Dissertation: Influence of IoT on Supply Chain and Warehousing

This dissertation delves into the transformative impact of the Internet of Things (IoT) on supply chain management, with a specific focus on warehousing and its performance. The study examines the evolution of supply chains towards digitized and smart ecosystems, emphasizing the role of IoT in process integration and its challenges. The research covers background information on industry 4.0, the rationale behind studying IoT in supply chain, and the research topic, aim, objectives, and questions. A comprehensive literature review discusses digitization, the relationship between IoT and the supply chain, challenges, process integration, smart technology in warehousing, and IoT implementation. The methodology section outlines the research philosophy, approach, strategy, choices, time horizons, data collection, analysis, sampling, and ethical considerations. The dissertation investigates the impact of IoT on supply chain management, focusing on warehousing, challenges, and process integration. It also explores the influence of digitization and Industry 4.0 on supply chains.

Dissertation

Table of Contents
CHAPTER 1: Introduction.............................................................................................................................3
1.1 Background of the study....................................................................................................................3
1.2 Rationale of the study........................................................................................................................6
1.3 Research Topic...................................................................................................................................7
1.4 Research Aim.....................................................................................................................................8
1.4 Research Objectives...........................................................................................................................9
1.6 Research Questions.........................................................................................................................10
CHAPTER 2: Literature Review...................................................................................................................11
2.1 Digitization in supply chain..............................................................................................................11
2.2 Relation between IoT and Supply Chain..........................................................................................13
2.3 Challenges of using IoT in supply chain............................................................................................14
2.4 IoT in process integration of supply chain.......................................................................................16
2.5 Role of Smart Technology in Warehousing......................................................................................18
2.6 Implementation of IoT in warehousing............................................................................................20
CHAPTER 3: Research Methodology..........................................................................................................21
3.1 Research Philosophy........................................................................................................................21
3.2 Research Approach..........................................................................................................................24
3.3 Research Strategy............................................................................................................................25
3.4 Research Choices: Mono-Method...................................................................................................26
3.5 Time Horizons..................................................................................................................................27
3.6 Data Collection................................................................................................................................28
3.7 Data Analysis...................................................................................................................................29
3.8 Sampling Technique and Size...........................................................................................................30
3.9 Ethical Considerations.....................................................................................................................31
CHAPTER 4: Analysis and Results...............................................................................................................32
REFERENCES..............................................................................................................................................40

CHAPTER 1: Introduction
1.1 Background of the study
In order to realize the vision of industry 4.0, the procedures of most of the firms have to
become digitized. The most essential element will be the evolution of conventional supply
chains towards a smart, connected, and extremely effectual supply chain ecosystem. The supply
chain is a series of largely discrete, siloed steps that are taken with the help of marketing,
product development, manufacturing, distribution and finally in hands of the end-user
(Tjahjono et al., 2017). With the help of digitization, all those walls can be brought down and
the chain can become an entire incorporated ecosystem which is transparent to all the
individuals involved right from the supplier of raw materials, parts, and components to the
transporters of those supplies and finished products and lastly to the customers that have the
demand for accomplishment (Tjahjono et al., 2017).
The network is reliant on numerous technologies: included planning and implementation
systems, visibility of logistics, self-directed logistics, smart procurement and warehousing,
management of spare parts, and sophisticated investigative. With the help of this outcome, the
companies will be able to react to the disruptions in the supply chain and also will be able to
anticipate them by completely modeling the networking, creating the scenarios of what if, and
making adjustments in the real-time supply change as per the change in circumstances
(Manavalan and Jayakrishna, 2019).
Once it is established, the components initiate to develop the digital supply network that will
offer a novelty degree of resiliency and receptiveness which enables the firm to attain
competitive advantage and deliver the most effectual and transparent service delivery to the
customers (Manavalan and Jayakrishna, 2019).
At most of the firms, the products are given to the customers by following a standard
procedure. Marketing analyzes what are the requirements of the customers and then tries to
assume sales for the upcoming duration. With the help of that information, raw materials,
parts, and components are ordered by manufacturing for predictable capacity. Distribution

considers the upcoming alterations for the amount of the products that are coming down and
the customers are then made aware of the time of shipment. If everything goes well, then there
is a reduction in the gap between demand and supply (Golgeci and Gligor, 2017).
The above-mentioned situation occurs in rare cases. Forecasting still is inaccurate science and
the data on which it relies may be incompatible and unfinished. It is often noticed that
manufacturing works separately from marketing, from the customers, suppliers, and other
partners. If there is less transparency then it means that there is no understandable supply
chain link (Hofmann and Rutschmann, 2018).
Over the duration of upcoming years, this will begin to change. The reason behind his is that
there will be some disruptive weather events or outsourcing snafus. With the arrival of the
digital supply chain, boundaries will dissolve and every link will have complete visibility into
requirements and challenges of others. If there will be transparency then the firm will not just
be able to react to the disruptions rather, they will be able to anticipate them and adjust the
supply chain as soon as there is a change in conditions (Hofmann and Rutschmann, 2018).
The objective of the digital supply chain is ambitious. It is to establish a new kind of network of
the supply chain that is responsive. But if the firms are involved in making the digital supply
chain, then they just cannot gather technologies and build competences. Therefore, they must
look for individuals with the right skills and administer the movement to a culture that is willing
to undertake the attempts. In simple words, it can be said that they must renovate the whole
company (Korpela et al., 2017).
The digital supply chain comprises of 8 crucial elements integrated planning and
implementation, procurement, visibility of logistics, smart warehousing, B2C logistics, and
effectual management of spare parts, authoritarian supply chain investigation, and enablers of
the digital supply chain. The firms can combine all the elements as it will assist to gain
maximum benefits in customer service, efficiency, reduction of cost, flexibility, and if any firm
will holdup then it won’t be able to attain competitive benefit (Büyüközkan and Göçer, 2018).

