What does 2022 hold for supply chain evolution?
In recent months we have seen shortages and supply chain disruptions in the lead-up to Black Friday and Christmas. With 2022 fast approaching, Antony Francis, Consultant at software and technology services company, Endava, shares his perspective on how supply chains will evolve in the coming year…
Connectivity will remain the single most important aspect for the sector
Companies will need to fully analyze their ability to view their entire, global supply chain. They must have visibility of all their trading partners, including manufacturers, shippers, forwarders and others and have the connectivity to deliver real-time updates throughout the process.
In 2022 we will see a real need for supply chain technology companies to consider and provide the best platforms to achieve this. One-size-fits-all solutions might not always work across every module so we could see a trend for organizations looking to own specific spaces and provide the best solution for a particular subset of partners.
Supporting digital acceleration will be the key to success
In 2022 it’s going to be important that supply chain technology companies can really provide solutions that enhance connectivity and visibility. There is a lot of work going on to ensure that systems are up to scratch, and companies that are able to provide digital acceleration solutions to enhance end-to-end visibility of the supply chain will do well.
Systems will become more resilient, both to react to immediate issues and to protect against future disruptions
Many companies’ technology was found wanting, even before the COVID-19 pandemic and other external factors placed further stress on supply chains. The level of connectivity and readiness was low, and companies had only really just started to look at issues such as visibility and real-time updates to shipping information. When the pandemic hit, companies were already lagging, which only increased the impact of issues arising from disruptions.
It will likely take well into the first quarter of 2023 to absorb the disruptions from 2021 and 2022. There needs to be a significant digital acceleration to make sure systems are more connected and resilient. This will both close existing gaps and serve to manage any future, unforeseen events. Companies should insist that their shippers, forwarders, third-party logistics providers, etc. are connected in real time and able to move swiftly to react to any changes in supply. Coupling this with AI and machine learning predictive analytics to anticipate issues will go a long way to keeping supply chains running smoothly.