Tag:

supply

Estée Lauder Lags Behind Rivals in China’s Booming Beauty Market

by Editorial Team September 21, 2023

The multinational beauty firm Estée Lauder is facing supply chain issues in China that have caused a drop in market share in comparison to its rivals. China, which has the largest cosmetics market in the world, is a significant development engine for the beauty sector. The challenges faced by Estée Lauder serve as a reminder of how supply chain disruptions affect the sector, which is increasingly dependent on the nation for production and sourcing.

According to reports, Estée Lauder’s supply chain issues are a result of the corporation placing an undue amount of dependence on a single Chinese manufacturer to produce a crucial product. The facility was forced to close for an extended period of time because to COVID-19 breakouts and labor shortages, which led to delays in product shipments and shortages on store shelves. Not only Estée Lauder but other cosmetics manufacturers in China are having supply chain issues. Due to China’s tighter regulatory environment and growing tensions with the West, other participants in the business are also dealing with similar difficulties.

Estée Lauder has moved to diversify its manufacturing and sourcing operations away from China in order to lessen the impact of the supply chain disruptions. According to reports, the corporation has grown manufacturing in other nations including Vietnam and Malaysia and is looking into opportunities for shifting production to other Southeast Asian markets. However, it might take some time for these changes to take effect, and they might not entirely make up for the lost income in China.

The difficulties faced by Estée Lauder in China serve as a reminder of the value of a diversified supply chain and the necessity of contingency planning. Even though China is still a crucial market for the beauty sector, businesses must be ready for supply chain interruptions and unforeseen circumstances that could affect their operations. To increase the visibility and resilience of the supply chain, this entails diversifying manufacturing and sourcing operations across several nations and investing in technology and data analytics.

Not only the beauty business in China is having supply chain issues. Labor shortages, regulatory crackdowns, and geopolitical tensions are also causing disruptions for businesses in other sectors, such as technology and the automotive industry. Supply chain disruptions in one region of the world can have an impact on enterprises all over the world as the world becomes more connected.

In conclusion, Estée Lauder’s supply chain issues in China should serve as a lesson for businesses who rely significantly on the nation for sourcing and production. While there are many advantages to conducting business in China, businesses must also be ready for the dangers and difficulties that come with doing business there. Businesses must diversify their operations and invest in supply chain resilience if they want to succeed in the increasingly complex and unpredictably changing global economy.

September 21, 2023

2023 Logistics Supply Chain Risk Report

by Editorial Team September 21, 2023

Without logistics most supply chains would grind to a halt, as the world discovered during the pandemic.

As we emerge into more normal trading conditions, businesses across industry are looking to logistics providers to help them improve and optimize how they move and store goods between their supply chain nodes.

Meanwhile, logistics companies face their own supply chain challenges, including workforce issues, rising wage demands, global geopolitical and trade tensions and pressure to decarbonize transportation.

How are logistics businesses adapting?

To find out how the sector is navigating this changing landscape, we surveyed 100 risk and supply chain leaders, from freight forwarders to shipping lines, airfreight operators and trucking companies.

How do they see the supply chain landscape? How are they building resilience? What are the main challenges and risks they face? And what will the supply chains of the future look like?

About our survey

When: November – December 2022

Who: 100 senior decision makers, including risk managers, supply chain and logistics managers and CEOs.

Where: Countries across Europe, North America, Asia-Pacific and Latin America.

Size: All companies surveyed had annual revenue over $250 million.

Ripple effect increases risk burden for logistics

Logistics is at the core of every industry’s supply chain. That means the sector’s risks are multiplied.

From cyber-attacks to extreme weather, firms need to worry not only about their own operations, but also the knock-on impact on their customers and how that might rebound on them.

Cyber risks

In our survey, cyber risks were believed to have the most profound impact on supply chains, rated by 58% as medium and 31% high impact.

58% believe cyber risks to have medium impact on supply chains and 31% said it would have high impact.