The pandemic has influenced the global supply chain to a major extent, which later requires
quick action from the logistic firms that are willing to continuously drive growth in this
situation. For these kinds of firms, new technology acts as a key resource. The Internet of
Things comprises smart devices that move or receive data with the help of the internet. The
sensors of IoT are an essential part of what the analysts call Industry 4.0, the present trend
towards digitization in manufacturing and logistics. It is noticed that this year Industrial IoT
devices have majorly influenced how the cutting-edge logistics operations move towards their
work (Tjahjono et al., 2017). This demonstrates that these alterations are just the beginning of a
major revolution that will occur in the rest of the year.
One of the major changes that have enhanced the adoption of IoT powered fleet administration
technology. If the company has the right sensors then it can gather real-time data on the
movement of the vehicle and share it will the parties who are part of it. The logistic firms that
have large fleets can manage their vehicles through fleet management technology in a manner
in which it helps in the promotion of safety and sustainability (Haddud et al., 2017). The best
example of this is that a firm can install IoT sensors in the truck which will help in tracking
variables like location, speed, acceleration, and status of the engine. With the help of this data,
one can detect when the vehicles are inactive for a longer duration of time. This is precious
data for the business that have their trucks operating in cities where there are restrictions on
commercial vehicle idling. In addition to this, the logistic firms are also making use of this
technology to optimize routes of the vehicle and decrease the cost of spending on fuel. These
extra advantages can help to make a sector stronger that has faced many weaknesses within its
supply chains. The data from IoT sensors in the vehicles can also give a detailed review of the
supply chain (Haddud et al., 2017).

1.2 Rationale of the study
The study of the impact of IoT on the supply chain in the context of warehousing is important
because this is an era of materialization of new digital industrial technology that is known as
industry 4.0. It has a positive influence on the performance of the supply chain. If it is seen in
the context of the supply chain, then warehouses are their basic parts that are used for storing
the products and managing the levels of inventory (Haddud et al., 2017). If the firm has a sound
system of warehouse management then it can help to reduce cost and increase customer
satisfaction. It has come to notice that conventional models of warehouse management have
become less effectual and also not appropriate for today's increasing market demands. The
other reason for conducting the study is that the Internet of Things is becoming a major trend
in today's era. It is the next generation of Internet-connected embedded ICT systems in the
digital atmosphere in order to integrate the supply chain and logistics procedure in a faultless
manner. It can be very unique to amalgamate IoT into the present ICT system because of its
intelligence, independent, and all-encompassing applications (Haddud et al., 2017).
Nevertheless, a study on the adoption of the internet of things in the supply chain is inadequate
and the reception of IoT specifically in retail services has been excessively oratory.

1.3 Research Topic
The whole study will be dependent on understanding the influence of the Internet of Things on
supply chain specifically warehousing and integration of supply chain. The study will be
advantageous in increasing knowledge in the context of the Internet of things, its positive and
negative influences. The topic of the research is stated below:
“Investigating the influence of the Internet of Things on Supply Chain"

1.4 Research Aim
The purpose of the study is to identify and understand the influence of the internet of things on
the supply chain particularly towards warehousing and performance of the supply chain. The
association between the internet of things and the supply chain will also be demonstrated.

1.4 Research Objectives
 To investigate the association between the internet of things and supply chain
 To determine the challenges of using IoT in supply chain
 To assess the concept of IoT in process integration
 To review the implementation of IoT in warehousing

1.6Research Questions
 What is the relation between IoT and the supply chain and What are the challenges of
using IoT in the supply chain?
 What is IoT in process integration of the supply chain and how can IoT be implemented
in the warehouse?

CHAPTER 2: Literature Review
2.1 Digitization in supply chain
According to Vendrell-Herrero et al (2017) there are numerous trends in supply chain
management such as quicker speed to market, greater suppleness, optimizing story levels in
order to make sure complete price sales in order to name some answers. The author further
stated that the fundamental of all these is the digitization concept because the firm cannot
attain any of these objectives unless they shift from a traditional manual system to digital
systems.
Pundir et al (2019) explained digital transformation as the application abilities to procedures,
products, assets in order to enhance efficiency, augment customer value, administer risk, and
unveil new monetization opportunities. It was further added that digitization breaks down the
silos by eradicating manual procedures and spreadsheets with enterprise digital systems that
bring the stakeholders from all over the world together, enhance communication, coordination
and make sure that there is the free flow of real-time information to every person who is the
part of the product supply chain.
Holmström et al (2019) stated that industry 4.0 creates disruption and necessitates the firms to
rethink the manner in which they design the supply chain. It has been observed that numerous
technologies have appeared that are changing the conventional ways of working. In addition to
this, megatrends and expectations of the customers also have significant contribution in
changing everything. The author further added that apart from the requirement to adapt, the
supply chain also has the chance to move to the next level of equipped efficacy, to influence
emerging models of the digital supply chain, and to alter the firm into a digital supply chain.
Chain (2020) explained that numerous megatrends have a major influence on supply chain
management, there is constant progress of rural areas all over the world, which further leads to
the movement of wealth in those areas that have never served before. The author further
stated that changing demographics also lead to a fall in the availability of labor and a rise in
ergonomic necessities that increase as the age of the workforce increases.

According to Park et al (2020) there is a rise in expectations of the customers, due to which
there has been a rise in service expectations. Also, this has led to increased personalization
which drives robust growth of the continuous change in the portfolio. Further, the author
stated that online-enabled lucidity and easy admittance to the mass of the alternatives in the
context of where to buy and what to buy increases the competition of supply chains.
Sanders et al (2019) explained that with the help of digitization, the firms can meet the
demands of the customers, challenges of the supply chain, and also the residual expectations of
effectiveness enhancement. Through digitization the supply chain 4.0 will be faster as new
methods of distribution of product will decrease the time of delivery of high runners to some
hours. The author further added that the basis for these services is built by sophisticated
forecasting approaches such as an optimistic investigation of internal and external market
trends, machine data and this provides an accurate forecast of the requirement of the
customers. The forecasts are not done every month instead they are done every week.

