In previous articles, we’ve focused on sustainability. Now we’ll tell you how the industry of supply chain systems and collaborative commerce is moving toward a new way of doing business.
As cities get larger, and urbanization increases, so do the rules governments creates for those cities, which effects distribution. Shopping behavior in the next ten years is going to change as the baby boomers continue to age, traffic continues to go into gridlock, and the population becomes ever more savvy to consumer technologies. Big box stores are closing, and home shopping via the internet hit a record this last December in 2013. Home shopping is set to get ever more popular, which means that new forms of home delivery and pick-up will be explored, have you read about experimentations in same-day parcel delivery via drones in the news lately?
We’re a couple of years away from that at least, but what it’s pointing to is a new business model that makes collaboration the future of companies, if they want to survive. The proprietary system of distribution logistics as we know it now is fast becoming a dinosaur. Only with complete transparency and working together will companies be able to make effectiveness and efficiency work with the growing demands of the ever tech-savvy population.
Key Performance Indicators (KPIs) that measure things like total inventory, distribution costs and percentage of on-time deliveries are starting to record different types of data. New models that could be recorded (or might be in development as we speak) include criteria such as carbon emissions reductions, reduced energy consumption or reduced traffic congestion.
Signs point to KPI data, POS, forecast and inventory data as well as technologies, facilities and fleets as part of a shared system with all businesses, taking away the old model of competition and instead building things like “smart” supply chains that will allow for competitive strategies within the new genre. As the landscape inevitably changes and multi-modal plans start to expand, it’s important to embrace plans that will help alleviate things like traffic congestion and create/conserve energy.
This kind of thinking is the next level up that could synchronize and optimize a shared supply chain, a chain that will be powered by consumers, their data and collaborative commerce indexed and organized by Appterra and other companies.
It’s not utopian to think of the supply chain system as a shared process involving shared retail, manufacturing and distribution initiatives. It’s reality.
Exploring methods to store, distribute and move data to keep up with society’s continuing expansion is what companies must do for their customers now and tomorrow. In order to plan upfront for success, the basis for shared common ground and vision needs to have one eyeball on developing markets, and the other on mature markets. For streamlined success, supply chain management solutions employing standards-based, interoperable B2B2C services will create the breakthrough acceleration required for optimal results.