As markets change and the way people order and receive goods evolves in the U.S. and Canada, we can also expect big changes in approaches to North American logistics. North American supply chain management must account for changing North American logistics trends, so it is important to know what those trends are likely to be so that businesses can plan accordingly.
Some trends that North American businesses can expect to affect logistics over the next decade include:
- Higher Oil Prices: As resources dwindle and fuel needs grow, businesses can expect oil prices to rise over the next decade. Many businesses that need to ship inventory will respond by building more warehouses, especially in overseas locations, to make their inventory more widespread and reduce the number of miles company trucks must travel in order to deliver merchandise.
- Greater Inventory: We can expect companies to carry greater inventory in the coming years regardless of company approach. If companies respond to customers’ desires for nearly instant delivery of their products, they will require more inventory on-hand so they will not have to lose time manufacturing or searching for new product to fill orders. Companies that are designed to slower shipments will have to keep the inventory they plan to ship somewhere while they are waiting to ship, meaning more inventory.
- Greater Space Needs: More inventory requires more space. Companies may look to larger warehouses to accommodate their greater needs, or follow the lead of companies like Amazon and sell products from other companies with their own warehouses under the company’s banner, among other possible solutions.
- Importance of Ecommerce: No retailer that intends to be successful as we move through the 21st century can ignore the importance of ecommerce. Most retailers will want to devote even more resources to their ecommerce wing, either by redesigning their existing facilities to be more accommodating of online orders or by building new facilities with new staff specifically dedicated to meeting the needs of online customers.
- Sustainability: For some time now, consumers have been pushing for more green and environmentally friendly solutions from the companies they patronize. Using sustainable products and making sure your facilities use green building techniques and general practices can not only save you money on energy costs but can also inspire customer loyalty as they recognize you are a product supplier who cares about the community.
- Automation: Speed and efficiency are almost synonymous with automation. As the need to accurately and quickly fill orders grows, you can expect your supply chain automation requirements to grow as well.
Polymer Solutions International Inc. can help you streamline your supply chain with sustainable storage solutions like reusable, recyclable plastic pallets and plastic bottled water racks. Let us help you stay on trend and effectively package your food and beverage, pharmaceutical or other industrial products. Peruse our website to see our selection of sustainable storage options and feel free to get more details via our live chat. For specific questions or orders, just call us at 610-325-7500 or send us a message online.