

    Publication series

    SeriesVTT Technology
    Number308
    ISSN2242-1211

    Keywords

    • supply market intelligence
    • big data analytics
    • supply management
    • strategic sourcing
    • data management

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