Effect of Drones in the Future of Supply Chain Management
The primary aim of supply chains is to link and facilitate processes that promote a competitive organization (Parkhi et al. (2015). The processes involve supplying the raw materials and distributing the finished goods to markets. Advancement in technology in the supply chain sector has contributed a lot to the industry. Technology, especially drones, has improved communication and provided timely by giving timely response and help where needed. This study aims to explore how the drones will impact the future of supply chain management in the next decade in Greece.
- The research question
The research questions to be addressed in this report is how technology (drones) is expected to affect the future of supply chain management in the next decade in Greece. Other questions are the professional perspective on the development of transport of the greek supply chain environment. The last question is how the suppliers will view the changes in the chain on the impacts of drones in the next decade. There is a vast development of technological inventions and innovations that have implications in the SCM sector. The logistics industry in Greece is growing over time. Therefore there is a need for advancement in technologies, especially in the UAV (unmanned aerial vehicles) sector and especially the use of drones. The drones, however, may have positive or negative impacts on the future of supply chain management. Many organizations are adopting this advanced technology, drones, to improve their efficiency. It is from the case above that the research question emerged.
- Importance of Research Question
This study explains in detail the effectiveness of drones in the supply chain management industry. The use of drones in organizations to perform the day to day activities have evolved over the past years. Different frameworks are addressing the research questions. These research questions form the ground of the research. There have been previous researches outlining the impacts of the drone in the logistics and supply chain management. Most of these researches had limitations due to insufficient evidence or lack of extensive research. The research questions are significant, as formulating this research proposal highly depends on the research questions.
1.3 This research aim
This research aims to analyze and explore further the role that drones are playing in supply chain management and their impacts on the future of the supply chain industry. The main focus is on the Greek supply chain industries.
1.4 The objectives of this research
The main objectives caused by the research questions are:
- To identify the use of drones in supply chain management and what differentiates the use of drones in supply chain industries from other industries.
- To evaluate both the current positive and negative impacts of using drones in the supply chain industry
- To assess the future advantages and challenges of using the drone in the supply chain industry in the next decade.
- To establish the extent to which companies are adopting and implementing the use of drones in their day to day activities.
- To determine the influence of technology as a whole in the logistics and supply chain management industry.
- To evaluate the professional views on the development of the transportation sector in the supply chain management in Greece.
- To determine the views of suppliers in the next decade considering the impacts of drones in the management field.
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1.5 Justification of research project
To realize the above research objectives, the dissertation was organized as described below:
The project is partitioned into five chapters. The first chapter is the introduction of the dissertation, while the second chapter will evaluate the literature review on the impacts of the drone in the supply chain industry and how different supply chain organizations have adopted them in Greece. The chapter will also assess the evolution of drones and the various theories behind the use of thrones in supply chain management. The third chapter will evaluate the research methodology, while the fourth chapter will be devoted to analyzing the presentation and responses of the findings. The final section will include an overall conclusion that will give answers to the research questions.
This research proposal is expected to be initiating the point of full dissertation, and therefore the described parts like conclusion and analysis and presentation of research responses are not part of the document.
Literature Review
A research in 2016 approximated that drones could result in over $80 billion in economic growth and generate over 200000 jobs by 2030 (Coyle 2016). The use of drones to deliver a parcel in companies is one of the viable supply management solutions that help companies improve their technology (Fernández-Caramés 2019). However, complicated and complex regulatory environment technology has delayed the widespread implementation. Other applications of the drone in supply chain management are already adopted.
Many organizations in Greece are adopting the use of drones in supply chain management while obtaining raw materials. Drones can also be used inland surveying applications, prospecting, and mining (Coyle 2016). In agriculture and farming, the technology can be used to inspect photo-log plant growth, plant health, and map the crop yields. Drones are still being tested if they can assist in minimizing fertilizer usage to improve crop production.
Drone use in warehousing, manufacturing, and distribution is expected to rise in the next decade, improving the inventory stage of SCM (supply chain management) (Lehmacher 2017). The technology aims at enhancing security and safety and also improving efficiency. For instance, drones with cameras can go around the organization’s facilities to the extent where ordinary security cameras cannot reach (Fernández-Caramés 2019). In the company, the drone can perform repair and maintenance functions like retrieving a forgotten tool, or fixing a leaking roof, and performing safety operations; all these activities will help in reducing work hours.
Massachusetts Institute of Technology developers argue that in warehousing drones are the effective new way of tracking inventory without identifying an individual behind the tracking (Πέππα 2018). With the QR codes, RFID and IoT, drones can form physical inventory (Coyle 2016). For example, Walmart stores are currently testing drones for physical inventory. Drones tend to reduce the need for forklifts as they can move small items faster. With drones, there no need for conveyor systems that transports boxes in the distribution centers. Drones can also be used for deliveries in the supply chain. For example, the technology usually accelerates order fulfillment by shipping inventory between distribution centers and production facilities.
Drones in the B2C industry are used in very many ways. However, these drones are still in their early stages (Πέππα 2018). The professionals in supply chain management should balance diving slowly and experiment with drones, to avoid drone failures. Learning from the successes and mistakes of other drones may determine the successful company in the next decade (Lehmacher 2017). With time, professionals may be able to tell the exact impact of drones in the supply chain management field. However, the organizations in the sector should be more concerned with improving the technology if they wish to remain in the cutting edge.
