The Benefits and Challenges of IoT in Supply Chain Management Based on SCOR Model for Innovation in Technology

The development of Internet of Things (IoT) in many fields has been improving rapidly and Supply Chain Management (SCM) is one of the fields where the implementation of IoT can have tremendous benefits for all the supply chain actors due to the nature of connectivity of IoT, this can be used for multiple processes of the supply chain according to the Supply Chain Operations Reference (SCOR) model (PLAN, SOURCE, MAKE, DELIVER, RETURN) to improve the efficiency and effectiveness of the processes. The purpose of writing this paper is to study which process of the SCOR model gains the most benefit from IoT and which process is the most challenging to implement IoT into. The method used in this research is systematic literature review by reviewing published publications with 3 study processes: "Study Found", "Candidate Study", "Selected Studies", with the selected studies having 35 publications, the result of this research is divided into each process of the SCOR model outlining the number of benefits and challenges, the DELIVER process gains the most benefits (20) while PLAN process has the most challenges (8) mostly due to the lack of plan to use IoT in SCM in a meaningful way. By listing the benefits and challenges, a trend of benefit and challenge can be found and innovations in technology can be made to address the trend of challenge, such as to integrate IoT with SCOR metrics and to integrate IoT with AI for a more accurate demand forecasting that can lead to lower costs in operation and better decision making.