2.2 Relation between IoT and Supply Chain
According to Birkel and Hartmann (2020) IoT devices have transformed supply chain
management. It has become much easier to comprehend the location of the goods, how they
are stored, and when the goods can be expected at a particular location. The author further
explained that IoT devices can be attached to particular cargo space containers or to the raw
material or the products themselves. Then the IoT device will broadcast the location that can be
picked up by the GPS satellites and used for tracking the movement of goods.
Manavalan and Jayakrishna (2019) explained that tracking the pace of movement and traffic
flow of the product makes it extremely easy to forecast the manner in which goods will move
through the supply chain. The suppliers, producers, and the centers of distribution can get
ready to take the goods as it further decreases the time of handling and makes sure that
materials are processed efficiently. The author further added that some of the goods like
chemicals, food have to be stored in appropriate conditions. The IoT devices can evaluate the
elements like temperature, exposure to the environment, humidity, intensity of light, and other
ecological factors. These devices may even activate the alarm if the thresholds are violated.
Through this, it makes it much easy to monitor the quality of products with the help of the
supply chain which in turn reduces spoilage.
Abdel-Basset et al (2018) stated that with the help of IoT devices the tracking of goods and
planning of route can recognize at what time and at what place the goods are delayed in
transit. Through this, there is emergency planning and optional routes increase the pace of the
supply chain. The author further added that when the goods are at the distribution center, they
can remain tagged with IoT devices. Through this, it becomes easy to look for particular
products within a bigger warehouse and make sure that there are precise recognition and
administration of goods. When there is verified tracking with the help of IoT devices then it
means that supply chain management can authenticate at exactly what time the goods will
arrive. This can generate other managerial tasks such as payment to suppliers or results of
shipping.

2.3 Challenges of using IoT in supply chain
According to Omitola and Wills (2018) with every significant technological disruptor, the firms
must deal with a management problem. A huge amount of effort will have to be invested by the
operational administration team and IT team when it is linked with buying IIoT devices for a
connected supply chain. The author further added that many professionals are willing to buy
the latest technology as soon as it comes to the marketplace but the operational management
teams may not willing to invest any money in that. This is often the problem with IIoT
specifically with the individuals who are part of the operational team because they have
become familiar with purchasing the technology that can at least last for some years if not
decades. But when these devices do not last for years then it makes it mandatory for the IT
team to purchase new technology. The author further added that this situation forces us to
attain a balance between buying new technology and making use of the existing one (Pishdar et
al., 2018). This decision will help to let know whether or not the new IIoT device solves the
issues or makes a significant influence on the procedures and the employees. Most of the firms
will have to undertake a cost-benefit analysis with the support of IT and operational
management teams to assess if a new upgrade can make an influence that is worth the
investment.
Chang et al (2020) explained that there is a huge degree of chances that the firm is dealing with
a varied pool of employees, where the boomers are just completing their career in
manufacturing and Millenials are entering the workforce. The author further added that the
learning curve of each individual will be different when it comes to preparing complex
procedures of IIoT and their readiness to make use of it.
Birkel and Hartmann (2019) stated that IIoT is there to abridge and increase the level of
efficiency in manufacturing and connected supply chain. But adopting IIoT also means
surrendering the procedures of quality control by demonstrating a high level of trust in
machines and sensors to assess when the machines require schedule maintenance and make
use of data to make the decisions that are required to be made by the individuals at the factor
itself. It is a total change from how business was done in the past duration. The author further

added that providing training courses and remuneration to continue the education will prove to
the employees that they are just as crucial now as they were before the implementation of the
technological changes. With the help of leadership, perceptions of employees can be altered
where they can be granted the assurance that they are not outdated in the connected supply
chain.
Pishdar et al (2018) explained that one main asset of IIoT is that it makes a huge amount of data
available. This data may have valuable pieces of information for a connected supply chain,
simply gathering the data is not adequate. The raw data that is taken from the sensors
throughout the supply chain may not be complete, precise, and reliable. In today's era supply
chain not only just includes the data from sensors and other procedures, but rather also is
inclusive of the data from online partners and procedures who are not completely operating
digitally. All these diverse data have to be accounted for and administered in a proper manner
if a player in the supply chain expects to make good decisions, fix the issues, and take
advantage of at complete value of the data (Chang et al., 2020). To attain this, the firm requires
much more than the basic access to the data. It necessitates using data integration, data
governance, and other crucial functions of data management that are accountable for handling
the data that is part of the supply chain. The author added that, when then happens, then only
the supply chain players can be dependent on complicated analytics to get access to insights
that motivate smarter decisions and also the potential that is required to attain competitive
advantage.

