A Model for Digitally-Driven Supply Chain Optimization: Integrating ERP, Kanban, and Value Stream Mapping for Agile Manufacturing Systems
Abstract
In today’s rapidly evolving industrial landscape, achieving efficiency, responsiveness, and sustainability in manufacturing operations requires the integration of digital tools within the supply chain. This paper presents a comprehensive model for digitally-driven supply chain optimization by integrating Enterprise Resource Planning (ERP), Kanban systems, and Value Stream Mapping (VSM) within agile manufacturing environments. The proposed model leverages the strengths of each methodology to create a synchronized, data-informed, and lean supply chain framework that supports dynamic production scheduling, real-time inventory management, and continuous process improvement. ERP systems serve as the digital backbone of the model, providing centralized data processing, streamlined workflows, and enhanced visibility across the supply chain. By integrating ERP with Kanban, a pull-based inventory control mechanism, the model enables real-time demand signaling, minimizing overproduction and reducing waste. Concurrently, VSM is employed to map end-to-end processes, identify non-value-adding activities, and support continuous improvement initiatives. The model promotes agility by enabling rapid response to changes in demand and supply conditions, fostering a culture of adaptability and operational excellence. Case study insights and simulation-based validation demonstrate that the integration of these tools enhances material flow, reduces lead times, and improves overall resource utilization. The digital convergence of ERP, Kanban, and VSM also supports data-driven decision-making, enabling managers to monitor key performance indicators (KPIs) and adapt strategies in real-time. Furthermore, this model aligns with Industry 4.0 principles, offering a scalable approach to smart manufacturing and digital transformation. Its implementation empowers manufacturers to transition from siloed operations to a connected, transparent, and collaborative supply chain ecosystem. The study emphasizes the strategic importance of aligning technological capabilities with lean principles and agile methodologies for long-term competitiveness. By uniting ERP systems, Kanban practices, and VSM within a unified digital framework, this research provides a practical pathway for manufacturers seeking to optimize their supply chains and enhance operational agility. The model not only bridges the gap between digitalization and lean manufacturing but also serves as a roadmap for future research and industry application in agile production environments.
How to Cite This Article
Grace Omotunde Osho, Julius Olatunde Omisola, Joseph Oluwasegun Shiyanbola (2024). A Model for Digitally-Driven Supply Chain Optimization: Integrating ERP, Kanban, and Value Stream Mapping for Agile Manufacturing Systems . International Journal of Future Engineering Innovations (IJFEI), 1(1), 67-85. DOI: https://doi.org/10.54660/IJFEI.2024.1.1.67-85