What is Supply Chain 4.0?

oktober 27, 2025

Uppdaterad den: oktober 27, 2025

3 min läsning

The term "Supply Chain 4.0" describes the highly technological future of supply chain management. Experts may disagree on the precise definition, but mostl agree that it makes use of the following essential technologies:

The building blocks of Supply Chain 4.0

• Additive manufacturing / 3D Printing

• Artificial intelligence

• Augmented reality / Virtual reality (AR / VR)

• Autonomous systems

• Blockchain

• Cloud computing

• Cybersecurity

• Data analytics

• Digital twins / Virtual twins

• Robotics

• System integration

• The internet of things (IoT)

While these technologies aren’t themselves new, recent advancements have unlocked a myriad of new applications and possibilities. McKinsey states that Supply Chain 4.0 is the “next generation of digital supply chain.” It builds on analytical demand planning and sales and operations planning (S&OP).

Businesses need install sensors everywhere, according to McKinsey, if they want to reach Supply Chain 4.0. Also, they need to automate a number of operations, set up networks globally, and examine all data thoroughly.

Advanced robots, simulation tools, real-time data, and predictive analytics are all at an organisation's disposal. This method streamlines operations, making them more agile and quick. Furthermore, it enhances granularity, accuracy, and efficiency. As a result, performance and customer satisfaction significantly improve.

Although digital technology underpin Supply Chain 4.0, physical assets are equally important. Everything from sensors to smart gadgets to RFID tags and linked machinery falls under this category.

The options for automating warehouses incorporate a wide range of technology. Systems like these comprise conveyors and sorting machines. On top of that, they have AGVs, autonomous mobile robots, and automatic storage and retrieval systems (ASRS).

These physical assets integrate with the digital infrastructure, bridging the virtual and physical sides of the supply chain.

Is there a link between Supply Chain 4.0 and Industry 4.0?

Supply Chain 4.0 is closely related to Industry 4.0, often referred to as the Fourth Industrial Revolution. The two ideas are similar in that they both aim to improve manufacturing and supply chain processes by using cutting-edge technology to make them more efficient, connected, and agile.

‘Industry 4.0’ is a term that originated in Germany. It was introduced in the early 2010s as a strategic initiative aimed at enhancing the country’s manufacturing capabilities. People all across the world started to take notice of the idea. Many different sectors and even entire governments have embraced it.

The focus of Industry 4.0 is on how production is being transformed. To do this, cutting-edge digital technologies for industry, the internet of things, AI, and automation are brought together. The focus of Industry 4.0 is on how production is being transformed. This change signifies a new era in manufacturing that is smart and linked, with equipment, processes, and systems all working together in perfect harmony.

Supply Chain 4.0 extends the principles and benefits of Industry 4.0 on the factory floor across the entire value chain. By placing an emphasis on real-time data, visibility, and connectivity among suppliers, manufacturers, distributors, and customers, it seeks to establish intelligent and responsive networks.