Nowadays, global business competition has been increasingly reflected in competition between the supply chain, and is no longer a competition between individual enterprises. Supply chain efficiency affects the competitiveness of all enterprises within the supply chain. Internet of things is a new generation of information technology. Using it in the supply chain can improve supply chain efficiency and enhance the competitiveness of enterprises.This paper analyzed the combination of the internet of things and the supply chain, the impact of the internet of things on the supply chain, and the decision-making models of adopting the internet of things by enterprises, and put forward recommendations from the government and enterprises perspectives. This is of great significance for our government to promote the wider using of internet of things, and for China’s enterprises to use internet of things in the supply chain, in order to improve the competitiveness of enterprises, and to promote economic development. The main research results are as follows.1. The effects made by internet of things to all processes of supply chain and the "four flows" were analyzed. Because internet of things improves the transmission of information in supply chain, degree of automation, security, efficiency, effectiveness of the six links of supply chain-procurement, warehousing, transportation, production, sales, after-sales service-is enhanced. "Four flows"-logistics, information flow, capital flow, business flow-are more agile, more effective, and the channel of business flow has been expanding.2. The decision-making model of adopting the internet of things by enterprises is derived and set up from a profit perspective. Firstly, the different needs of the internet of things among the retail, food industry, garment manufacturing were analyzed. Secondly the enterprises were divided by the Boston matrix according to differences in corporate profits and requirements for information transmission. And then the impact of the supply chain costs and enterprises sales income was analyzed. Finally, the corporate decision-making model was established. The innovation of this article are:1) the impact of supply chain transport link made by the internet of things was detailed analyzed, and some of the functions be realized by the internet of things were analyzed from a technical level; 2) the flow chart of the supply chain in the internet of things environment was drawn by analyzing the impact of the supply chain made by the internet of things, and the chart was contrasted with the flow chart of supply chain in the traditional environment; 3) the impact of enterprise profits was analyzed from the supply chain costs and the sales income perspectives when enterprises used the internet of things, the quantitative decision-making model was established for enterprises to use internet of things in supply chain. |