Since the pandemic, studies show that there is a stronger correlation between supply chain disruptions and inflation. Supply instability, changes in people’s buying patterns, increase in prices, inefficient logistics, and labor stresses have made it necessary for companies to modernize their supply chain operations using flexible, cloud-based technologies to be able to react faster and smarter to this inflation-disruption cycle.
In order to remain competitive despite supply chain constraints and with the new buying trends, retail businesses have no other option than to utilize the new era of technology. Organizations must improve end-to-end supply chain visibility, the ability to forecast different inflation and volatility impact, and adopt embedded flexibility. This can be achieved by identifying dual suppliers, developing alternative logistical networks, and creating alternative designs for their products to be able to adapt more quickly to price fluctuations allowing new sensor technology enablement.
Enhanced digital tools such as data analytics, artificial intelligence, and technologies such as real-time inventory tracking and sensor technology for optimizing ordering and warehouse space management are proven, effective, and innovative solutions that help mitigate modern supply chain challenges and set the standards for the future.