The supply chain industry is continually evolving and adapting to meet the demands of modern business. From IoT monitoring to the digitization of the supply chain, companies must keep several supply chain and transportation trends in mind as they plan for the future. Here are our predictions for supply chain logistics trends in 2023:
Increased Use of Blockchain Technology
Businesses can leverage blockchain technology to track a shipments and keep the information safe on a decentralized network. The information saved must be verified by consensus among all participants on the network before being added to the blockchain. So, no single entity controls it all – which makes it tamperproof.
More and more businesses are integrating blockchain technology to make their supply chain transparent, as its decentralized methodology provides unparalleled data protection.
In addition to using blockchain technology, companies plan to use IoT devices to maintain transparency in the supply chain. These devices can help them monitor the movement of their shipments throughout the supply chain. In fact, IoT is emerging as a technology that is helping companies monitor shipments and cargo conditions, reduce downtime and improve supply chain efficiency. It is made possible by tracking trucks, trains, airplanes, etc., in real time. The data collected is then used to make data-driven decisions.
Moreover, companies can also use IoT devices to monitor driver behavior, performance, and health and wellness. IoT devices also allow for real-time monitoring of driver fatigue levels, which has been shown to improve safety on the road.
Supply Chain Management Automation
Supply chain management automation is no longer a futuristic concept. It’s already here and will be an essential part of many companies’ operations in the coming years.
Automation has eliminated the need for human labor in some areas, helping reduce costs, streamline processes and improve efficiency. It also makes it easier to scale up or down based on real-time data. Additionally, automated systems aren’t prone to errors – like humans sometimes are – so there won’t be any errors due to human mistakes.
Digital Transformation of the Supply Chain
In 2023, more companies will be investing in the digital transformation of their supply chains. They want to make their supply chains transparent and use automation, blockchain technology and IoT for the same. One needs to embrace technology for all these to be integrated with the supply chain. Only those businesses will flourish and stay ahead of their competitors who adopt the digital supply chain.
Prioritization of Risk Management and Resilience
Businesses are prioritizing risk management and resilience strategies to ensure they are better equipped to handle any unforeseen changes and supply chain disruptions. As we advance, more and more logistics company are going to follow the same route. While some may deploy tools for predicting any risks so they can handle them when the time comes, others may go for diversification of freight transportation and suppliers.
As we move into 2023, we must stay ahead of these supply chain and transportation trends, so your business isn’t affected by any supply chain disruptions. Adjusting to the changing supply chain market is the only way to improve efficiency and logistics performance.