2.4 IoT in process integration of supply chain
According to Radanliev et al (2019) in the competitive atmosphere where the supply chain
competes instead of single firms, the increased performance of the supply chain increases the
competitive benefit. The author further stated that at the time of demonstrating the concept of
supply chain management, the integration of the supply chain showcases a mechanism for
enhancing the performance of the supply chain.
De Vaass et al (2018) explained supply chain integration as the mutual inter and intra
organizational management at deliberate, tactical, and equipped procedures of businesses to
attain effectual flow of products, funds, and information in order to deliver maximum worth to
the end-user at the least cost possible and greatest speed. The author further explained
internal integration as the breakdown of cross-functional obstacles within the firm through the
synchronized procedure by assisting the real-time in sequence sharing across the business
functions and tactical coordination to attain better performance.
De Vaass et al (2018) stated supplier and customer integration as strategic information sharing,
joint planning, and coordination between the firm and the upstream suppliers and downstream
customers in administering the procedures. The author further added that the ultimate
objective of integration is to attain efficiency in terms of cost and effectiveness in terms of
delivery in the whole supply chain by creating value for the customer.
According to Wakenshaw et al (2017) the progression of Internet-enabled network of
infrastructure from RFID readers to 4G communication that is having high speed and wireless
which acts as a mechanism behind the development of these troublemaking technologies that
are designed with less power, low transmission, and machine to machine level communiqué to
send and accept data. The author further added that data is not troublemaking by itself. A huge
amount of data that is associated with logistics was collected with the help of current devices
but was soiled between the functional areas and was hardly ever available on a real-time basis.
Rather, gathering and scrutinizing more relevant data has become a crucial task on which
disruptive technologies are built.

Ben-daya et al (2019) explained how the Internet of Things is congregated with the 3 chief
visions that are inclined towards things, internet, and semantic. Thus, it can be said that the
architecture of IoT is inclusive of the objects that collect the information, communicates with
the real world and triggers; the global platform of the internet that is inclusive of the cloud that
facilitates the transmission and hosting and data processing and also the information synthesis
and processing capability. The author further added that in recent years it has been observed
that IoT technologies have become more effectual and economical and there is growth in its
revision and operation in operations of supply chain irrespective of major challenges.
Ben-daya et al (2019) stated ICT as a digital enabler for the incorporation of the supply chain is
involved in promotional of the flow of effectual information. The supplementary potentials
generated by the Internet of Things technologies are argued to potentially smooth the progress
of the data collected and share it amongst the partners. Thus, the author specified that IoT has
the ability to sense the procedures of the supply chain, enhancing the correctness, visibility,
traceability, interoperability, and joint decisions along the supply chain. The authors recognize
the supply chain in general and retail supply chains in specific as a chief application of the
industry in the sector of the Internet of Things.
Tu et al (2018) explained that the present application of IoT in the supply chain are to take
numerous forms such as RFID that necessitates a more cohesive, consistent, and investment
inclined technique to exploit the smart devices, GPS, and smart cell phones that come with
numerous built in IoT functionalities. Therefore, IoT must not be looked at the technology
limited to large, ingenious operations but must be looked at as the competence that is usually
available. However, deployment of IoT is presently reported as a fragment and does not have
the interoperability to realize the entire potential due to matters in respect of architecture,
security, evenness, and privacy (Tu, 2018). Therefore, the integrated procedure is required in
the context of the apparent influence of IoT on the supply chain.

2.5 Role of Smart Technology in Warehousing
According to Mahroof (2019) administrators have to meet the increasing demands of the
customers in order to make sure that the company attains success. Therefore, it has become
mandatory for every company in today's era to adopt IoT, cloud-based management systems,
and other technologies. The author further added that technology plays a crucial role in
enhancing warehouse productivity.
Periša et al (2019) stated that with the help of smart technology, the warehouses get the
opportunity to enhance the exactness of planning and administration of the supply chain. With
the help of connected sensors and machine to machine communication protocols, the
administrators of the warehouse get access to real-time information at every phase of the
supply chain. The author further added that innovations like automated vehicles can calculate
the unswerving direction for the delivery of products which helps in the reduction of the time
that is needed to finish the operation and also reduces the cost of fuel.
According to Jakimovska and Vasileva (2020) the chief players of the supply chain are often
scattered across numerous nations, the procedure of delivery can distance huge miles. Under
such kind of situation, it is not easy to control every phase of the project. With the help of
connected platforms, the administrators of the warehouse can track the state of products in
delivery, location, and also the pace of the fleets. The author added that the owner of the firm
will also get an alert if there is any issue associated with preservation or in case the safety of
the employee gets influenced.
Buntak et al (2019) stated that if it is considered that the unemployment rate is the least, it is
extremely challenging for the warehouse administrators to look for skilled talent. With the help
of smart technologies the owners are not required to look for new hires rather they can
enhance the productivity level of the team members who are already part of the firm. The
author further added that it takes an approximate time of 60 hours to deliver complete training
to the employee, but smart technology can reduce this duration to 41 hours per employee
training. With the help of smart glasses and voice-driven guidance platform, employees can get
the instruction without any kind of interruption in their working days.

According to Pervaiz (2020) the awareness of administrators has been increased in the context
of a single item stored at the warehouse with the help of the internet of things. The platforms
of data storage and connected sensors are extremely helpful for the managers as they tell them
about the location of all the goods at the warehouse, get alerts when the stock is low, get a
notification if any product goes astray. Also, with the help of smart technologies, one can
monitor the conditions of storage and make adjustments in them independently. If any product
is lost due to any kind of theft, then the store mangers get the alert at the same time, which in
turn leads to a rise in the chances of repossession of the product and also helps to determine
the individual who was accountable for such kind of situation.

2.6 Implementation of IoT in warehousing
According to Mostafa et al (2019) there are numerous functions of supply chain management
such as purchasing, manufacturing, inventory, distribution, routing, location, and marketing.
The Internet of Things has a major role in enhancing the function of SCM. The author further
stated that in today's era, warehouses have a crucial part in meeting the expectations of the
customers. They serve as the most important sources of competitiveness that are measured by
who can provide the products faster with at less cost and a high degree of flexibility. In this
context, the managers are required to have a good comprehension of everything that is
associated with warehousing and also how it influences the entire supply chain.
Buntak et al (2019) explained that enhancement of warehouses can be measured with the help
of speed and correctness of meeting demands, effectual administration, and reduction in the
functions that do not add any value. Another major concern that is associated with the
integration of information comprises key functions for getting the updated status of the stock,
tracking of products, and order management.
Patil et al (2019) stated that warehouses can have numerous products, therefore, one must
make optimum utilization of it in order to make sure that quick and accurate performance is
delivered in the context of functions in order to meet the demands of the customers. When the
Internet of Things is applied to warehousing than it as a major influence as it can be used to
scrutinize numerous procedures in the warehouse in real-time and do away with labor-
intensive intrusions. It can make everything associated with each other and hence facilitate the
investigation of a huge sum of data that is gathered from these associations and then converts
them into insights to deliver support to the decisions and enhance the recital on at holistic
basis.

