Optimism Amidst the Pandemic Aftermath
Over half of the supply chain experts in the US are gearing up for a bustling winter e-commerce season, with 52% predicting sales will surpass those of last year. This forecast, derived from a survey by a leading third-party logistics provider, points to a confident outlook for the 2023 peak shopping period.
Inventory and Staffing Challenges Ahead
Despite the positive sales projections, 60% of the surveyed practitioners expressed concerns over lingering effects of the pandemic on their operations. Inventory management tops the list of worries for nearly 30% of respondents, closely followed by customer satisfaction issues and the hunt for qualified seasonal workers.
Embracing Technology for Peak Season Prep
In response to the anticipated peak season demands, 35% of supply chain professionals have adopted new technologies. These innovations aim to enhance inventory visibility, shipping efficiency, and e-commerce ordering. AI has also become a focal point, with a significant number of practitioners utilizing AI tools for inventory tracking and daily operations management.
Strategic Planning to Mitigate Peak Season Pressures
Felix Vicknair, a vice president at the surveying logistics firm, emphasizes the importance of proactive planning to address inventory and staffing challenges. He advocates for the strategic implementation of logistics technology to ensure customer expectations are met during the holiday rush.
Flattening the Peak Season Curve
Supply chain leaders are not just relying on technology; they’re also innovating with sales strategies. Encouraging additional sales events beyond Black Friday and adopting seasonal price matching are some tactics being used to distribute consumer spending more evenly and reduce the end-of-year logistics burden.
The insights from this survey, which polled 125 supply chain practitioners, shed light on the industry’s readiness to tackle the forthcoming peak season while still grappling with the pandemic’s residual challenges.