Technological Innovation and Supply Chain Process

Subject: Management
Pages: 2
Words: 582
Reading time:
3 min
Study level: Bachelor


Technological advances affect all spheres of human life, and the supply chain process is no exception to the rule. This fact is explained by the need to make improvements in the combination of activities performed by entities for product distribution and the delivery of services for their greater efficiency (Dolgui et al., 2018). In this way, the success of the corresponding operations is significantly dependent on the appropriateness of innovation implemented by businesses. In addition, it is applied to purchasing, which is the process of placing orders and managing their payment and delivery as a whole.

In other words, manufacturing and selling goods alongside the transactions in this respect are essential for understanding the adoption of new technologies. One of the examples of their connection is city logistics developments, and alternative means of transportation developed by organizations are required in urban areas (Rabta et al., 2018). Even though not all solutions are optimal for addressing the emerging tasks, they are being continuously elaborated (Rabta et al., 2018). Therefore, it is vital to examine the impact of technology on the supply chain and the role of the government in its adoption by companies to understand its significance in the future.

The Impact of Technology on Acquisition and Supply Chain

The perspective transformation of business operations under the influence of innovation can be traced through the consideration of available technological solutions implemented in other fields. One of them is the introduction of unmanned aerial vehicles useful for the transportation of humanitarian aid in places, which cannot be accessed by helicopters (Rabta et al., 2018). This method of delivering items has ensured the access of people to medications in the case of the disruption of health systems (Rabta et al., 2018). Meanwhile, it also opens numerous opportunities for businesses of the future and, more specifically, their distribution channels.

New technologies, such as self-driving vehicles and drones, facilitate the process of transportation regardless of its purpose and distance. They are likely to be adopted by organizations other than humanitarian entities, and this outcome will consequently lead to the optimization of their essential procedures (Rabta et al., 2018). The historically gradual pace of the supply chain and acquisition will be thereby boosted by such means (Dolgui et al., 2018). Physical stores will become less popular due to the convenience of new methods of delivery, and big companies possessing sufficient funds for acquiring their own drone fleets will displace smaller competitors.

The Role of the Government in Increasing the Efficiency

Another aspect of the matter is the influence of the government on the adoption of the mentioned technological solution by businesses and the subsequent modifications of the supply chain and the acquisition process. It will be manifested in recognizing the shift, regulating it from the legal perspective, and funding the development of corresponding innovation (Dolgui et al., 2018). In this way, the authorities will both exercise control over economic matters and contribute to the elaboration of cost-efficient transportation methods.


In conclusion, the supply chain and acquisition process in the future will be facilitated by drones reducing the delivery time and contributing to the convenience of services for customers. However, this situation will also result in the growing capabilities of big businesses and the disappearance of small companies unable to compete with them in the field of innovation. The technological advancements will be likely supported by the government, which, in turn, will impose more control over organizations’ principal operations and benefit from technologies’ adoption for its purposes.


Dolgui, A., Ivanov, D., & Sokolov, B. (2018). Ripple effect in the supply chain: An analysis and recent literature. International Journal of Production Research, 56(1-2), 414-430. Web.

Rabta, B., Wankmüller, C., & Reiner, G. (2018). A drone fleet model for last-mile distribution in disaster relief operations. International Journal of Disaster Risk Reduction, 28, 107-112. Web.