CHAPTER 3: Research Methodology
The research methodology is a particular method that is used by the investigators to assess,
select and process the information in context of specific subject area. The research will be able
to gain highest degree of trustworthiness by discussing each and every level of methodology
with an evident justification. With the help of this, the investigator is also able to assess the
overall steadfastness and legitimacy of the study (Mohajan, 2018). It is mainly related with how
the data was generated, gathered and examined. In simple words it can be said that research
methodology is the practical how of any provided piece of research. If it is discussed more
particularly then it is all about how an investigator designs a study to make sure valid and
trustworthy results that attain the aims and objectives that were established at the beginning
of the research.
Research methodology is the way through which the investigators need to undertake their
research. It demonstrates the way through which these investigators can devise their issue and
objective and showcase their result from the data received at the time of study duration. In
addition to this, research methodology always showcases how the research will attain the result
in the end by aligning with the respective objectives (Mohajan, 2018). In order to attain the
objectives established in the beginning of the research, qualitative and quantitative research
method is detained in general.
3.1 Research Philosophy
Research Philosophy is a specific way of developing knowledge that explains the philosophical
paradigm. The progress and comprehension of knowledge is reliant at some of the assumptions
that are based on the viewpoint of the world that is the specific considerations at the time of
selecting the research topic (Cazeaux, 2017). For occurrence, the viewpoint of the world and
sensible deliberation of the investigator are different. On one hand, the researcher may pay
attention at the procedures of the product quality and on the other hand, one may be
concerned with the psychological tactics that are applied by the suppliers to attract the
consumers in the same industry. Hence, it can be while the former showcases high degree of

concern towards the facts and latter illustrates the concerns with feelings. Thus, based on the
diverse viewpoints, the tactics and methods will also have difference. This will completely rely
at the significance and helpfulness in attaining the purpose of the study (Cazeaux, 2017).
With the help of the philosophical approach the research is able to decide which approach must
be adopted and why. Hence, it can be said that, before choosing the suitable research
philosophy, it is extremely essential to know about numerous types of philosophies in the
research. The essential assumption in the research philosophy elaborates the viewpoint of the
investigators in context of the world. These assumptions are accountable for determining the
research strategy and method of that respective tactic. Below are the numerous types of
research philosophy:
Positivism: Under this philosophy the researcher works with observable social reality and
results is always in the form of generalizations. The investigator adopts this research philosophy
when he or she has high degree of concern in context of reality or facts. The methodology as
per this philosophy has to be highly organized and have hypothesis testing and statistical tools
that is a quantitative method (Cazeaux, 2017).
Interpretivism: This philosophy is reliant at the comprehension of human nature and their
varying role as social actor. It assess the social roles of other individuals as per own set of
viewpoints or meanings. This specific position has been taken by the feelings of the researcher
who is enthusiastic for investigating the emotions of individuals and also the social roles. A
qualitative method is applied to cooperate with the people so as to construct a meaningful
reality in coordination with other individuals (Cazeaux, 2017).
Realism: This can be explained as the methodical inquiry that emphasizes at reality that is
projected through the sense of truth. This philosophy believes that objects have self-
determining existence from human mind. It can be said that this element is more associated
with positivism. However, there is difference in views of direct realist and critical realists. The
direct realist showcases utmost belief in whatever they see or perceive through the senses as
real and the critical realists argue that whatever they see with the help of their senses is just a

picture of the real object and not the actual one (Cazeaux, 2017). In simple words, it can be said
that critical realist believe in virtual reality.
In the present study, interpretivism has been utilized as it goes with the naturalistic method
that is analysis of the existing texts. This philosophy has been suitable as it adheres to the fact
that interpretation of the human may be different in accordance with their roles.

3.2 Research Approach
Research approach can be explained as the plan or process that comprises of steps of the broad
assumptions to detailed methods of collection of data, data analysis and data interpretation as
well. Therefore, it can be said that it is reliant at the nature of the research problem that is
being tackled. For analyzing the data, there are mainly two types of research approaches which
are:
Inductive: This approach is concerned with generation of new theory that is emerging from the
data and it makes use of research questions to narrow down the scope of the study. The
ultimate aim of this approach is usually focused at exploring new concept or looking at the
concept that was researched in the past but from a different viewpoint (Alase, 2017).
Deductive: The main aim of this approach is towards testing theory and usually starts with a
hypothesis and usually pays attention at causality. Most of the time, this approach is associated
with quantitative research (Alase, 2017).
In the present research, inductive approach is used as it is usually associated with qualitative
research and also another reason for using this approach is that it is usually recommended as
best method to analyze the review of literature.

3.3 Research Strategy
The research strategy explores the manner in which the investigator is intended to undertake
the research. In simple words it can be said that it introduces the essential components of the
research such as research topic area. It refers to the manner in which the investigator proposes
to give answer to the questions of the research and how he or she executes the methodology. It
comprises of numerous techniques which are inclusive of action research, interview, case study
research, systematic review of literature etc. In the current study, the investigator will make use
of systematic review of literature (Clark and Causer, 2020).

