This study examines the impact of supply chain digitalization on logistics efficiency in Textile, a leading manufacturer in the Indian textile sector. With globalization and technological advancement, digitalization has become essential to improve transparency, coordination, and operational efficiency. The study employs both quantitative and qualitative methods to explore how digital tools enhance supplier coordination, delivery reliability, inventory management, and cost optimization. Findings reveal that digital communication significantly improves supplier transparency and that order processing speed is the most critical factor contributing to cost reduction. However, challenges such as technical issues, poor IT support, and weak system integration persist. The research concludes that comprehensive digital strategies and strong organizational support are key to achieving sustainable logistics efficiency.
Introduction
The apparel and textile industry is a large and competitive sector where rising production costs and increasing prices of raw materials create major challenges for manufacturers. Since many companies depend on export markets, they must compete with countries like China, Bangladesh, Vietnam, and India. To remain competitive, companies need to reduce production costs and improve efficiency through effective Supply Chain Management (SCM), which helps in proper sourcing and cost minimization.
Previous studies highlight that digital tools and efficient supply chain practices improve performance. Research also shows that many small and medium enterprises face difficulties entering international markets due to barriers such as lack of resources and infrastructure.
The study aimed to examine the impact of transportation issues, documentation procedures, supply chain coordination, and infrastructure limitations on textile export efficiency. A descriptive and analytical research design was used, collecting primary data from 88 employees through questionnaires and interviews, and analyzing it using statistical tools such as Chi-square, regression, and ANOVA through SPSS.
Results showed that digital communication improves transparency in supplier transactions, and faster order processing helps reduce costs, although the overall impact of digitalization remains limited. The analysis also found that improved inventory management is the most important aspect of SCM, while reduced operational costs and customer satisfaction were ranked lower.
ANOVA results indicated no significant statistical difference between respondents’ ownership type and the influence of SCM in the textile industry. The findings also revealed that most respondents were young (18–24), male, married, graduates, working in manufacturing, and earning between ?3–6 lakh annually.
The study recommends improving inventory management systems, building strong supplier partnerships, consolidating vendors, and conducting regular coordination meetings among supply chain stakeholders to enhance efficiency and competitiveness in the textile industry.
Conclusion
The study stresses efficient inventory management and strategic supplier partnerships for optimized stock levels and timely procurement. Effective vendor management and communication streamline processes and enhance negotiation leverage. Proactive measures like regular meetings address supply chain coordination challenges. Staying informed through trade publications guides strategies, while a positive work environment boosts morale and productivity.
References
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