Industry 4.0 blurs the lines between the digital world and the real world. The most obvious manifestation of this changing trend is the increasingly widespread application of digital supply networks. Digital supply networks can synthesize data and information from different channels and regions to facilitate the actual production and distribution of products. The traditional value chain has gradually evolved into a matrix value network. Based on this network, enterprises can transmit and receive data and information with any relevant parties in the ecosystem, so as to effectively respond to the changing market environment and explore new value.

The digital supply network adopts an interconnected matrix structure with high flexibility. This structure abandons the traditional linear transmission path limited between raw materials and finished products in the production system, and can maximize the efficiency of information transmission to respond to changes in customer and market demand, thereby promoting the healthy

development of the company in the future.

However, while many companies have realized the benefits of a digital supply network, most have not taken active steps to embrace this increasingly important digital transformation trend. At the crux of the matter is implementing a digital supply network plan, and manufacturing companies are still facing many challenges.

Based on the above, the three major measures that companies need to take include:

Think big. If an enterprise wants to fully tap the value of a digital supply network, it should break the traditional linear thinking and consider what value it can create if all participants in the production network can instantly obtain data and information.

Start small. In a business environment with limited resources and intense investment competition, companies can identify and prioritize individual value-validation projects, test digital transformation strategies, and demonstrate the tangible ROI that a digital supply network can deliver. Companies can set short-term goals, start small, and enlist the support of the board and senior management to gradually expand the scope of implementation.

Promote quickly. Once the implementation of a digital supply network program has demonstrated a high ROI, companies should begin to implement the program broadly across the organization. In addition, companies should creatively address the key challenges of finding, training and retaining highly skilled talent, and adjust their internal culture to create value and meet customer needs in a more strategic way to gain a competitive advantage in the market.