Manhattan Associates outlines a triad of strategies for brands to navigate and triumph over the persistent challenges in the supply chain landscape.
The Current Supply Chain Landscape
The supply chain sector has faced a series of disruptions, from the aftermath of the COVID-19 pandemic to geopolitical tensions and economic challenges. These events have led to trade interruptions and soaring costs, impacting both retailers and consumers. The cost-of-living crisis, exacerbated by inflation and high interest rates, has further complicated the situation.
Significant maritime routes, such as the Red Sea shipping lanes and the Suez and Panama canals, are critical for the global movement of goods. However, rising tensions in the Middle East and attacks on merchant vessels have highlighted the importance of resilient supply chains. The Kiel Institute noted a 1.3% drop in global trade from November to December due to escalating issues.
Strategies for Supply Chain Resilience
Manhattan Associates, a prominent supply chain commerce solutions provider, recommends a three-step approach to counteract the ongoing supply chain permacrisis:
1. Embrace Technology for Enhanced Commerce
Consumers expect a seamless shopping experience, and brands must deliver a smooth customer journey. Manhattan Associates emphasizes the use of advanced technology to meet these expectations. Craig Summers, Vice President, Northern Europe & MEA at Manhattan Associates, advises the use of software that integrates online, mobile, and in-store commerce to provide teams with comprehensive inventory visibility and customer data.
2. Efficient Planning for Optimal Performance
In the dynamic retail environment, efficiency is key to adaptability and crisis management. Brands must apply insights to inventory strategies across all sales channels to maximize profits and minimize waste. Predictive and autonomous optimization of the global inventory network is essential for improving profit and loss statements and environmental sustainability.
3. Unified Solutions for Swift Response
A consolidated technology solution enables brands to address issues effectively. By integrating distribution, labor, automation, transportation, and yard management into a cloud-native solution, supply chain execution can continuously adapt and scale to meet business needs and challenges.
In the face of the ongoing permacrisis, businesses must incorporate agility and resilience into their supply chain strategies to ensure efficiency, profitability, and continuity in uncertain times.
