Many consumers are becoming more eco-conscious, which is driving their buying decisions. They're choosing companies that are more environmentally friendly or focus on sustainability.
Traditionally, companies have focused on packaging or product sustainability. However, more consumers have been focusing on sustainable logistics options and delivery methods.
Due to these changes among consumers, more last-mile delivery services and retailers are looking to offer more sustainable delivery options in 2023. These alternatives can help increase customer loyalty, capture market share, and reduce delivery costs.
Technological advancements were a significant trend in 2022 and are likely to continue in 2023. Digitization is an excellent way for organizations to address concerns, such as keeping costs down, inflation, and improving customer service.
Digitization shouldn't be confused with automation. Digitization addresses the customer experience, allowing them to receive rates and quotes or book shipments quickly rather than waiting days. Digitization can help organizations make a positive difference in many areas.
On top of digitization, entities are also looking into automation to improve operational and warehouse tasks, helping streamline processes and achieve better supply chain analytics.
Labor shortages have affected every industry, including workers within the supply chain. Even with softening consumer demand, there are still not enough warehouse workers or drivers. Competition for workers occurs in every industry, contributing to supply and demand imbalance. As a result, hiring challenges are expected to continue, especially during peak seasons.
To combat these labor challenges in 2023, logistics companies and shippers are focusing more on automation. Soft automation, in particular, helps existing workers with their jobs. These changes will help workers become more productive and minimize the number of workers needed during high seasons.
The material shortages in 2022 are expected to hit a second wave in 2023. Many organizations may experience limited access to crucial materials, such as spare parts, maintenance items, and critical inputs.
Availability and commodity prices may also fluctuate, whether it's timber, plastic, steel, or fuel. The key to navigating these risks in 2023 is creating resilient supply chains and adapting to new changes as soon as possible.
Addressing material shortages is one of the most important things for organizations to do in 2023. Some ways entities can address these shortages include:
Now that you know what we learned in 2022 regarding supply chain disruptions, you can better prepare for what's expected in 2023. There's plenty of hope for 2023, especially if companies innovate with new technologies and minimize vulnerabilities in the global supply chain.
If you're looking to improve your resilience with supply chain management, ShipERP is here to help. Our add-on enterprise resource planning (ERP) software helps save time and reduce manual work by automating standard processes.