Supply Chain Trends: How the Supply Chain is Changing
The supply chain is changing faster than ever before, thanks in large part to technology. When the U.S. Roadmap for Material Handling & Logistics was released on January 15, 2014, it provided some insight into what supply chains can expect by 2025. It was able to do that by analyzing trends. Those trends paint a clear picture of what businesses can expect down the road.
The Roadmap predicts that there will be advanced tracking options for supply chains in the future. By 2025, companies should be able to track shipments in real time during all stages of the transportation and delivery process. The tracking data can become a part of the information shared between trading partners of supply chains. This will help trading partners plan ahead, since they will know exactly when they can expect shipments.
By the time 2025 rolls around, anticipatory logistics could play a huge role in order fulfillment. Amazon is already looking at the possibility of shipping orders to people’s locations before they order them. They plan to do this based on the customer’s order history and the geographic location. This could become a reality for all kinds of companies. That could cut down on the time it takes for order fulfillment. That, in turn, could encourage consumers to spend more money online. Companies just need to have a system for supply chains logistics management in place so they can get the most out of this change.
Commutation Between Products and Computers
With RFID tracking and other technology, products and materials will eventually be able to communicate with computer systems. This can be used to show how products and materials move through a warehouse, and it can be used to keep track of inventory levels. This will make it easier to update data. People won’t have to input the data themselves. They will just have to use RFID tracking.
Real time Traffic Data
It is anticipated that real time traffic data will become a part of the supply chain. This data will be able to reroute drivers so they can get goods to people and companies faster. The less time it takes to deliver items, the more money the company should save. This is excellent news for all trading partners in the supply chain. Some of these changes will likely occur as soon as 2015, with the rest of them coming to fruition in 2025. In the meantime, companies will start to see small changes that will pave the way for the bigger changes. Those changes should help supply chains become more efficient and cost effective.