INTERNET OF THINGS AND ITS IMPACT ON SUPPLY CHAIN EFFICIENCY

The purpose of the present paper - which is conceptual in nature - is to initiate discussion of the need for and feasibility of the measurement of the impact of IOT projects on supply chain efficiency. PESTEL factors relevant to supply chains are discussed, with a focus on the IOT. The main areas of IOT applications in logistics and supply chain operations and management are described. Existing literature in this field is reviewed, and the methods used so far to measure supply chain effectiveness are explained. The paper ends with a proposal for a new methodology for the measurement of the effectiveness of IOT deployments in the supply chain, addressing specific key performance parameters, such as reliability, speed, costs, flexibility, assets and environmental footprint, and levels of the supply chain: assets, operations, processes and business model. The article is not an exhaustive treatment of the subject; instead, it aims at initiating a scientific debate on the possible methods of measuring changes in supply chain effectiveness due to the implementation of IOT solutions. Only the initial stages of research into this topic are presented.