Freight companies are sharing more data with partners and customers than ever before, while the number of parties in logistics chains, often using linked systems, means there are more potential weak links for cyber criminals to exploit.

Because delays are costly for logistics companies and their customers, criminals may think they are more likely to pay to end a ransomware attack, making the industry a more attractive target.

Climate and environment

Almost half (47%) of respondents placed climate change and environment among the top global trends affecting supply chain risks.

Logistics firms are under a lot of pressure to help their clients meet their carbon reduction targets.

But there’s also pressure from governments to reduce emissions from transport more generally.

Climate impacts are also being felt in extreme weather events, which are increasing in frequency and pose a growing disruption risk.

Increased product complexity

Increased product complexity topped the list of underlying factors playing the greatest role in supply chain risks, named by 35% as a top concern.

This may reflect the challenges of transporting increasingly specialized and sensitive products and raw materials, for example for in the life science sector, especially as clients demand more contractual indemnities against delay and damage.

Greatest challenge to addressing risks over next 3-5 years

Bar chart with 5 data series.

Question: Which of the following will pose the greatest challenge to addressing your risks over the next 3 to 5 years?

Participants were asked to rank top 3

The chart has 1 X axis displaying categories.

The chart has 1 Y axis displaying Values. Data ranges from 0 to 0.

ValuesLack of access to insurance and risk transfer solutionsLack of data, knowledge and understanding of these risksLack of internal risk management tools and insightLack of budgetLack of board buy-in0WTW

Greatest challenge to addressing risks over next 3-5 years

Question: Which of the following will pose the greatest challenge to addressing your risks over the next 3 to 5 years?

Participants were asked to rank top 3

End of interactive chart.

Economic risks

Economic uncertainty emerged as the second leading factor underlying supply chain risks, ranked by 30% among their top concerns.

The sector is at risk from price and wage rises, volatile fuel and energy costs and falling consumer demand.

If inflation dips back to near normal levels by the end of 2023, it could ease some of these pressures.

Geopolitical risk

Geopolitical risk was among the factors thought to have the greatest impact on supply chain risks, rated by 54% as medium and 29% high impact.

“The Ukraine conflict has disrupted some road and rail routes between Asia and Europe, while simmering tensions in the China Sea could put cause problems for more global routes in the future.” Breda Keating | Director, Global Marine, International Trade & Logistics

The conflict in Ukraine has disrupted some road and rail routes between Asia and Europe, while simmering tensions in the China Sea could put cause problems for more global routes in the future.

We’re also seeing more claims against logistics firms for customs errors as a result of complex documentation requirements post-Brexit.

Onshoring

48% of respondents said onshoring and near-shoring were among the top global trends affecting their supply chain risks.

As more products are sourced and manufactured closer to home, there will be fewer goods being transported around the world, which will impact demand for logistics services.

Pandemics

Though we may be past the acute disruptive impacts of COVID-19, the risk of a new strain of the virus, or a new unforeseen pandemic, seems to be still front of mind, topping the list of global trends with the greatest influence on supply chain risks at 56%.

3 key findings

63% said losses related to the supply chain had been higher or much higher than expected over the last two years.

85% of businesses said they have made at least some improvements in their approach to supply chain management in response to the pandemic.

77% cited a lack of insurance solutions among the greatest challenges to addressing their risks over the next three to five years.

Squaring the logistics circle

Logistics companies see supply chain risk from all angles. They need to manage not only their own risks but those of the companies they work for.

That’s not an easy balance to strike.

These challenges look set to grow as the risk of supply chain disruption stays high and customers demand more, both in terms of service delivery, sustainability and contractual obligations.

“Wider external factors, from geopolitics to cyber security increase the need for careful risk management.” Anthony Monaghan | GB Industry, Transportation Leader

Wider external factors, from geopolitics to cyber security increase the need for careful risk management.

Our survey shows that businesses are working to overcome problems and considering a range of strategies to increase resilience.

But they’re hampered by a lack of appropriate insurance solutions and difficulty getting hold of enough accurate data to manage their risks.

