Working on a supply chain strategy usually involves constant reviews of what technological advances have happened and may help to improve efficiency. In between the technology, however, is the fact that information must be shared or exchanged in order for any system to work. Logistics and supply chain management require that a lot of data exchange hands on a regular basis. Every order triggers communication between buyer, retailer, warehouser, and shipper. And in the best cases, critical data is shared in order to improve the workflow of each party in every transaction.
Data collaboration is the term used in the supply chain management industry to talk about the way data is shared. When entities need to work together in order to come up with best practices, they have to be willing to share data and incorporate the experience and suggestions of all partners. While there may be risks, there are also many benefits.