Evaluating the impact of demand forecasting, warehouse management, and supply chain visibility tools on operational efficiency in the UK automotive industry

Abstract

The purpose of this research is to examine the applicability of Demand Forecasting, Warehouse Management Systems (WMS) and Supply Chain Visibility (SCV) tools toward raising the level of performance in the UK automotive industry. In a highly competitive and dynamic business environment, supply chain management has emerged as one of the most strategic factors to address by leveraging innovative digital technologies. In line with the objectives of the research, the method choice involves a qualitative, secondary data type of research where the data analysis is based on thematic analysis of the findings from the published academic articles, cases and industry reports. Research conducted shows that accurate demand forecasting increases inventory and production planning and control, while WMS helps in warehouse organization, automation and inventory accuracy. SCV tools help in live monitoring, enhanced risk control and management and evidence-based decision making. However, the research also reveals some risks, such as the integration of legacy systems, high costs of implementing block chain solutions and cybersecurity risks. The study thus shows that each tool is beneficial on its own, but when implemented in combination, the greatest benefits are realized. It underscores the necessity of being prepared, aligned and committed to the digital agenda. It advances the field’s knowledge of supply chain digitalization and provides recommendations for automotive companies that want to appeal to consumers in a rapidly changing environment.