Working more closely with customers and partners can help companies understand their supply chains better and address these risks.

Diagnostic mapping and monitoring tools and analytics can help to visualize, quantify and assess risks across the chain and in specific locations.

See the original post on https://www.lexology.com/library/detail.aspx?g=9843ae71-6497-4d1c-9668-4f5cbdaa8440

September 21, 2023

How AI solutions can help supply chains

by Editorial Team September 21, 2023

Manufacturing has faced many challenges in recent years. The ongoing effects of the pandemic and, more recently, the war in Ukraine have exposed supply chain vulnerabilities, forcing companies to adapt fast. Those who don’t face the unwelcome prospect of being unable to get their goods on store shelves or being left with a costly overstock in their warehouses.

In spite of the challenges, the manufacturing industry continued to grow in 2022. In addition, a survey conducted by the Manufacturing Alliance finds that the majority of manufacturing CEOs believe supply chain challenges that have been troubling them for a couple of years are improving. Growth is possible.

Only those manufacturers that continue to adapt will thrive, and AI plays a major role in revolutionizing operations. It’s all about finding it. Technology is the key to everything in a rapidly changing world, from increasing efficiency and boosting productivity to enhancing sustainability and accelerating growth.

Operational efficiency

AI can significantly enhance visibility and efficiency by keeping track of the circulation of information, services and goods in the entire manufacturing process. This leads to more reliable forecasting as it is based on data from numerous productive resources, including robotic packing machines. Additionally, with machine learning used to optimize supply and demand, the consistency observed can help manufacturers manage the instability common in today’s operating environment.

Technology can be a mighty aid in facilitating companies become more streamlined and less susceptible to uncertainty. Artificial intelligence, for one, offers manufacturers an integrated perspective of the supply chain and eliminates obstructions in operations with real-time analytics. Augmented and virtual reality can also be used to mimic processes and undergo trials, enabling enterprises to spot (and get ready for) potential threats, weaknesses, and mistakes before they affect output lines.

BMW has developed its virtual factory in collaboration with NVIDIA to train robots to work more efficiently before goods go into full production. A fifth of manufacturers are also experimenting with or actively developing metaverse platforms for their products and services.

As one of the largest expenses for manufacturers, shipping and warehousing are no exception. With the advent of IoT devices and sensors, firms are now able to collect and analyze a vast amount of vehicle performance data and provide complete product tracking from factory to dealer and retailer. Using these insights, they can boost agility, streamline costs, and optimize their logistics operations.

Taking care of the environment and saving money

The potential benefits of AI go beyond just operational concerns, directly impacting two important areas of manufacturing.

The first is profitability. According to recent Accenture research, only 12 percent of firms have advanced their AI maturity sufficiently to achieve superior growth and business transformation. Companies that do could double their revenues by 2024 by 24 percent, boosting their bottom line significantly and benefiting their employees, shareholders, and customers.

ESG is an area in which AI offers a major advantage. The International Energy Agency states that industry consumption of energy and emissions account for a large share of global carbon emissions. Consequently, companies have a duty to act responsibly and provide clear data concerning their outcomes. AI algorithms can generate reasonable advice regarding how to keep energy utilization and raw material usage balanced. There are also other AI-driven methods for monitoring emissions across the entire scope of a corporation’s value chain. Both of these answers guarantee organizations take steps to reduce their environmental impact while adhering to stringent regulations.

One automation company used artificial intelligence to discover that 40 percent of energy consumed by one of its machines occurred when it was not producing anything, according to Blake Moret, CEO of Rockwell Automation. With this single insight, the company was able to drastically reduce its costs and emissions by turning off the equipment when it wasn’t in use.

Relationship building

The focus on yields, factory efficiency, and optimal warehousing levels can make it easy to overlook the importance of customer experience. Nevertheless, CX too is ripe for AI innovation.

