supply chain automation logistics

Future Trends in Supply Chain and Logistic Services: Outsourcing and Automation

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The state of supply chain and logistic services is one of the aspects which professionals in the field always monitor closely. The changing environment in each industry is shaped the trends promoted by online shopping in global trade, the need for closer supervision of merchandize in transit and reducing operational costs. Supply chain and logistics services are permanently subject to probing because they represent the variable which companies can somehow control, as opposed to the price of labor and raw materials used in manufacturing products.

Faster, Better, Cheaper?

There is, as always, a dividing line between what manufacturers demand and what supply chain and logistic specialists can offer. As the team of packaging and logistic professionals at Logistic Packaging can testify, there is a constant pressure on companies to offer their end customers better products, with faster delivery times and cheaper transportation costs.

When offers are prepared, many clients are inclined to sacrifice quality to lower price. As time and many instances have proven it, this is not a winning strategy for anyone. Thus, specialists had to keep searching for innovative solutions which create a balance between all the elements of global supply chain: speed, quality, and cost.

Technology to the Rescue of Supply Chain and Logistic Service Providers

As always, where there is a will, there is a way. For professionals in supply chain and logistic services, new technologies provided the answer: automation. The use of robots and other smart devices (including IoT connected devices) has reduced overall costs by:

  • Reducing the number of human employees involved in the supply chain;
  • Speeding up processes, allowing faster delivery times;
  • Increasing the quantity of merchandize packaged and shipped per unit of time;
  • Reducing operational losses caused by damaged goods.

These benefits are not of recent date and they have prompted companies to change their business model, to adopt automation of their supply chain and logistic processes. But soon it became apparent that the adoption of new technologies alone is not enough to improve operations and reduce costs.

The Next Step Forward: Outsourcing Operations to Supply Chain and Logistic Specialists

The robots can help companies to the extent that they receive logical instructions. They do not think and do not make decisions. They are smart tools, indeed, but they need human intelligence, know-how and expertise to be efficient.

This is where professional supply chain and logistic services providers step in. Like many other specialized companies, at Logistic Packaging we use an organic approach to all the projects: the products we sell are a solution to a complex need.

When companies need supply chain and logistic assistance, they are aware of the basic need, but not of its complex ramifications. After years of trials and errors, they understood that, instead of putting the logistic and packaging specialists at the end of the decision making chain – simply ordering a batch of products – they should place them at the very beginning, as the key link which holds all the supply chain together.

The Fusion Between Smart Tools and Experienced Professionals

Thus, the future of supply chain and logistics is one where professionals are put in charge of smart, automated devices and create the operational processes which, in the end, add value to companies.

Outsourcing is the answer because it holds both elements needed by company: professional expertise and cost effective services. Hiring professional logistics and supply chain specialists is not always possible. They seek professional challenges and benefits packages which regular companies may not be able to offer. They will opt for a top level specialized company. In turn, that company can serve many other businesses, from many industries, without adding unbearable costs to their budgets.

There will never be a future ruled by robots in supply chain and logistics. The trends are clear: specialized professionals will rule over the robots and provide clarity and measurable benefits to client companies world wide.