3.4 Research Choices: Mono-Method
Research choices seek to inform the investigator about how the data is collected that is
whether one or more than one approaches are used in order to gather the desired information.
It comprises of three methods which are mono method, mixed method and multi method (Bligh
and Flood, 2017). Under mono method, the researcher makes use of only one method that is
either qualitative or quantitative. On the other hand, multi method is method where the
investigator uses numerous methods to get explanation in detail in context of specific subject.
In the present study, the researcher has used mono method as only qualitative method has
been utilized. It can be explained as the procedure of collecting and analyzing and data that is
not inclusive of numbers. The investigator generally assesses the data gathered from previous
sources and then reaches to a final conclusion with the help of his or her interpretation. In the
present study, critical investigation has been made in context of digitization of supply chain by
using Internet of Things (Bligh and Flood, 2017).

3.5 Time Horizons
Time Horizon can be explained as the time frame that is usually taken by the investigator to
complete the research. They are usually of two types which are cross sectional and longitudinal.
An investigator applies cross sectional when the study of the research is associated with
analyzing a particular phenomenon with a specific period. On the contrary, longitudinal is
associated with gathering the data over an extended duration, the key aspect for this technique
is exploratory change over the period of time (Liu and Zhang, 2019).
The current study is linked with making use of longitudinal time horizon as the investigator is
undertaking qualitative research where he has gathered the data in bulk and will be reading
and selecting the content in accordance with the requirement of the research that has no
specific time (Liu and Zhang, 2019).

3.6 Data Collection
This is the last stage of the research onion which is inclusive of the discussion in context of the
methods and processes that are used for gathering the data. Data can be gathered with the
help of two methods which are primary and secondary. Under primary data techniques, first
hand information is collected from the sources such as interviews, focus groups, questionnaire
etc. On the other hand, secondary data techniques are linked with making use of second hand
information that has been collected from the already existing sources such as literatures, books,
articles, journals, newspapers etc (Sayaji, 2020). In the present study the investigator has used
secondary technique for collecting the data. The data has been gathered from scholars,
journals, online articles etc.
Secondary data collection
Under this research technique, the data is collected from the second hand or existing sources.
In the investigation entire data is collected from academic papers that are associated with
supply chain digitization through Internet of Things. Through the review of literature the
researcher may also build innovative concept and ideas for the purpose of undertaking further
research (Sayaji, 2020).
Advantages of Literature Review
- Data can be gathered from numerous sources
- Aids interdisciplinary
- It enhances the intelligibility and replicability of the review
- It gives a knowledge base in context of the subject
- It recognizes gaps and discrepancies in the study
Disadvantages of Literature Review
- It depends on the quality of the abstract
- The traits of the design may influence the interpretation of the findings
- It may perimeter intuition

3.7 Data Analysis
Data analysis can be explained as the procedure of cleaning, converting and modeling the data
to determine constructive information for carrying out the process of decision making. The
rationale of data analysis is to dig out the helpful information from the data and then taking
decision on the basis of data analysis (Johnston, 2017). If something is not done right then
individual has to look back and address the mistakes and make a proper plan so as to avoid
them. Even if everything is going good, the individual has to look forwards to attain success.
Therefore, it becomes essential for the researcher to analyze the business data.
In the present study, the ultimate aim of data analysis is to get the constructive information
from the data that is collected from the secondary sources. There are many tools of data
analysis that display and depict the data collected (Johnston, 2017). Meta analysis will be done
in the current study. Meta analysis is when the investigator investigates numerous data and
then extracts the most useful information for the purpose of the research and then
demonstrates as per his or her viewpoint and tries to get something and new and also derive a
meaningful conclusion.

3.8 Sampling Technique and Size
Sampling is the most essential element of the investigation that is used to assess the precision
of the outcomes. Sampling can be defined as the procedure of selecting a sample from total
populace. In simple words, it can be said that sampling helps a lot in research. It is one of the
most crucial factors that verify the accuracy of the investigation (Etikan and Bala, 2017). If
anything goes wrong with the sample then it will be imitated in the final outcome. There are
numerous techniques of sampling which helps the investigator to collect sample in accordance
with the requirement and the circumstance. In the present study, simple random sampling was
used. 50 articles were chosen from different sources, then abstract reading was done of 30 of
them in accordance with the requirement of the objectives established and then through
random sampling 8-10 of them were chosen for conducting in depth studying (Etikan and Bala,
2017).

3.9 Ethical Considerations
Every research does not involve gathering data from the respondents. In the current study also,
the data was gathered from secondary sources that is the part of personal research. There are
numerous ethical issues which are associated with secondary utilization of the research data. In
the current study, the investigator conducted the study in ethical manner (Leibovici, 2016). The
data that was obtained from the internet was relevant and adequate but not disproportionate.
In addition to this, the original data was not gathered to deliver answer the questions
established in the beginning of the research. In addition to this, it was kept safe from unlawful
access or destruction. The data which for in the form of hardcopies was kept safe in cabinet
while the data in soft copy was stored in pen drive.

CHAPTER 4: Analysis and Results
Digitization in supply chain
Digital supply chain management can be defined as the supply chain management that has an
added layer of digital technologies. These technologies comprises of prognostic investigation to
optimize the allotment of stock and forecast demand. It is also inclusive of automated
replacement solutions, robotics to increase the picking or assembly and also IoT sensors to
collect the real time feedback from manufacturing equipment and vehicles (Holmström et al.,
2019). In simple words, it can be said that digital supply chain is the chain of technological firms
that are involved in delivering digital products that is originally referred as supply chain of the
digital products that was initially in the form of physical products such as eBooks.
From the data that was collected from numerous sources and demonstrated in the form of
literature review, it can be analysed that in today’s era, supply chain management has gained
significant degree of importance as it comprises of many trends such as optimizing the story
levels, faster pace to market, greater suppleness etc. Digital transformation can be explained
where digital capabilities are applied to the processes, products and assets to enhance level of
efficacy, value to the customer, administer risk and unearth new monetization chances. It has
been observed that there are numerous firms who have paid significant degree of attention at
supply chain initiatives (Holmström et al., 2019). In simple words, it can be said that many firms
have made major efforts to increase the efficiency in supply chain and also the pace to the
market.
It was also observed that through industry 4.0 disruptions are created that force the firm to
think again in context of the way in which they design the supply chain. In today’s era, there are
many technologies that are making alteration in traditional way of working. The rising
expectations of the consumers have major part in changing everything. In addition to the
requirement to adapt, supply chain also have opportunity to go to another level with high
degree of efficacy to influence the promising models of digital supply chain and also changing
the supply chain of the company into digital supply chain. The literature review also showcased