In order to succeed as a manufacturer, you need strong relationships with your suppliers, distributors, and customers. However, customer loyalty remains a major challenge for most firms. In Zendesk’s research, 61 percent of customers walk away after a single negative experience, and 72 percent of manufacturing leaders agree that customer service is a critical business priority.

The good news is that viable solutions exist. Manufacturers can ramp up their operations and revamp their CX with AI-driven automation and self-service tools. An omnichannel support platform that unifies brands, contact centers, and support channels into one comprehensive solution helps modernize the customer experience—cultivating loyalty, advocacy, and ultimately fueling growth. To illustrate this point: Siemens, the largest European manufacturer in industry, energy, healthcare and infrastructure partnered with Zendesk to consolidate and analyze all of its customer data.

Future-shaping

The manufacturing industry should not expect smooth sailing in the years ahead, due to the ongoing economic and geopolitical uncertainty, as well as the transition to a hybrid future of work. Since many of these factors are beyond manufacturers’ control, it is even more critical that they take proactive measures to shape their own future.

Using data and technology, they can accomplish this. By deploying AI-based tools and solutions, firms are able to improve nearly every aspect of their operations without incurring huge overheads, whether it is optimizing operations, sharpening decision-making, enhancing sustainability performance, or improving customer experiences.

Smart infrastructure is the solution to complex supply chains today. And that requires artificial intelligence.

September 21, 2023

Interview with Dana von der Heide, Founder of Parcel Perform

by Editorial Team September 21, 2023

We interviewed Dana von der Heide and discussed her background, what made her starting the company, the type of solutions they provide, the competitive landscape and much more…

Check out his LinkedIn profile: https://www.linkedin.com/in/danavonderheide/

Visit https://www.parcelperform.com/ for more information on the company.

For more ChainTech startups, solutions and founders, visit https://www.chaintech.net/

September 21, 2023

Why It’s So Hard to Map Global Supply Chains

by Editorial Team September 21, 2023

Supply chain disruptions in the last decade have generated lots of recommendations for companies to map their supply chains, identify sources of the most costly risks, and then take steps to mitigate them.

From the Harvard Business Review

Summary. Supply chain disruptions in the last decade have generated lots of recommendations for companies to map their supply chains, identify sources of the most costly risks, and then take steps to mitigate them. But a study of industries’ supply chains for…

The semiconductor chip shortage that hit the automotive industry in late 2020 highlighted two lessons in supply chain management.

The first is the lack of upstream visibility remains the Achilles heel of supply chains. Firms often do not know their suppliers beyond those in Tier 1 and are thus prone to shocks in the upstream supply chain.

The second is the supply chain of each firm is not isolated but is connected with other supply chains in a vast global network. This reality was made painfully apparent by the continuing shortages of semiconductors, when companies in different industries (e.g., automotive and consumer electronics) found themselves vying for chips from the same suppliers.

The solution to these problems requires not only gaining visibility into the upper tiers of a firm’s supply chain but also assessing which suppliers are prone to greater risk from the rest of global network.

Our study of this problem used a large public dataset of supply linkages in the economy compiled by Factset Revere. It enabled us to map more than 690,000 supply chain links across 47,390 firms in the global economy from 2003 to 2017. Although the dataset is at the firm level and does not capture specific product-level linkages, our study revealed lessons. In this article, we illustrate our key insights with an example of the supply chains from five major chip manufacturers to seven major automobile manufacturers. (The seven include the combined Fiat and Chrysler, which merged in 2014.)

Supply chains are webs or networks.

We found that supply chains are vast, dense, and dynamic. Between the five chipmakers and the seven automakers, there is an average of 90.5 intermediary firms each year. The average number of links that have to be traversed to go from a chipmaker to an automaker is 3.2. Moreover, there are multiple shortest paths from a single chipmaker to a single automaker in the same year (average = 7.9), and the majority of these links sit in different industries.

This supply network also keeps changing over time: A large number of links get disconnected and new links get formed each year. For example, there are only 14 intermediary firms that are common across the years of 2003 and 2017. Altogether, the collective network from 2003 to 2017 contains an astounding 416 intermediaries, 11,533 links, and 3,589 source-destination links.

