Monthly Roundup #5: Nearshoring Trends, Infineon’s Semiconductor Expansion, and MediaMarkt’s Parcel Service Growth
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numi erm?glicht integrierte und automatisierte Supply-Chain-Entscheidungen durch den Einsatz von KI auf Ihren ERP Daten.
Frequent supply chain disruptions have led companies to increase investments in supply chain analytics, yet few achieve significant ROI. High-performing organizations that see major analytics-driven improvements share common traits. They prioritize embedding analytics technologies into existing applications rather than relying on stand-alone platforms, leveraging familiar user experiences and prebuilt data integrations. Additionally, they emphasize two key roles: supply chain analytics coaches, who drive adoption, and data stewards, who ensure data quality. To maximize impact, companies should work with application vendors to enhance existing solutions before investing in new platforms.
In response to ongoing global disruptions, businesses are also accelerating nearshoring and reshoring efforts to reduce dependency on China and mitigate supply chain risks. The "China Plus X" strategy has emerged as a key approach, shifting production to multiple countries rather than relying on a single alternative. Companies are increasingly investing in Mexico, Eastern Europe, and Southeast Asia to diversify supply chains, reduce transit times, and protect against geopolitical uncertainties.
Nearshoring and reshoring have gained momentum as companies seek to shorten supply chains and improve resilience. Nearshoring—moving production closer to key markets—has seen significant growth, with Mexico becoming a major hub for North American businesses, while Eastern Europe is attracting manufacturers serving the EU. This shift reduces lead times, enhances supply chain visibility, and minimizes transportation costs. Meanwhile, reshoring—bringing production back to domestic markets—ensures greater control over quality, intellectual property, and labor conditions, though it comes with higher operational costs. These strategies help businesses hedge against uncertainties while meeting increasing demands for sustainable and localized production.
The drive for diversification is fueled by rising supply chain risks, including geopolitical tensions, tariff escalations, and disruptions to major shipping routes. Events such as the US-China trade war, the Red Sea crisis, and semiconductor shortages have highlighted the vulnerabilities of concentrated supply networks. Additionally, extreme weather conditions and infrastructure limitations—such as the Panama Canal drought—further complicate global trade flows. Companies are now prioritizing multi-shoring, digital supply chain visibility, and alternative logistics strategies to mitigate these risks. While diversification requires significant investment, it provides long-term benefits by enhancing adaptability, ensuring continuity, and reducing exposure to regional instabilities.
The European Commission has approved €920 million in German state aid to support Infineon's construction of a new semiconductor plant in Dresden. This funding will help complete the MEGAFAB-DD project, a facility designed to expand Europe’s chip production capacity and strengthen technological autonomy, in line with the European Chips Act. The plant, set to reach full capacity by 2031, will focus on wafer processing, testing, and separation, producing chips for industrial, automotive, and consumer applications. Infineon’s €3.5 billion investment marks its largest single investment to date. As part of the agreement with the EU, Infineon has committed to investing in R&D for next-generation chips and ensuring supply chain resilience by prioritizing production for critical orders in case of shortages. This initiative supports Europe's goal of reducing dependence on external semiconductor suppliers and fostering long-term innovation in the industry.
MediaMarktSaturn is expanding its parcel shop services across almost all 400 MediaMarkt and Saturn stores in Germany after a successful pilot in 50 locations. The service, in partnership with DPD and GLS, allows customers to send and pick up parcels conveniently in-store. Since its launch in mid-2023, it has been used over 160,000 times, demonstrating strong demand. The nationwide rollout has already begun, with over 80 stores currently offering the service, and more locations being added gradually. Customers can access parcel services either in the online pickup area or at dedicated collection zones in stores. This initiative aligns with DPD and GLS's goal of establishing 20,000 shared parcel shops and stations by 2027. It also enhances customer convenience, strengthens MediaMarktSaturn’s service offering, and expands out-of-home delivery options for the growing e-commerce sector.
Since 2023, Target has transformed its supply chain using real-time app data to improve inventory accuracy and fulfillment. Recognizing that customers rely on the app for product availability, the company optimized its logistics network, investing over $100 million in sortation centers to expand same-day and next-day delivery options. By integrating stores with last-mile logistics, Target has reduced delivery times and cut costs by tens of millions. It is also improving warehouse-to-store operations by testing AI-driven inventory planning and automated trailer sorting to streamline unloading, reducing labor strain and inefficiencies.
