The logistics industry has become fragmented, volatile, and unpredictable due to the changes within the industry within the last few years. The pandemic affected business operations and delivery of goods and the effects are still prominent even as we move into 2023.
With challenges rearing up in 2022 such as poor traffic predictions, weather predictions, lack of skilled drivers and poor cost planning relating to fuel and routes it is vital to incorporate strategies in 2023 that can alleviate these issues. These are not only imperative to meet customer satisfaction but is also one of the key components of business success.
Being able to plan according to mitigating the previous year’s challenges and follow the upcoming trends is a fine art that has to be mastered for business growth.
Some of the trends below we witnessed in 2022 were predominantly caused by the above:
- Supply chain agility
- Automation Complexity
- Demands for real-time data
- Supply chain transparency for critical collaborations
- Less Than Truckload Demand
- Digitally Evolving Business
Now that we have moved into 2023 there are some new trends that we must look out for:
Emphasis on digitalization
Although digitalization is critical in the logistics sector, it has not received enough attention and leaders within the industry will be placing a lot of focus on development of their digital strategies during 2023. They will have to incorporate digital technology into various supply chain activities across the business.
Being agile and adaptable
The logistics environment goes through constant challenges which are unpredictable and forms part of the unstable landscape they operate in. There are certain issues such as weather and political changes that they are not able to manage or control but they still need to respond to emerging challenges. Being able to do risk management and planning and anticipating these disturbances could minimize their risk and therefore it needs to form part of their overall strategy.
Emphasis on greenhouse reduction
Over the last few years the emission of CO2 has become evidently worse. With freight transportation contributing a high percentage of global greenhouse gas emissions, the logistics sector is under the radar to reduce their decarbonisation. There will have to be a focus within the sector to achieve reduction in greenhouse gas emissions and they will have to take strict measures to be able to achieve their goals.
Last mile delivery
This is the final step in the delivery process where the goods and services are moved from distribution to the end destination. It is a costly exercise that has been accelerated through the constant demand for instant delivery by the end users. There are many factors to consider when a business is planning on enhancing their last mile delivery but the ultimate goal is customer satisfaction and retention. It also increases brand loyalty which in the long run increases revenue for the business.
Some of the other trends to watch out for is logistics companies leveraging heavily on technologies such as artificial intelligence, cloud, automation and IOT to provide smart and innovative logistics solutions for their customers.
With so much planning and strategies to formulate to mitigate risks and follow the trends predicted for 2023, managing your documents, scanning, storing and retrieving them should not be one of your worries. Contact one of our friendly support team on bps@ubunye.com to see how we can assist you.
