Global chain supply issues not going away in 2022
- The US is looking to remote-operated equipment as a solution to the global chain supply crisis
- Transportation holdups are the biggest problem in Australia’s supply chain
- Asos faced a bleak outlook for 2021 after lowering its annual profit forecast, parting with its CEO following supply chain pressures
The global supply chain represents the intersection of customer demand, cost, and manufacturing. Over the past decade, supply chains have drastically transformed due to volatile economic conditions and fluctuating fuel prices.
Within the next few years, autonomous vehicle technology could be the next big thing in shipping. This massive shift in the logistics sector has left some companies scrambling to catch up.
Some have taken advantage of this innovative technology, seeing a considerable boost in their profits and productivity. On the other hand, others have been left behind by assuming that there was no need for change.
Transportation crisis – the biggest problem in Australia’s supply chain
The shortage of truck drivers and workers in critical industries is the biggest problem in the Australian supply chain. This is partly due to the rapid spread of the Omicron variant across the country as workers contract the virus or remain in isolation as they had close contact with an infected person.
From the Australasian Convenience and Petroleum Marketers Association, Mark McKenzie also warns of a pending fuel shortage due to similar staffing issues.
ASOS hit by supply chain disruption
As more industries adopt technological advances to improve their operations, how they manage will also be transformed their supply chains. Supply chain constraints and volatile demand limited sales growth of ASOS for four months to the end of last year’s trading period.
The British online fashion retailer faced a bleak outlook for 2021 after lowering its annual profit forecast and parting with its CEO following supply chain pressures and a return by shoppers to pre-pandemic ways.
The US is looking to remote-operated equipment as a solution to the global chain supply crisis
In recent years, a slew of automation and technology advancements have begun to reshape the logistics industry. Companies are now seeking solutions that accelerate their supply chain productivity and minimize operational costs.
This has led many operators in the field to invest in remote-run forklifts as they look to reduce labour costs, improve efficiency, and delight customers with faster deliveries.
The two biggest logistics companies in the US are looking to remote-operated equipment as a solution. This is due to the Omicron infections keeping workers at home and labor shortages disrupting the world’s supply chains.
This year, Phantom Auto and ArcBest will begin selling remote-enabled forklifts to third parties. According to Phantom Auto co-founder Elliot Katz, they are looking to capitalize on demand from other companies struggling to fill logistics positions.
Camera systems give remote operators a complete 360-degree view of the machine’s surroundings using Phantom Auto-enabled forklifts. If the forklifts encounter latency exceeding a certain threshold, they will stop due to the safety mechanisms.
There are lessons to be learned here as the global supply chain has been changing at an accelerated pace in the last decade, even prior to the pandemic, with emerging markets growing as a significant force of economic growth. As technology advances, the way businesses operate will have to shift and change or lose out on future opportunities.