The Latest Trends & Challenges in the Supply Chain Space

The Global Supply Chain has never been more important, more robust and more beneficial to this ever evolving industry that it is today, in 2024. With the way the entire world is connected today, with global epidemics, OPEC crisis, AI, robotics and other disruptions, it’s no easy feat to survive, recover and thrive the way the supply chain market has. The space has seen some tough times, with unexpected delays, rising risks and everything in between.

BUT IT RECOVERED

…and even though those challenges are behind us, what got us through them and what will get us through new challenges again is our ability to persevere and find new solutions for problems. In order to do that, we need to be on top of our game with real time visibility to react quickly to disruptions, use groundbreaking new technological advancements to serve our customers and other stakeholders in the most swiftest way possible. 

So today, in this blog post, we will look into some challenges that supply chain managers run regularly into and how the latest and greatest technological advancements in the supply chain space are making it easier for professionals to stay afloat and thrive in 2024…

The Rise of Risks & Challenges…

It’s no secret that the supply chain market is extremely volatile and highly prone to disruptions, mostly due to rising consumer demands, material shortages, changes in policy, slow adoption of technology and unrest in the industry. This is why supply chain professionals struggle and have struggled through years. So, in order to overcome these challenges, Supply Chain Professionals need to stand up to unpredictability. Here’s what those challenges would look like if we gave them numbers:

1. Unforeseen Delays: First and foremost, like we said before, there’s always the unpredictability. Due to the presence of long distances between point A and point B with the involvement of multiple checks, processes and data, shipments are always prone to disruptions.

2. Cost Control: Market volatility, rising costs of raw materials, energy, labor, climate change and other economic uncertainties contribute to risks and challenges in the field of supply chain management. Making sure that your goods reach the end destination without breaking the bank is definitely a delicate process but it can be done by keeping a watchful eye on what matters the most, the bottom line.

3. Increasing freight prices: A heightened increase in energy prices can affect the prices of freight and this is concerning for supply chain professionals. Even though they are well versed in dealing with these market woes, it is definitely a high stakes game where balancing supply and demand while keeping a close eye on rising market demands is paramount. 

4. Port Congestions and Digital Transformation: If you think that port congestion is a supply chain professional’s biggest nightmare then you would be right. Pandemic related restrictions are still in place and a lot of it is still a significant reason behind delays in dispatches and deliveries. But, these physical hurdles aren’t the only problems that Supply Chain Professionals have to deal with because digital transformation is here! With it, comes new challenges and promises. IOT, AI, drones and robotics are beginning to be adopted but implementing them without a proper handle on their functionalities means that there still remains a significant challenge for supply chain professionals. So, even though these challenges showcase the complexity and dynamic nature of the supply chain management space in the current marketplace, there remains hope.

Hope in the form of innovation!

There are certain emerging trends in the industry which promise to revolutionize the way logistics and supply is managed in 2024 and beyond. Let’s take a look at a few of them:

1. Supply Chain Digital Twins: Supply Chains comprises a large moving system and to visualize it digitally would mean that you would have a replica of the physical world with all its pitfalls and complexity. You might have already figured it out but a Digital Twin is basically a simulation of what the supply chain would entail. This means that you get to digitally visualize everything from suppliers, customers to warehouses, distribution centers etc. With these virtual simulations, you can enhance visibility and prepare for any upcoming disruptions by being one step ahead.

2. Supply Chain as a Service (SCaS): Outsourcing for supply chain processes has been rare and unheard of but today, with the emergence of SCaS models, it’s becoming a reality. Businesses are starting to understand the importance of entrusting a fraction of processes to qualified experts thus making the processes leaner. It’s a better way to handle supply chain because an organization will rely upon smaller teams of skilled professionals (experts) who will exclusively work on strategies, remove issues in supply chain and improve processes.

3. Automation through AI: Currently human error leads to about 80 % of disruptions in the supply chain. Businesses have continued to look for an antidote to this problem and they found it in AI powered solutions. Today, AI is playing a key role in improving supply chain management by overhauling operations, streamlining them, offering predictive analytics and by enhancing demand prediction.

4. The Demand for Real Time Data: Today, there’s a growing need for real-time data to enhance decision-making and improve supply chain visibility, with technologies like IOT devices and sensors playing a crucial role. Challenges continue to rise but these trends show a very optimistic future. Why? Because these same trends can revolutionize the way supply chains are managed. From virtual simulations of your supply chain, to visualizing disruptions before they become a reality, Supply Chain Managers can really be on the top of their game with these trends.

Why upskilling is important…

Trends continue to rise and with it, a supply chain professional’s skills need to rise as well. Staying ahead of the curve with updated skills means everything in today’s day and age. Whether it's mastering the intricacies of Supply Chain Digital Twins or becoming fluent in the language of AI, upskilling opens doors to new opportunities and ensures that managers remain at the forefront of innovation.

If you are looking to make your mark in the supply chain industry, then you should grab a peek at the Executive Development Program in Digital Supply Chain and Logistics Management. This course aims to provide participants with the development of an understanding of various ideas. Over the course of 6 months, participants will develop and analyze the role of digital transformation of the supply chain and logistics processes. In addition, participants will also understand the roadmap for developing sustainable and industry 4.0 perspectives of supply chain and logistics management.

This program is specifically designed for working professionals who do not have the luxury of leaving their professional lives on pause in order to pursue a degree course. So, in order to make it easier, this executive program will allow working professionals to upgrade their skill set from the comfort of their homes and on the weekends. After completion of the program, participants will receive a certification of completion from IIM Visakhapatnam cementing their place as a forerunner in the supply chain management space. Oh and did we mention?

There will be case based sessions, interactions with top industry experts and a deep dive into a really rigorous curriculum centered around the world of supply chain and logistics. All of this so that you can steer the turbulent seas with confidence and vigour while being at the top of your game!