The structure of this supply chain is not unique: For example, as these exhibits show, computer manufacturers’ supply chains for semiconductors had similar characteristics.

Gaining supply chain visibility in such a complex network is an enormously difficult undertaking. In fact, it is not practical for any single firm to unilaterally take on the mantle of exploring its complete upstream supply chain. If the most downstream firm works backwards, it would need a long time and considerable resources to explore its network tier by tier. Moreover, the dynamic structure of the supply network means that firms have to keep updating their knowledge of supply chains and reassessing their risks continuously.

Each firm’s supply chain is interconnected with the global supply network.

Semiconductor manufacturers supply chips to firms in a large number of industries. Indeed, we found that although the automotive industry is large, the seven car makers in our example collectively made up less than 5% of the pathways originating from semiconductor chip manufacturers. The remaining 95% of the pathways led to firms in other industries such as computer manufacturing and consumer electronics. Similarly, the automotive manufacturers source not only chips but also many other components, so that the semiconductor supply chain is a small part of their own vast supply chains.

This phenomenon increasingly characterizes supply chains of companies. As products have become more complex over time, they require components from an expanding set of new suppliers. As a result, supply chains have become more interconnected, making firms susceptible to shocks that originate in other industries. The effects of such shocks have long been studied in the academic literature on capacity-constrained supply chains. If demand suddenly increases or decreases in another industry, then it can affect the ability of suppliers to fulfill orders in one’s own industry. Particularly, in times of scarcity, these companies compete for valuable chips and components that use those chips.

Despite these changes, too often firms are focused on managing their buyer-supplier relationships as if they existed in isolation, ignoring the other firms that are connected with the same suppliers or the same buyers. Fortunately, the structure of the global supply network presents a solution to this problem.

The global supply network is fragmented into communities of firms.

Using community-detection methods from the computer science literature, we found that the global supply network consists of communities or clusters. We discovered that there were dense supply chain linkages among firms inside each community and different communities were loosely connected with each other.

In this network, all suppliers are not equal sources of risk. There are some that assume greater importance because they sit at the boundaries of communities, meaning that they are gateways across communities and a disproportionate number of pathways pass through them. Such firms are called “high betweenness firms.” Our analysis of the global network identified these firms, and they are remarkably stable over time. Typically, these suppliers are distributors or manufacturers that have diverse industry representation among their customers.

This structure suggests a two-prong approach. In the longer term, a firm — either on its own or, as we suggested is more practical, in collaboration with its Tier 1 suppliers — might establish a system for continuously mapping its supply chain. But in the shorter term, it might want to begin by trying to work with high-betweenness suppliers to gain information about its network. In fact, this strategy has become more relevant over time as the supply network has become more and more fragmented into loosely connected communities over the past two decades.

The effects of the Covid-19 pandemic, the subprime mortgage crisis, and other disruptions have shown how critically important it is to ensure the health of supply chains. Our study shows that firms, when managing their supply chains, need to keep in mind their connections with the larger network. The same methods based on graph theory in computer science that are used to analyze social networks, internet network attacks, and traffic flows are also useful to measure risk in our critical supply chains.

September 21, 2023

Is E2open stock a buy?

by Editorial Team September 21, 2023

Based on our research, E2open stock appears to be a speculative buy at this point in time. The company reported fiscal Q4 2023 results on May 2, 2023 that missed revenue estimates and caused the stock price to drop nearly 30%. However, analysts at Craig-Hallum downgraded the stock from “buy” to “hold” following the results, indicating the sell-off may have been overdone.

E2open operates a supply chain management software platform and has grown primarily through acquisitions, most recently purchasing BluJay Solutions for $1.7 billion in May 2021. The company has a history of missing revenue estimates, but subscription revenue, which is viewed as the most important indicator by management, grew 11% year over year in fiscal Q2 2023. E2open also reaffirmed its EBITDA guidance for fiscal 2023 despite currency headwinds, highlighting its focus on profitability.

