The pandemic changed many things in our world, and logistics is no exception. Warehousing has undergone a significant transformation, responding to the challenges we face today. If labor shortages, rising transportation costs, and supply chain delays are impacting your business, knowing these top warehousing trends will help.
Top Five Warehousing Trends in 2022
The nature of trends is such that they tend to fluctuate with the market and current world events. For many years, these five warehousing trends have been a concern, so in a sense, they’re nothing new. Since the pandemic, these points have amplified, and we can confidently posit that they will continue to gain ground as we move into the future.
1. Elastic supply chains
The concept of elastic supply chains is all about agility. It’s essential to be able to scale up or down as needed. An elastic process helps minimize waste, maximize space and inventory, and solves common issues with warehousing and last-mile logistics.
2. Customer-focused approach
Since 2020, we’ve seen a massive surge in demand for last-mile delivery. Customers want their goods faster, underscoring the need for warehouse and fulfillment space closer to major centers. To stay ahead of the competition, you must always put your customers first.
Simple Steps to Improve Logistics Efficiency in 2022-2023
3. Specialized expertise
Warehousing today is highly automated, requiring staff with a high level of technological know-how. For maximum efficiency, all processes in the supply chain must be digitized to enable visibility and support real-time business decisions. Most warehouses must adapt to doing more work with fewer people, and technology makes this possible through automation, robotics, and cloud computing.
4. Tech tools
The right technology helps you reduce costs and make processes more predictable. Digital transformation is essential to business growth, protecting profitability, and providing detailed analytics to inform constant improvement. Technology connects every link of the supply chain, helping organizations make better business decisions from end to end.
5. Ability to maximize capacity
The demand for capacity is at an all-time high and is unlikely to slow down any time soon. Transportation costs are rising, and many brands are paying top dollar for air freight so they can meet customer demand—an unsustainable practice in the long term. Because of capacity shortages, it’s taking longer to meet demand, so suppliers must find ways to optimize and maximize capacity to maintain continuity and avoid customer service issues.
A common thread runs through these warehousing trends, based on the time-honored framework of people, processes, and technology. Now, more than ever, it is essential to improve operational efficiency to retain good employees and ensure predictability to make good on promises and maintain a good reputation in your industry.
Chasing trends may not be the best use of your time, but with the right partners in your corner, you can focus on what you do best and have confidence that your organizational needs are met in every way.
Working with a trusted third-party logistics provider puts the best practices of people, processes, and technology at your fingertips. At DTS World Cargo, we not only handle your cargo but also offer a complete range of warehousing services, ensuring your freight is safe and always on time at its destination.