Supply chain management has surely evolved throughout the years. For instance, the role of supply chains in promoting productivity has increased in significance as modern business operations become more fast-paced. Moreover, with the advent of automation, AI, and data analytics, supply chain processes are now more streamlined than ever. With all these changes, you might be wondering whether your company can keep up. To find out, it is best that you arm yourself with the latest supply chain statistics.
In this article, we have compiled various data ranging from changes in supply chain visibility management to emerging technologies in the industry. We’ve also tackled a few of the best inventory management software that supply chain professionals use. This way, you have a clearer view regarding the state of the industry as well as identify what you can do to remain competitive in terms of supply chain management.
The supply chain is a crucial part of various industries. So much so, that many companies say it is what enables them to grow their business. Moreover, some believe it to be one of the top drivers of customer service improvement in the modern business landscape.
So, it comes as no surprise that the supply chain market size is continually increasing. Professionals are now investing more in SCM strategies that will allow them to cut costs, automate processes, as well as expand their reach.
Supply chain statistics show that over the past few years, there have been many changes in industry processes. Consequently, the priorities and growth initiatives of companies have also evolved.
In the coming years, you will see that supply chain professionals will pay more attention to improving service quality and performance management. Moreover, we can expect that many companies will soon become more proactive in reinforcing supply chain processes using analytics.
The supply chain is the backbone of business operations. So, companies must know all the activities happening in the supply chain to make sure it’s working the way it should. Unfortunately, plenty of businesses still don’t have complete visibility over their supply chains.
As a result, a lot of supply chain professionals are unable to accurately monitor their operations. For those who do their best to monitor their supply chain, on the other hand, they are limited to measuring daily performance, cost reductions, and production rates.
If you want to make sure that you always have a good grasp of your operations, you might want to consider checking out some of the leading business process management solutions and SCM systems on the market to gain more transparency in your supply chain.
Aside from certain cultural barriers to SCV and the lack of tech use to reinforce SCM, companies also need to deal with supply chain disruptors. These include anything from organizational restructuring to natural calamities.
According to the supply chain management statistics we’ve collected, supply chain disruptions happen often and they happen when you least expect. Moreover, they can cause massive losses in terms of productivity, finances, and company reputation.
Despite this, however, many companies still don’t analyze the supply chain disruptions that they encounter due to lack of supply chain visibility and internal coordination. So, they are often unprepared when these problems arise.
Source: GEODIS Supply Chain Worldwide SurveyDesigned by
Transportation and shipping play a big part in supply chain management. These are what allow you to distribute your products and keep your warehouses fully stocked. Unfortunately, it seems that these two are also bound to play a bigger part in your supply chain spending. Statistics show that transportation and shipping costs are predicted to grow in the coming years. Luckily, you can find ways to reduce these fees by simply leveraging efficient transportation management systems.
Inventory management is one of the pillars of supply chains. Through this, professionals can keep track of their resources and ensure they are fully stocked to run their operations.
However, there are many practices involved in inventory management and doing them manually can eat up a lot of productive hours and put a damper on efficiency. This is why it’s alarming that many businesses, particularly SMBs, are still not utilizing inventory management systems for operations. Moreover, some don’t even have a way to track their inventory.
The silver lining in this scenario is that many manufacturers are interested in rolling out advanced warehouse management processes or investing in inventory management software.
Statistics show that aside from simply streamlining operations, effective inventory management offers a lot more benefits for supply chains. For instance, it can help you maximize your storage space and make way for new products. In addition, it will allow you to make your stock use more efficient. There are also professionals who optimize their inventory system to improve their ability to gauge supply and demand.
Training Data Scientists%
Data Interchange Technology%
Training Retail Staff in eCommerce%
Refitting Stores to Have Warehouse Capabilities%
Source: StatistaDesigned by
Technology makes the world go round. So, when it comes to dealing with complicated supply chain processes, companies are starting to utilize different types of tech to reinforce their efforts.
However, it is best to note that not all technologies are created equal. While many companies see how the positive impact that these advancements may bring, they are only going to prioritize a handful of them. These include analytics, IoT, and cloud computing.
Knowledge is power and there’s no better way to gain knowledge into your supply chain than big data. So, it doesn’t come as a surprise that data analytics is the next big thing in supply chain tech. As you can see in the statistics below, an increasing number of supply chain leaders are realizing the importance of analyzing various types of data when it comes to boosting operational efficiency and reducing costs.
Luckily, there’s plenty of data analytics software to choose from.
We’ve heard it a million times: AI is the future of business. This holds true in the supply chain industry. In fact, a growing number of companies are using artificial intelligence and machine learning to power their processes. Moreover, many of the leading manufacturing companies believe that they will soon be dependent on AI in the near future.
Meaning, businesses should do more to invest in artificial intelligence in the coming years. This is especially because a huge chunk of businesses are still falling behind when it comes to AI adoption.
For more insights on AI and machine learning usage data, you might want to consider checking out this list of machine learning statistics. This should provide you with information on how other industries are using this to improve business processes.
The evolution of supply chain tech is not limited to AI and data analytics. As you’ll see in the statistics below, many companies are experimenting with other forms of technology such as warehouse robotics, augmented reality, virtual reality, and pick-to-light systems. With these emerging technologies, you can expect more complex but more efficient supply chain processes in the future.
There are still companies that don’t utilize SCM tech despite the plethora of options on the market. Supply chain data reveal that a majority of organizations still haven’t invested in advanced tech for monitoring their processes. In addition, some still rely on traditional methods such as spreadsheets.
This low tech adoption can be attributed to factors such as cost and complexity. After all, not every company has the resources to purchase new software solutions or hire tech-savvy employees who know how to use them.
The good news here is that there’s a growing number of software providers offering more affordable products. Even better is that they are making these products easier to navigate, so companies no longer need extensive technical know-how to utilize them.
If you would like to learn more about technology implementation, we highly recommend taking a look at our compilation of technology statistics. This should provide you with information regarding adoption, implementation, and best practices not only for supply chain management but for other industries as well.
Many challenges plague the supply chain industry. Several supply chain data sources reveal that many professionals are having problems with improving their operational visibility and meeting the changing customer demands. This is in addition to being constrained due to cost increases and the increasingly competitive business landscape.
This only illustrates that modern supply chain management efforts require initiatives that promote transparency and agility in your operations. In addition, now might be the time to start rolling out data-driven processes to improve your overall supply chain.
If there’s anything we can take away from this compilation of supply chain data, it’s that emerging process management development and fluctuating consumer demands are reshaping the supply chain. That is to say, companies should expect the need to be more proactive in meeting industry expectations.
However, it is best to note that adapting to these industry shifts won’t be easy. Not only will companies have to invest in more tech-forward and data-driven processes; they will also have to continue learning about new strategies that will help them drive business growth.
We hope that, through this list of supply chain statistics, we were able to help you be more up-to-date regarding the major changes in the industry. Using this as a guide, it should be easier to understand the shifts in supply chain processes, challenges, and best practices.
To further reinforce your supply chain, we highly recommend that you consider exploring different SaaS products. These might include inventory management tools, warehouse management systems, SCM platforms, as well as BPM solutions. With these, you can accelerate your processes and eliminate risks of human error.
But, of course, before you start browsing and investing in these products, you should first take a look at our guide to how SaaS works. This should help you understand the purpose of SaaS in different industries as well as how you can leverage it for your company.
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