According to consensus estimates, e2open stock has a price target of $7.33, indicating potential upside of 16.6% from the current price of $6.29. We recommended purchasing the stock in October 2022 at $5, and it returned over 20% in a few weeks for those who followed that recommendation. While risks remain around integration of acquisitions and macroeconomic impacts, e2open’s subscription revenue growth and profitability focus could make the stock a buy at current levels for long-term investors.

In summary, despite the recent sell-off, e2open stock appears undervalued and could present an opportunity for significant upside, especially if subscription revenue growth continues and profitability improves over the next few quarters. However, risks around the company’s reliance on acquisitions for growth and sensitivity to macro impacts warrant a cautious approach. The stock seems to be a speculative buy at this point for long-term investors.

September 21, 2023

Interview with Sheldon Mydat, CEO of Suppeco

by Editorial Team September 21, 2023

We interviewed Sheldon Mydat and discussed extensively his background, what made him starting the company, the type of solutions they provide, the competitive landscape and much more…

Check out his LinkedIn profile: https://www.linkedin.com/in/sheldonmydat/

Visit https://suppeco.com/ for more information on the company.

For more ChainTech startups, solutions and founders, visit https://www.chaintech.net/

September 21, 2023

The impact of technology on modern supply chains

by Editorial Team September 20, 2023

Even though the supply chain hitches that caused worldwide bottlenecks during the pandemic era have diminished, moving goods from point A to point B still poses logistical difficulties. Ivanti Wavelink, the supply chain business arm of the IT software company Ivanti, recently released a report that suggests using cutting-edge technologies to address current supply chain issues.

More than 200 people working at various levels of the supply chain, from corporate executives to drivers and warehouse workers, were polled for the report “Heavy Lift: Supply Chain Trends for 2023.” Workers, or more specifically, the lack of them, were the main source of worry for the whole supply chain. The main challenges facing today’s supply chain, according to survey respondents, are finding and keeping employees, improving workforce productivity, and addressing staff tech-related difficulties.

The respondents’ top worries were the length of training programs (52%), the high turnover rate in this industry (50%) and the requirement for digital upskilling (41%).

The main challenge that may improve the warehouse distribution fulfillment process, according to nearly one-third (32%) of respondents, is finding and keeping workers. Increasing data analytics and “intuitive data technologies that improve productivity while reducing errors and training time” were both listed as additional pressing considerations, along with supply chain visibility (18%).

In terms of technology, almost 85% of respondents stated they intended to either invest in new systems or improve upon existing ones during the course of the upcoming year. In the upcoming year, more than half (53%) of respondents expected to boost automation up to 30%, while 25% of respondents expected an increase between 11% and 20%.

Tablets and handheld mobile computers with barcode scanners were the most commonly utilized tools (58 and 50%, respectively). Wearable computers and automated picking tools were mentioned by fewer respondents, despite the fact that they were the most anticipated purchases for the following year.

According to the report, supply chain experts prioritize buying durable, user-friendly technology. Reliability (69%), deployment ease (67%), learning ease (63%) and adaptability (63%) are the top considerations when assessing new technology for purchase.

Brandon Black, senior vice president and general manager for Ivanti Wavelink, stated that many businesses are better supplying their teams with technology that assist them optimize workflow due to the current labor scarcity. Organizations may boost productivity, cut costs, save time, and improve customer satisfaction by embracing technology to assist simplify operational efficiency. Companies can also achieve end-to-end visibility through the use of technology and automation that employs real-time data, which enables them to assess information more effectively and respond to problems more quickly.

September 20, 2023

Key Trends Shaping the Future of Global Trade

by Editorial Team September 20, 2023

Over the past few years, there has been a significant evolution in global trade, and this tendency is expected to continue. Businesses must adjust to new realities in the wake of the COVID-19 epidemic, supply chain disruptions, and geopolitical concerns. Here are a few of the major trends influencing future international trade.