Read more on recent highlights
Dive deep into research
“The role of artificial intelligence in the supply chain finance innovation process” by Ronchini, A., Guida, M., Moretto, A.?et al. (2024)
“Transportation security at hubs: addressing key challenges across modes of transport” by O’Kelly, M.E.(2025)
“Enhancing unmanned aerial vehicles logistics for dynamic delivery: a hybrid non-dominated sorting genetic algorithm II with Bayesian belief networks” by Mahmoodi, A., Sajadi, S.M., Sadeq, A.M.?et al. (2025)
“A system dynamics model for improving the reverse supply chain using the IoT in the household appliances sector” by Cortés-Pellicer, P., Alarcón, F. & Pérez-Perales, D.(2025)
“Scheduling problems on parallel dedicated machines with non-renewable resource” by Mor, B., Berlińska, J. (2025)
“Barriers to product return in a circular supply chain: a case from a retailing industry” by Hashemi Petrudi, S.H., Sharifpour Arabi, H. (2025)
“Leveraging machine learning and optimization models for enhanced seaport efficiency” by Jahangard, M., Xie, Y. & Feng, Y. (2025)
Events
When: 20. March 2025
Where: Amsterdam, Netherlands
What: The selection process for?demand/supply/scenario planning and forecasting software?is a lengthy one — draining resources, burning fuel,and sometimes leaving your sales team running on empty. As a?visitor, you can see the latest solutions in action during?S&OP Demo Day, presented by leading providers. Discover innovative technologies and explore tools designed to optimise your supply chain and give you a competitive edge.
When: 1. - 3. April 2025
Where: Paris, France
What: SITL is a leading trade show for transport, logistics, and supply chain innovation. The event will bring together industry professionals to explore cutting-edge solutions in freight, warehousing, and sustainability. With exhibitions, conferences, and networking opportunities, SITL is a key platform for shaping the future of logistics.
When: 2. - 3. April 2025
Where: Munich, Germany
What: Aerospace Tech Week Europe is an event focused on driving innovation and technology advancements in the aerospace sector. Bringing together senior executives and technical leaders, ATW connects the whole value chain of aerospace to discuss, connect and collaborate on emerging trends, challenges and opportunities.
When: 7. - 9. April 2025
Where: Birmingham, UK
What: The UK’s leading trade event for the food and drink processing, packaging and logistics industries. Foodex Manufacturing Solutions explores the hottest trends that are driving the sector, showcase the latest products and services to improve operational efficiency as well as provide the opportunity for buyers to connect with potential suppliers through interactive events and discussions.
When: 7. - 13. April 2025
Where: Munich, Germany
What: Bauma is the world’s leading trade fair for construction machinery, building material machines, mining, and construction vehicles. It will showcase the latest innovations and technologies shaping the industry. Attendees can expect to explore cutting-edge machinery, network with global professionals, and attend insightful seminars on sustainability, digitalization, and industry trends.
When: 8. - 10. April 2025
Where: Amsterdam, Netherlands
What: in-cosmetics Global is the premier event for personal care industry. It connects industry professionals, raw material suppliers, manufacturers, and distributors, showcasing innovations in ingredients, formulation, and sustainable sourcing. With exhibitions, networking, and expert-led seminars, it’s a key platform for discovering trends and advancing beauty science.
When: 8. - 10. April 2025
Where: Amsterdam, Netherlands
What: ReMaTec is the trade show for remanufacturing and circular economy solutions. Bringing together suppliers, manufacturers, and industry experts, the event will showcase innovations in sustainable production, parts reuse, and supply chain efficiency. With networking opportunities and expert insights, ReMaTec is a key platform for advancing remanufacturing across industries.
When: 24. - 27. April 2025
Where: Stuttgart, Germany
What: iMobility will showcase the latest innovations in smart mobility, electric vehicles, and sustainable transportation. Industry leaders and experts will present cutting-edge solutions, from autonomous driving to e-mobility trends. The event offers networking, exhibitions, and discussions on the future of mobility, making it a key platform for professionals and enthusiasts alike.