GOODQUESTION Readers Weigh In
How will supply chain management transform in the next five years?
EXPECT A SIGNIFICANT RELOCATION OF GLOBAL SOURCING. Businesses are keen to shorten the supply chain, increasing visibility and bringing suppliers closer to them and their customers. The geographical distribution of suppliers and manufacturers, which once leaned global, will flip to favor local and regional sourcing. Organizations will need to tap into their business networks to find local suppliers. –Gordon Donovan Global Market Research Director, Procurement & External Workforce, SAP
SUPPLY CHAINS WILL COALESCE AROUND THREE KEY PILLARS: people, process, and technology. Today, there is some integration among these pillars. The next step is a much tighter and deeper integration across all three in order to provide value to customers and employees. –Ann Nemphos Chief Technology Ocer, World Group THE SUPPLY CHAIN RECENTLY BECAME EXTREMELY FLUID, with freight moving from ship to plane to rail to truck and back to address shortages. Add in reshoring/ nearshoring trends and growing visibility expectations, and supply chain management is poised to be more fluid, yet even more connected, in the next five years. –Ron Bisio INCREASED DIGITIZATION IN BOTH THE PHYSICAL SUPPLY AND LOGISTICAL CHAINS as well as in the finance of trade. We expect to see the continued leap from paper- based processes to global information networks (think ocean bills of lading on a blockchain) and an increasing number of partners and service providers connected and sharing data electronically. The added visibility and availability of real-time status information should allow new forms of financing for trading partners at earlier points in the manufacturing, shipment, and delivery cycles. –Michael Stitt Head of Trade and Supply Chain Finance Sales, U.S. Bank Senior Vice President Trimble Transportation
SCM WILL EVOLVE FROM BEING REACTIVE TO PROACTIVE. Technology will enable proactive decision-making focused on additional parameters such as resiliency and sustainability while still considering costs, service, and performance. This is a shift from the past siloed evaluations. Supply chain practitioners will be equipped with the power of data- driven insights, and more time will be spent on strategic complex planning vs. tactical execution. –Venky Arun Partner, Strategic Operations, Kearney RESILIENCY, SUSTAINABILITY, INCREASED USE OF DATA ANALYTICS AND END-TO-END COLLABORATION —supply chain management will continue to expand upon these current trends. Additional use of technology, especially with artificial intelligence, cloud computing, and other advancements will enable faster, more precise decision-making. -Felix Vicknair VP, Supply Chain Solutions Kenco Group
WE WILL SEE A FAR GREATER FOCUS ON CUSTOMS CLEARING CARGO IN TRANSIT. The need for better terminal eciency will pressure importers to clear cargo and secure the carrier release before vessel arrival so that terminals can plan their container stacks. It’s time to put automated manifest system data to use—visibility, clearance, appointment, go. -Bryn Heimbeck President and Co-Founder Trade Tech Inc. SUPPLY CHAINS WILL OPERATE WITH LESS ENERGY. Many supply chain processes will run autonomously, supported by IT-assisted data analytics. Overall, in five years, supply chain management (SCM) is super resilient, as disturbances will no longer be a surprise. Furthermore, SCM incorporates Gen Z’s demands for sustainability and work-life balance. –Dr. Herbert Kotzab Director, Crowley Center for Transportation and Logistics, CSX Transportation Eminent Scholar in Transportation & Logistics, University of North Florida
10 Inbound Logistics • March 2023
Powered by FlippingBook