Supply chains are continually evolving, and trends always come and go. 2022 saw a number of opportunities and advancements that can be applied in 2023 to bring about positive change in the ways shipments and orders are carried out.
Here are six supply chain trends we will see in 2023, and how they will impact logistics processes.
Greener supply chains
Transportation and logistics are one of the main industries that contribute to significant greenhouse gas emissions. To combat these challenges, 2023 will witness a greater presence of energy management systems. The purpose of these systems is to monitor the consumption of power, heat, and water.
When it comes to transportation, vehicles will slowly shift to electric and solar-powered vehicles to reduce or eliminate the carbon footprint. Product packaging will become more sustainable with biodegradable materials, which will reduce plastic usage. After all, buyers are willing to pay more for eco-friendly products.
Since globalization was a prediction for 2020 but was eventually hampered by the pandemic, this trend will pick up again from next year as the pandemic starts to subside more. We are already starting to see this come to fruition as global demand is increasing. Supply chains are looking to add more employees to the workforce in order to carry out these overseas operations.
Blockchain and IoT coming into the picture
One of the biggest supply chain goals for 2023 is to be able to operate with little to no disruptions. Blockchain helps with this, as it amps up visibility for teams by connecting all supply chain operations into a single platform. All team members can access the same information so this eliminates confusion and unproductivity. All processes including payments and invoicing can be handled through the same platform used to manage other supply chain activities.
Autonomous supply chains
Labor-intensive work previously carried out by humans is expected to be replaced by robots including autonomous forklifts. Self-driving vehicles are also expected to come into the picture to deliver smaller packages.
The world has also seen Augmented Reality (AR) and Virtual Reality (VR) technologies being heavily used in the gaming industry, and these technologies are seeing increased adoption in other sectors including real estate and now logistics. AR and VR help supply chain employees gain a more realistic view of product applications to aid in the product development process.
We talked about Blockchain helping with visibility, and there will also be other technologies including transportation management software that will allow for a new wave of visibility in the supply chain. These Cloud-based applications will aid in connecting teams and allowing transportation companies to improve customer service by providing their clients visibility into orders and shipments as well. Transportation management systems serve multiple purposes and result in a high ROI to help grow brokerages, 3PLs, and other transportation companies, big or small.
Increased end-to-end integrations
Going along with the previous point, supply chain companies need technologies that enable end-to-end integrations. This enables smooth operations from the supplier all the way to the end consumer. When you make your supply chain flexible, you can better prepare for any unexpected events that could hinder your progress.
Zara Raza is a Digital Marketing Specialist at Turvo Inc., the world’s #1 collaborative transportation management system.