that many of the mega trends have significant degree of impact at management of supply chain
which is increasing the development at rural parts of the world which in turn is helping to move
wealth in those parts of the world that have never offered anything major to the world (Chain,
2020).
Further it can be said that in current time, the customers are having extremely high
expectations which is further leading to increase in service expectations. In addition to this, due
to rise in expectations, service providers are increasing customizations which is leading to
increased growth and constant alteration in the assortment. Also, it can be said that almost all
the companies are making use of digitization to meet the customer’s requirements, supply
chain issues and also expectations for enhancing the effectiveness. With collaboration of
digitization and supply chain, there will be quicker methods for product distribution that will
reduce the delivery time to major extent (Vendrell-Herrero et al., 2017). Hence, it can be said
that digitization is beneficial for the firm in all the ways and does not pose any drawbacks.
When digitization is implemented it breaks down silos by removing the manual procedures and
brings together the stakeholders from all over the world which in turn leads to improvement of
communication, coordination and making sure that the real time information to flowed freely
to every individual who is the part of the supply chain.
Relation between Internet of Things and supply chain
From the literature review, it can be analysed that the supply chain management have been
altered with the help of IoT devices to major extent. Due to these devices, it has become very
easy to know about the location of the goods, the manner in which they are stored and also
when an individual can expect them to a specific location. There has been so much
advancement in the technology, that IoT devices can be attached to the fleet, to the raw
materials or to the products as well (Abdel-Basset et al., 2018). These devices make use of
sensors to measure the aspects of the entire world around them. It is inclusive of aspects such
as temperature, location, levels of light, ecological factors etc. These devices come in numerous
forms such as mobile sensors, RFID chips, and smart devices. Hence, it can be said that these
devices are one of the most effectual ways to track and substantiate the shipments and

products by making use of GPS and other technologies. In addition to this, it was also observed
that these devices also have the capability to monitor the storage conditions of the products
which increases the quality management in the entire supply chain (Li and Li, 2017).
The secondary data also demonstrated that when the pace of the movement of the product
and traffic flow is analysed then it becomes extremely easy to track the way in which goods will
move in the supply chain. When tracking is done then it makes it easy for the individuals to
identify at what stage the goods are being delayed. Hence it can be said that IoT devices have
proved to be extremely beneficial in context of supply chain management (Papert and Pflaum,
2017). The first benefit is that it reassures the location of the goods both when they are at rest
and at motion. In addition to this, in case when goods are lost or get delayed then it easily
recognizes the issues. Also, it helps to tracking the visibility of the stock and real time shipment.
Another benefit is that it makes it easy to do demand and supplies planning as the stakeholders
are well aware of what they can get the delivery of the goods and process them and
administration of quality is also high as both the raw materials and processed goods are kept in
most advantageous conditions. The reason due to which the storage and distribution of the
goods is effectual, is that there is easier location of the goods at the warehouses (Papert and
Pflaum, 2017).
Challenges of using IoT in supply chain
From the review of literature it can be analyzed that as RFID takes shape, the RFID firms are
required to provide entire solutions that have the capability of quickly and easily adapting the
requirements and expectations of the customers. In today’s era, Internet of Things have
received huge amount of attention as it is real and also has the potential to undergo for long
term duration. It has many advantages but it has drawbacks as well. The drawback of
technology and solution providers is to exploit at the movement to connect everything with the
help of personal, commercial and industrial wireless mesh networks (Omitola and Wills, 2018).
Now the individuals are moving in era where they can sense, locate, track, and keep an eye on,
measure and evaluate every single thing from products to be given to the end customer to fleet
and vehicles to human resource. If it is observed in context of consumers then it is all about

personal, wearable networks that have wireless sensors. For business, everything is moving to
cloud and for every individual it means just to stay connected to all the things across the globe.
Internet of Things devices are dependent at good connectivity of the network so as to function
in an effective and efficient manner. They require having the capability to transmit their
positions to GPS satellites and other kinds of IoT devices may be in need of Bluetooth, Wi-Fi or
other connectivity. But the areas where there is high degree of electrical interference then
won’t be able to function in those areas (Haddud et al., 2017). In addition to this, other
challenge observed was that these devices are dependent on being installed and powered
properly. They must be used, attached or removed from the individuals who have complete
training. Also, it is extremely essential to make use of right IoT device for the right job as if they
are not used in correct manner, then they can be damaged easily. In addition to this, another
issue is that in today’s era, the professionals demonstrate the urge to makes purchases of latest
technology as soon as it is introduced in the marketplace but the individuals who are working in
operational department do not show the interest to make investment in that respective
technology. Often it is seen that this is issue with IIoT particularly with the people who are part
of operational department because they are well acquainted with buying technology for some
time if not for decades. But the issue noticed is that these devices do not work for longer
duration which makes it compulsory for the IT individuals to buy new technology (Haddud et
al., 2017).
Another issue that was observed in the data collected from secondary sources was that in
today’s era, the firms hire diverse employees who have different skill set. These employees may
be inclusive of individuals who have just completed their career in manufacturing sector and
some of them who have just entered the new workforce. It was observed that there is wide
difference in learning of every person when it is associated with preparing complex processes of
IIoT and their willingness to utilize it.
Lastly, it was observed that IIoT has bulk data which is inclusive of valuable information for
linked supply chain; therefore, it is not just sufficient to simply collect the data. The data that is
been taken from the sensor may not possess high degree of reliability. As the data in current

