01 March 2021
The key challenges facing the
logistics industry in 2021
To say 2020 was
turbulent for the logistics industry would be an understatement. The
coronavirus (COVID-19) pandemic was a uniquely challenging time for this sector
and continues to be as the industry navigates its way to an eventual
Never before have
global supply chains been faced with disruption of such a high magnitude or
been forced to adapt to meet the radical changes in consumer behaviour.
Here we explore the
most pressing challenges facing logistics companies.
The rise of mass
remote working across the globe since the COVID-19 outbreak has led to a
significant e-commerce spike and dramatic surges in online trading, which is transforming
both global trade and consumer behaviour.
The increase of remote
working, coupled with financial savings made on work-related costs such as
travel, uniforms, drinks and lunches, has led to the population heading online
to spend previously ringfenced disposable income.
The impact? A rise in
online sales, previously untapped consumer groups taking to shopping in the
digital space, together with a challenge for logistics companies to meet
consumer demand through the pandemic and beyond.
Supply chain visibility and
With the significant
rise of e-commerce and online trading has come the growth in consumer demand
for improved service and supply chain transparency. With expectations high, customers
want full transparency into what stage their delivery is at, at all times.
fast shipping and online tracking capabilities to SMS alerts and emails, supply
chain transparency is not only expected but embedded into a consumer’s psyche.
Plus, with the
ever-increasing demand for online sales swarming the logistics industry, the
need for visible, highly responsive, and efficient delivery processes is only
set to continue.
Keeping up with tech
There comes a domino
effect with an increase in e-commerce shopping, customer demand and supply
chain visibility. Logistics companies must keep up with tech to fulfil desired customer
Embracing digitalisation can help overcome this challenge.
proof of delivery, effective route planning through to vehicle safety
inspections, time efficiencies can be made which keeps the entire process streamlined,
visible and cost-effective.
Digital route planning
ensures fleet drivers arrive at their destination within the agreed, allotted
time, meeting distributor and consumer expectations while facilitating customer
What can be looked
upon as a positive surge in job opportunities across the supply chain does
present its own set of challenges.
As online sales have
drastically increased and consumer behaviour transformed since March 2020, there
is an increase in demand for workers throughout the supply chain.
One of the
main challenges facing the logistics industry is how to fill these new roles
quickly and with the right candidates.
What has been referred
to as a ‘talent crisis’, with demand outweighing supply, has seen the
transport & logistics sector suffering a significant shortage of labour.
Overcome your logistics challenges
If you are a business
or enterprise and are looking to overcome key logistics challenges and make
business-critical efficiencies through EPOD upgrades, contact Touchstar today.
Our EPOD systems are a scalable solution designed for any business, from
SMEs through to larger enterprises.
business operations, improve workflows and make significant efficiency savings
all with the help of our dedicated sales and support team.