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