era is not just from the sensors rather also comprises it from other online partners who do not
have complete details of operating it digitally (Pishdar et al., 2018). Hence the manner in which
this major issue can be resolved is that all this kind of diverse data has to be accounted in a
proper way.
Internet of Things in integration of supply chain
From the data, it can be analysed that either the individual is working in manufacturing sector,
dairy business or farming sector, the inclusion of Internet of Things would help the respective
person in numerous ways. With the help of supply of goods to the retailers in time or
submission of the products that are perishable in nature such as milk to the manufacturing unit,
Internet of things is going to assure no compromise in terms of quality and will help to save
major amount of time (De Vass et al., 2018).
It was observed that through IoT the supply chain managers will be able to connect the
vehicles, equipment and devices to get access to real time status of the fleet. This
amalgamation depicts a real picture of the procedures that are taking place in supply chain
from warehouse, to numerous stakeholders and the customers. The best example of this can be
that the managers can map out the exact location of the vehicle and they won’t have to rely at
the job status. This visibility encourages the administrators to make smart and appropriate
decision for swift movement of goods (De Vass et al., 2018). In addition to this, enhanced
visibility also provides other advantages such as reduction in the cost of transportation and less
spoilage of the products. In addition to this, a brief explanation of supply chain integration was
provided which explained that as there are mutual inter and intra company administration at
premeditated, strategic and operational processes to accomplish effective product flow and
information to provide maximum value to the end customer at least cost but at a quicker pace
(Lou et al., 2011).
The integration that takes place between the supplier and the customer is the tactical sharing
for data, mutual planning and collaboration between the company and the upstream suppliers
and downstream customers in managing the processes. The ultimate aim of integration is to get

maximum efficacy in terms of both cost and effectiveness in context of delivery in entire supply
chain by creating some worth for the end user (Lou et al., 2011).
By adopting IoT the firms are able to get 360 degree view of the supply chain, their significance
and also their influence towards the businesses. In current era, it has become extremely
essential to keep a track of the complex supply chain where numerous components are sources
across different suppliers and locations. In this kind of circumstances, when the centers are
divided into silos and then real time details is received in context of whole supply chain then it
helps to reduce difficulty in lot of work (Zhou et al., 2015). The increase in coordination across
the business would helps in recognizing the probably issues and help them to make tactical
decisions to enhance level of productivity.
Everyone is well aware of the fact that in supply chain fleet optimization is most essential
elements of supply chain. A well established tactic and connectivity in supply chain provides
many things in context of reduction of cost and transition of the product. With the help of
proper connectivity the administrators are able to make smart route planning and also
recognize the assets that stop due to traffic problems or were late in the previous job. In
addition to this, the administrators get the opportunity to track and analyze the rate of
utilization to check the efficacy of the assets and to schedule the maximum number of jobs in
every asset in future period of time. As per the utilization of the assets and its recital the
operations of the business can be designed (Zhou et al., 2015). If the assets are utilized in
proper manner, then it helps in improvement of productivity and also helps the supply
managers in scheduling more number of deliveries at daily basis. Hence, it can be said that
when it is measured and calculated across the fleet and whole supply chain, this steps has
major advantage for the business.
Implementation of IoT in warehousing
The Internet of Things and other technology trends at warehouse are the right means through
which the store managers are able to connect the online experiences with physical store
shopping. Over next few years, the buyers can expect to get quick deliveries, swift customer
journeys and wider selection of the products. If the managers have to attain success then it is

mandatory for them to adapt to the increasing demands of the customers. Therefore, adopting
IoT, cloud based management systems and other technologies have become mandatory and
are no longer an option. Technology plays a vital role in enhancing the efficiency of warehouse.
With the help of IoT accuracy can be improved in context of planning and management of
supply chain (Reaidy et al., 2015). Through connected sensors and machine to machine
communication protocols, the warehouse administrators are able to get access to the real time
data at every phase of the supply chain. In addition to this, innovation such as automated
vehicles can help in calculating the shortest route for delivery of the product which further
leads to reduction in the amount of time that is required to complete the operation. Also, it
helps to reduce the cost of the fuel (Reaidy et al., 2015).
It is often noticed that the key players of the supply chain are scattered across numerous
nations, the procedure of delivery can be across thousands of miles. Under this kind of situation
it is not easy to control every single phase of the project. But with the help of connected
platforms, the warehouse administrators can trace the position of the goods in delivery, pace of
the fleet, and also the location. In case there is any kind of maintenance issue or safety of
employee gets affected then owner of the respective firm receive an alert. In addition to this,
with the help of Iot the awareness level of the manager increases in context of every single
product that is stored at the warehouse (Zhong-Cheng, 2011). Due to connected sensors and
platform of data storage, the individuals will be able to know where all the goods are kept and
also receive alerts if there is shortage of stock. Also, if the product gets misplaced the individual
will get the alert. Smart technologies help to assess the conditions of the storage and make
necessary adjustments. If the product gets lost due to any kind of theft then the managers will
be receiving alert at the same time which will help to increase the chances of retrieval of the
product and get to the individual who was accountable for the incident.
It was also analysed that as the warehouses have many products, therefore, optimum
utilization must be made by the individual to ensure that performance delivered is quick so that
demands of the customers are met effectively. IoT has major impact at warehousing as it can be
used to assess the processes of the warehouse in real time and do away with human oriented

intrusions (Yao et al., 2014). It can help to establish a link between everything and hence help
to scrutinize bulk data that is collected from these firms and then coverts them into insights
which help in providing assistance to the decisions and augment performance holistically.

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