Editor’s Note: This blog post was originally published in January 2017 and has been fully updated and improved in September 2024 to be comprehensive and easily understood.
Reflecting on trends from 2017 can provide valuable insights into today’s evolving landscape of supply chain management (SCM). SCM refers to overseeing and coordinating all activities involved in sourcing, production, and logistics to deliver products to customers efficiently. An organized supply chain is crucial for businesses, as disorganization can lead to inefficiencies and ultimately risk losing customers. Moreover, while falling short sometimes is a common challenge, staying aware of former and current trends will help you avoid being stuck in outdated methods and therefore provide valuable insights into today’s evolving landscape. In this article, five industry leaders highlight the trends of 2017. We will dive into the evolution of these trends and their continued impact on the industry, which will help you understand their relevance in the current landscape
Key Trends Shaping the Future of B2B Marketplaces in Retail
Sue Welch is the Founder and CEO of Bamboo Rose, a business-to-business (B2B) digital marketplace powered by trade engines that allow members of the retail ecosystem to collaboratively discover, develop, and deliver great products to market. A veteran of the tech startup world with six companies to her name, Sue shared her insights and focused on the following points:
- Marketplaces will make product lifecycle management visual – even when it’s virtual: Retailers will shop just like consumers in connected B2B marketplaces.
- Product design will become more social: Co-creation will be a must; instant sharing of ideas will be the standard to ensure the best products come to market quickly.
- IP security issues will be on the forefront: Public tools, like Pinterest, will become more of a security concern, prompting companies to look for options with similar functionality that pose less of a risk.
“After a year of breakthroughs, meeting consumer expectations for great products and instant gratification will be even harder in the year ahead. 2017 will mark increased investment in tech to help retailers survive in an Amazon world”.
Sue Welch
Implementation of cloud systems
Lee Fisher is General Manager at Poles Direct, part of the Interior Goods Direct group. They trade exclusively online, specifically offering a range of high quality products including wooden blinds, curtains and cushions.
“For us, it’s all about the data”
“And throughout the next year we’ll be able to identify and utilise it even more effectively thanks to the advancement of cloud technologies. The quantity and quality of the data we now have access to means our operations are becoming more complex, collaborative and cost-effective, too”
“2016 was a huge turning point for digital technology, and it’s showing so signs of slowing down in 2017. Last year saw the gradual introduction of digital to our operations, and we are now able to harness its full potential throughout the full supply chain. We’re particularly excited about the speed and connectivity of our enhanced operations.”“I also expect to see AI on the rise, though unfortunately, that isn’t something we’re in the position to implement as of it!”
Lee Fisher
Cyber Risks in Global Supply Chain Management
Ayman Omar is an Associate Professor in the Department of International Business and a Research Fellow at the Kogod Cybersecurity Governance Center (KCGC). In addition, prior to receiving his Ph.D., Prof Omar worked in the oil industry and conducted several consulting projects. for a wide range of corporations including many Fortune 100 companies.
Navigating Budget Constraints: Trends in Outsourcing, Technology, and Operational Excellence
Kimberly Watson-Hemphill is the Founder and CEO of Firefly Consulting, a boutique consulting firm that specializes in innovation and operational excellence and is headquartered in Austin, TX. She recently authored the book Innovating Lean Six Sigma (McGraw-Hill, 2016.)
“While the US economy is doing well at the macro-level, many supply chain leaders are starting their 2017 needing to do more with less budget than in previous years.”
“Outsourcing and technology solutions continue to be popular, along with continued interest in operational excellence programs. Technology solutions have evolved and improved, and will continue to do so. They are a good investment in some cases, but can also take years to pay back the initial investment. Outsourcing can provide a medium-term cost reduction, but levels of service and customization often suffer.”
“Operational excellence, particularly a good lean program implemented throughout the supply chain, is one of the few solutions that can provide significant cost reduction, while at the same time developing the skills of the workforce, and empowering employees to lead change. We predict continued strong interest in all three of these approaches from supply chain leaders in 2017.”
Kimberly Watson-Hemphill
Cloud systems for supply chain management
We already see an increasing implementation of cloud-based supply chain and inventory management systems. These help businesses easily monitor each link of the supply chain.
Because of the implementation of cloud-based inventory management systems, supply chain efficiency enhanced across various industries. Forrest Burnson from SoftwareAdvice highlights this trend, noting the
“desire to modernize and automate systems”,
Forrest Burnson
which highlights the growing recognition of the need for more sophisticated and agile solutions. Furthermore, modernization enhances inventory visibility and control, enabling companies to quickly adapt to changing market demands. This leads to better performance and customer satisfaction.
“Even though manual methods worked in the past, the business has either grown or is facing tougher competition, and these methods are no longer sustainable”.
Forrest Burnson
Evolving Trends in Supply Chain Management: A Perspective from 2017 to Today Trends
In Summary
Supply chain management trends include product lifecycle visualization, social product design, IP security, AI integration, and cybersecurity emphasis. Moreover, these trends remain highly relevant today and have evolved to meet the demands of the modern marketplace. They have become essential for businesses striving to thrive in an increasingly complex and competitive environment
While companies adapt to changing market dynamics and technological advancements, embracing these trends is crucial. Doing so enhances operational efficiency and fosters innovation while safeguarding valuable intellectual assets. By staying attuned to these developments, organizations can better position themselves for sustainable growth and long-term success in the future.
Sarah Moore is a Digital Marketer for Megaventory the online inventory management system that can assist medium-sized businesses in coordinating supplies across multiple stores.