Supply chain management got imposed to new modernization. After the pandemic era which disrupted and shook the supply chains sector, it also left observant strategic points for the improvement in 2022.
During this pandemic, supply chain restriction is not new. In the supply chain process, our professional lives and our consumer are reminded frequently about the supply chain bottlenecks and inefficiencies do have lasting downfall consequences. Though during omicron supply chain got disrupted; China even imposed a lockdown in the largest four port cities. It led to the closure of ports and it affected; labor shortage which affected freight rates, outbound shipments and triggers fears of a supply crunch.
Consumer demands started to increase, and are fueled by e-commerce. It is overlaid aging infrastructure and fixed driver; asset capacity removes efficiencies at every opportunity which is a critical modernization. Approaching the supply chain modernization is quite important, these are some pointers:
Supply chain tech start-up, raised a billion-dollar figure in their first three quarters of 2021.
Technology and digital use have been increased
The supply chain got challenges with speed, safety, and efficiency. The technology is forced to reach the goals to tune around $24.3 billion in the funding section. Supply chain tech start-up, raised a billion-dollar figure in their first three quarters of 2021, and in all of 2002, it raised $15.4 billion.
These are leading the way in payment automation, ripe for innovation, and fintech in the supply chain. Most supply-chain payments were made on paper which will be seen as error and fraud-prone. But this new age adapting a modernized payment process which is a wider acquisition of API integrations, cybersecurity systems, and AI technologies. These technologies allow holistic visibility in the process, which keeps real-time data and provides needed security increasingly in the digital world.
India’s drone rules of 2021, are creating a way for smoother logistics and faster deliveries.
As per American Trucking Association, it is observed a shortage of 160,000 trucks drivers by 2030. The shortage coupled with extraordinary demand leaves the truck industry in a helpless position.
This is where the drone deliveries play a role, India’s drone rules of 2021, are creating a way for smoother logistics, a substantial reduction in carbon emission, and faster deliveries. Drove provides last-mile deliveries and becoming a trend for the urban congested areas.
A package which is taking 72 hours to deliver, will take around to deliver in 8-12 hours. Global drone transportation market valued is at $11,20 billion in 2022, and in Asia largest market which continues to have higher growth are China and India.
B2B and B2C shifting of expectations.
Small Retailers growth as strategic Partnerships
Industry collaboration provides them to build a resilient supply chain ecosystem. As the evidence by investment figure for supply chain start-ups, we will see more third-party partnerships. The partnership is a wiser way to reduce costs while improving customer service and its functionality. Not only retail sector shifts the power of the global retail sector in favor of third-party e-commerce platforms. This SME retailed fixed as a dominant sector lead to global sourcing shifting from traditional, in-house sourcing experts to independent or freelancer who works with multiple buyers for shared resources.
B2B and B2C shifting of expectations.
The value and behaviour of consumers have changed, at the certain level of visibility and control over package are at their concerned expectations. They even became tech-savvy as in looking for quick, seamless purchasing options. It even drives e-commerce sales growth which is predicted to reach around $1.06 trillion. Tailoring the solution according to consumer new demands, adapting modernization is important but even the shift of expectation by the consumer is a concerning part to resolve.