UTILIZATION OF
INFORMATION SYSTEM FOR
SUPPLY CHAIN CONTROL ON
FISHERIES INDUSTRY FACES
INDUSTRY 4.0 ERA
SUPPLY CHAIN AND SUPPLY
CHAIN MANAGEMENT
Supply chain : Network of organization and business
process for procuring materials, transforming raw
materials into finished products and distributing the
finished product to the customers.
Supply chain management : Integration of suppliers,
distributors, and customer logistics into one cohesive
process
UNCERTAINTIES IN SUPPLY CHAIN
• Product demand
• Miss scheduled or delay on suppliers shipments
• Defective parts or raw materials
• Production process break down
**Inaccurate information can cause snowball effect problems on entire supply chain
• An Unsustainable Wild Seafood Supply
• Public Regulation to Sustain Fisheries
• Increasing Seafood Consumption & Trade
• Private Regulation to Sustain Fisheries
SEAFOOD
SUPPLY
CHAIN
BOUNDARIES
In the world, the terms of supply chain for
seafood, moved forward to the terms of
“sustainable supply chain”
GENERAL SEAFOOD SUPPLY CHAIN
•Overexploitation of marine fisheries
•Monitoring, surveillance and
enforcement
•Growing concern over the impacts
that fishing gear
•Ecosystem-based fisheries
management
•Needs to improve the management
and enhance consumer demand for
sustainable fish products
ISSUES TO BE
ADDRESSED
ON FISH
SUPPLY
INDUSTRY 4.0 IMPACT ON
SEAFOOD SUPPLY CHAIN
INDUSTRIAL EVOLUTION
4. Industrial revolutionBased on cyber-physical-
systems
3. Industrial revolution Through the use of electronics
and IT further progression in
autonomous production
2. Industrial revolution Introducing mass production
lines powered by electric
energy
1. Industrial revolutionIntroducing mechanical
production machines powered
by water and steam
End of the
18th century.Beginning of the
20th century
Beginning of the
70th
Industry 1.0 Industry 3.0Industry 2.0 Industry 4.0
Le
ve
l o
fc
om
ple
xit
y
TodaySource: DFKI/Bauer IAO
“Industry 4.0 introduces what has been called the “smart
factory,” in which cyber-physical systems monitor the
physical processes of the factory and make decentralized
decisions. The physical systems become Internet of Things,
communicating and cooperating both with each other and
with humans in real time via the wireless web”
Bernard Marr, Forbes
GENERAL
CONCEPTS
INDUSTRY 4.0 – FACTORY CHARACTERISTICS
• Interoperability – Whether machine, server, sensor, or other;
devices must be able to communicate with each other
• Information Transparency – Connected devices must be able to
create and record data to add context to what is being observed; a
virtual copy of the physical world created through sensor data
• Technical Assistance – Systems should be able to assist with
tasks otherwise difficult or time-consuming for humans as well as
support human decision making
• Decentralized Decisions – Based on recorded data, systems
should be able to push forward processes and make decisions to
become as independent as possible
INDUSTRY 4.0 ON GENERAL
FOOD INDUSTRY
“Industry 4.0 will turn food manufacturers
into predictors instead of reactors”
“The Food & Beverage Industry is one of the most dynamic
industries around. Just as in the world of fashion, the food
sector too experiences constant evolution. The changing
industrial climate makes this industry particularly
challenging for manufacturers, suppliers and retailers alike”
Riksmanagement, specpage
“INTERNET OF THINGS (IOT)”
• The Internet of things (IoT) involves a network of
physical devices (like vehicles, home appliances and
industrial equipment) having embedded electronics,
software, and networking.
• IoT technology enables them to connect and exchange
data with cloud applications and other devices. Each
device has a uniquely identifiable Internet address, and
can interoperate using the available Internet
infrastructure.
• The key of IoT is rapid information and data flows
INFORMATION SYSTEM AND
SUPPLY CHAIN MANAGEMENT
Supply chain activities cover everything from product
development, sourcing, production and logistics as well as
information system
The organizations that make up supply chains are “linked”
through physical flow and information flow
Physical flow: Transformation, movement and strage of goods &
materials
“Information flow”: Allows all stakeholders of supply
chain activity to communicate and control in real time
flow of goods and materials
INFORMATION SYSTEM ROLES ON SCM
• Information system on SCM helps firms to :
• Decide when, and what to produce, store and move
• Enhanced communication speed
• Track the status of orders
• Check inventory availability and monitor inventory levels
• Reduce inventory, transportation and warehouse cost
• Track shipment / distribution
• Plan production based on actual customer demand
• Rapidly communicate changes in product deisgn
THE USE
OF SCM
SOFTWARE
Supply chain planning system : it
enables the company “to model its
existing supply chain” generate
demand forecast, sourcing, and
manufacturing plans
GLOBAL SUPPLY CHAIN AND INTERNET
Intranet is used by company to improve
coordination among their internal supply
chain process
Extranet is used to coordinate among all
stakeholders involved on supply chain
Internet
Planning / Scheduling
Supliers
Procurement
Logistic service
Production
Distributors
Inventory
Retailers
Shipping
Customer
CASE EXAMPLE: IOT ON TUNA
SUPPLY CHAIN
Tuna has most sophisticated in supply chain:
Tight quality requirement
Uncertain sources
Many regulations by NGO, private and government regarding
sustainability
Spreading market demands (uncertain amount and market)
Product variant and it’s demand
Traceability
THE USE OF IOT IN TUNA SUPPLY CHAIN
THANK YOU
REFERENCE
• Forbes
• https://www.slideshare.net/rohitanand49/supply-chain-management-of-tuna-
fish
• https://iot.telefonica.com/blog/saving-the-seafood-industry-with-the-iot
• https://www.arcweb.com/blog/what-are-iot-iiot-industry-40
• https://www.provenance.org/tracking-tuna-on-the-blockchain#glossary-
blockchain
• http://iopscience.iop.org/article/10.1088/1757-899X/337/1/012035