Increase in E-Commerce

In recent years, e-commerce has expanded quickly, and the pandemic has only increased this tendency. Businesses are expanding their e-commerce operations in response to the growing number of online shoppers. This has important ramifications for international trade since companies now have to deal with complicated cross-border e-commerce legislation and make investments in supply chain and logistics infrastructure that can cope with the demands of online sales.

Developing New Trade Blocs

There are now other players in the global trade game in addition to the conventional trading blocs of North America, Europe, and Asia. There are a growing number of new trade agreements, like the Regional Comprehensive Economic Partnership and the African Continental Free Trade Area. For companies who are prepared to investigate them, these new blocs are opening up new markets and opportunities.

How Sustainability Affects

Global trade is beginning to give greater weight to sustainability. Businesses are being pushed to cut waste, lower their carbon footprint, and implement more ecologically friendly procedures. This has an impact on supply chain management because companies need to discover strategies to lessen the environmental impact of their operations while preserving effectiveness and profitability.

The Function of Technology

Every facet of international trade is changing due to technology, from compliance and customs to logistics and supply chain management. Processes are being streamlined, visibility is being increased, and expenses are being cut using artificial intelligence, blockchain, and the Internet of Things. Slow adopters of these technologies run the danger of falling behind their rivals.

The Value of Resistance

Recent occurrences have illustrated the value of resilience in international trade. Regardless of the situation, whether it is a pandemic, a natural disaster, or a geopolitical crisis, businesses must be prepared to quickly adjust. This calls for an adaptable supply chain that can manage hiccups and a willingness to spend money on backup plans.

Conclusion

The landscape of international trade is continuously changing, and businesses need to be ready to adjust to the new conditions. Businesses can set themselves up for future success by embracing e-commerce, investigating new trade blocs, prioritizing sustainability, implementing technology, and developing resilience.

September 20, 2023

Addressing Supply Chain Challenges in 2023

by Max Henry September 19, 2023

As someone who’s been in the business world for a while now, I know firsthand how challenging supply chain management can be. The pandemic has disrupted supply chains globally, and now in 2023, it’s more crucial than ever to be aware of the emerging trends and challenges that lie ahead. In this post, I’ll be sharing my insights into the key challenges facing supply chain management in 2023 and what you can do to stay ahead of the curve.

One of the biggest challenges that supply chain managers face today is environmental sustainability. Consumers are becoming more aware of the impact their purchasing decisions have on the environment, and they’re demanding that companies take more responsibility. If you’re in the business of supply chain management, it’s essential to consider your environmental impact and look for ways to reduce it.

Another challenge that’s emerged is the increasing complexity of global trade. With the rise of e-commerce, cross-border logistics have become more complex than ever before. Navigating the complex web of customs regulations, tariffs, and compliance requirements can be daunting, but it’s crucial to stay on top of them to avoid any legal or financial penalties.

Furthermore, the shortage of skilled workers has become a growing concern for many businesses. It’s becoming increasingly difficult to find qualified professionals with experience in supply chain management, and this talent shortage is only going to get worse in the coming years. To tackle this challenge, businesses need to invest in training programs and upskilling their existing workforce.

Lastly, the ongoing pandemic continues to pose significant challenges for supply chain management. While the situation has improved compared to the early days of the pandemic, there are still disruptions to global logistics that are causing delays and higher costs. As a supply chain manager, it’s essential to stay informed about the latest pandemic-related developments and adjust your strategies accordingly.

In conclusion, supply chain management is a complex and ever-changing field, and it’s crucial to stay on top of the latest trends and challenges to be successful. By prioritizing environmental sustainability, staying informed about global trade regulations, investing in training and upskilling, and being adaptable in the face of pandemics, you can position yourself and your business for success in 2023 and beyond.

September 19, 2023

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Supply chains are webs or networks.

Each firm’s supply chain is interconnected with the global supply network.

The global supply network is fragmented into communities of firms.

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