Research Methodology
A primary methodology will be undertaken by the researcher to achieve the research aims and objectives. The initial literature review will give a pathway to fill the study gaps. The literature review will also develop the semi-structured qualitative research questionnaires
Research Design
The study will use a descriptive method of research to assess the different impacts of drones and technology as a whole. Improving supply chain efficiency as one of the anticipated effects of the drone in supply chain management. Descriptive research is a persistent method of gathering, classifying, analyzing and tabulating data about the trends and the relationship between drone and supply chain management and then accurate and adequate interpretation of the data either using or not using a statistical treatment.
Research Approach
The inductive approach of research will be used. A grounded theory approach (A UAV and Blockchain-Based System for Inventory and Traceability Applications in Big Data-Driven Supply Chain Management. Sensors, 19(10), p.2394.) by Fernández-Caramés (2019), analyzed empirical data for a better understanding of technology, especially drones and UAVs in their use for effective supply chain management. The author analyzed data from focus groups with five organizations that use drown in their day to day activities. The author then developed a set of recommendations from data from the focus groups for those interested in applied interventions provided by drones and advance technology in their company. The researchers concluded that drones would impact the future of supply chain management either positively or negatively. The researchers came with hypotheses for interested parties who wish to conduct further investigation of the topic. However, hypotheses were developed from the analysis, and no test was done. The literature review will not be the starting point of the research, but rather, a conceptual framework will be used. However, the literature review will be used to discuss and relate the theories developed from data assessment.
Research Strategy
Qualitative and quantitative strategies of research will be used in the study. Quantitative research provides an insight into the problem and helps in developing hypotheses for the research. Qualitative strategy, on the other side, tends to discover the trends in opinions and thoughts and goes deeper into the problem. Various qualitative data collection methods ranging from semi-structured to unstructured will be used.
Sampling and Methods of Data Collection
Qualitative methods of research, like participant observation, semi-structured interviews, focus groups, and questionnaires, will be done. The survey instrument will be used to conduct the face to face interviews with a few experts in the SCM field. The experts include the supply chain managers with more than ten years of experience since they have seen the changes, and therefore, they can be able to foresee the Greek future of supply chain management. A total of five interviews will be conducted. The questionnaires will address the current impacts of drones and what are the effects perceived of the drone in supply chain management in the future. The questionnaires will be distributed randomly to respondents. Various companies that use drone technology will be observed within a given time frame. The focus groups will help in drawing the respondents’ beliefs, attitudes, experiences, feelings, and reactions in places where the other methods may not be convenient. The focus groups will be employees, managers, and the human resource department of different organizations.
Methods of Data Analysis
Qualitative and quantitative methods of data analysis will be used. Quantitative methods usually emphasize the statistical, objective measurements, numerical and mathematical analysis of data collected. Data for quantitative analysis will be collected through questionnaires, polls, and surveys by using the pre-existing statistical data through computational methods. Grounded theory will be used as part of a qualitative method of analysis. The grounded theory usually analyze a single case to form a theory, and then the additional cases are evaluated to see their contribution to the theory (Laeequddin et al. 2010). The responses can also be analyzed thematically by comparing them with the literature review before coming up with conclusions.
Timetable / Gantt chart
Semester | Task number | Task / Activity |
1st | 1. | Hand out assessment brief for the Research Proposal |
2. | Identifying a research area of interest, making sure that it is both interesting, and that relevant academic sources are available. | |
3. | Come up with research questions. | |
4. | Formulate research design, research strategy, and select methods | |
5. | Discuss proposal with the academic tutor and write the research proposal | |
6. | Submit a Research Proposal. | |
2nd | 1. | Negotiate access |
2. | Find more sources that will help in expanding the literature review | |
3rd | 1. | Develop the questionnaire, data collection, and data analysis |
2. | Authorize and run the questionnaire, gather replies and continue with data entry | |
4th | 1. | Write the first draft. |
2. | Write the second draft and present it to an academic tutor. | |
3. | Write a final draft | |
4. | Dissertation due |
Reference List
Bechtsis, D. and Tsolakis, N., Trends in Industrial Informatics and Supply Chain Management.
Coyle, J.J., Langley, C.J., Novack, R.A. and Gibson, B., 2016. Supply chain management: a logistics perspective. Nelson Education.
Fernández-Caramés, T.M., Blanco-Novoa, O., Froiz-Míguez, I. and Fraga-Lamas, P., 2019. Towards an Autonomous Industry 4.0 Warehouse: A UAV and Blockchain-Based System for Inventory and Traceability Applications in Big Data-Driven Supply Chain Management. Sensors, 19(10), p.2394.
Laeequddin, M., Sahay, B.S., Sahay, V. and Abdul Waheed, K., 2010. Measuring trust in supply chain partners’ relationships. Measuring Business Excellence, 14(3), pp.53-69.
Lehmacher, W., 2017. Shaping the Future of Supply Chains. In The Global Supply Chain (pp. 145-156). Springer, Cham.
Oztemel, E. and Gursev, S., 2018. Literature review of Industry 4.0 and related technologies. Journal of Intelligent Manufacturing, pp.1-56.
Parkhi, S., Joshi, S., Gupta, S. and Sharma, M., 2015. A study of evolution and future of supply chain management. Supply Chain Management, 9(2), pp.95-106.
Πέππα, Β., 2018. RFID technology as an innovative tool for effective supply chain management in Greece.