5 Trends in Supply Chain for 2023

Highlights

1. Post-pandemic disruptions have made supply chains prioritize resilience and risk management.
2. #Blockchain technology will increasingly be used to enhance supply chain efficiency and transparency worldwide.
3. #Digital supply chain twins will allow decision-makers to access real-time data from physical supply chains in digital environments.
4. Supply chain as a service (#SCaaS ) providers will experience widespread adoption.
5. Circular supply chains will help transform operations into zero-waste systems.
6. Cloud-based supply chain management (#SCM ) solutions will remain popular.
7. #AI , #IoT , and embedded analytics will gain more popularity and integration in the supply chain industry.
8. Innovations in automation and robotics will drive advancements in the supply chain sector.
9. The advent of 5G networks will enable businesses to manage large numbers of devices and connections.
10. Shipping demand will continue to surge, leading to a capacity crunch in the supply chain industry.

Top 5 Trends in Supply Chain for 2023

These are the top supply chain management trends as we move through the next few years:

Supply Chain as a Service (SCaaS)

As value chains become more complex, it becomes challenging to handle all supply chain processes in-house. Companies are switching from manual to digital environments, leveraging IoT-enabled devices, analyzing data and maintenance, which require skilled manipulation and maintenance. Many companies outsource these critical processes due to a lack of talent. Supply Chain as a Service (#SCaaS ) provides specific supply chain benefits, including better customer service, increased productivity, and lower costs. It also offers boosted asset management, flexibility, resilience, and agility, which are essential during the pandemic. Although relinquishing control can be daunting, adopting SCaaS allows companies to offload responsibilities, freeing up valuable time to #innovate , #improve and #optimize .

Blockchain

Blockchain's database structure can provide end-to-end transparency, making it a valuable tool in improving supply chain visibility. Unlike traditional databases, it uses blocks of data, creating immutable records with accurate time stamps. This can help improve materials tracking, reduce paperwork, increase transactional security and visibility, and prevent fraud. As a result, the global supply chain market for blockchain is expected to grow to $3,272 million by 2026.

AI and IoT

IoT and AI technologies, as well as blockchain, are transforming supply chain management by increasing visibility, productivity, and customer satisfaction, and reducing costs and fraud. Due to unpredicted freight movement, manufacturers are losing a lot of time, money, and inventory. India alone spends about $160 billion on road logistics, twice [what is spent by] countries with efficient transportation infrastructure. To remain competitive and retain customer loyalty in the #ecommerce landscape, companies must #invest in these technologies.

Circular Supply Chains

Circular supply chains are gaining popularity due to their #sustainability benefits and zero-waste approach. Customers and governments are pushing for ethical and sustainable practices in supply chains. While implementing circular supply chains can be challenging, they can reduce costs. The reverse logistics market is expected to grow at a CAGR of 5.80% during the forecast period of 2022 to 2027, according to a Research and Markets report.

Cloud-based Products

Cloud-based supply chain management (#scm ) software is gaining popularity due to its functionality and security, while reducing sunk costs and customization issues. The cloud SCM market is expected to grow to almost $45.2 billion by 2027.

Companies are now more comfortable with cloud-based systems and vendors are working to be reliable and trustworthy partners. However, businesses should be willing to adapt to their new system and configure SCM products to support their ultimate goals. On-premise solutions allow for ultra-customization to match specific business processes, but may require changes to work with the technology.

In conclusion,

the digital transformation of supply chain management is revolutionizing the industry. As companies adapt to the post-pandemic world, they must prioritize resilience, risk management, and sustainability to remain competitive. Adopting emerging technologies such as #blockchain , #ai , and #iot will increase visibility, #productivity , and customer satisfaction. To encourage engagement and interaction with your article, encourage readers to share their thoughts on how these trends will impact their industry and #supplychain operations.