Supply chain management teams will be concentrating their efforts in 2021 on dealing with irregular customer behavior, disrupted supply chains, and rising logistical expenses.
FREMONT, CA: The Covid-19 outbreak severely harmed the world economy in 2020, and there is currently no end in sight to the epidemic. With challenging months ahead, Supply Chain Management (SCM) teams must be agile and resilient. With that in mind, here is a rundown of the supply chain management trends that will dominate the sector:
Digitalization of the Supply Chain
The Coronavirus epidemic has functioned as a driver and accelerator of digitization for many enterprises. Many CEOs who were previously ‘delaying’ investment in new technology are now fully embracing Trends 2021. In addition, manufacturers, suppliers, and distributors have been compelled to adopt new ways of working due to social distancing, which has resulted in the closure of offices and a reduction in operating capacity. Advanced robotics are being utilized in the warehouse to automate picking and packing lines, while Radio-Frequency Identification (RFID) is becoming more popular for tracking goods in real-time.
Supply chain management teams will be concentrating their efforts in 2021 on dealing with irregular customer behavior, disrupted supply chains, and rising logistical expenses. With little clarity about the future, many businesses are quickly embracing digital procedures to make their operations as nimble and robust as possible, putting them in the best possible position to respond to the shifting economic and social landscape.
Emphasis on E-Commerce
With the pandemic ‘accelerating years of growth in only weeks,’ ecommerce really came to the fore in 2020. When traditional channels were no longer viable, several firms embraced this channel as a way to reach out to their clients. While ecommerce sales are predicted to decline in 2021, it will continue to be a vital route to market for many businesses and will be a part of their omni-channel strategy for the foreseeable future.
Many SCM teams have to alter their inventory management systems to enable fast and dependable order fulfillment in the ecommerce industry. This includes the capacity to estimate client demand effectively, price goods competitively (prices are simple to compare online), and ensure stock availability. Additionally, inventory management teams want total visibility of their items across all channels to guarantee that supply and demand are as closely aligned as feasible.