GlobalTranz Enterprises, LLC., a leading technology-enabled third-party logistics solutions provider, recently released the results of its third survey of U.S. supply chain leaders in the past year.
On the heels of last year’s boom in online shopping, this latest survey reveals that companies have confidence in their e-commerce strategies ahead of the official 2021 peak shipping season that traditionally runs from September through December.
At the same time, the survey of supply chain decision makers highlights anticipated challenges for the second half of the year, from new COVID-19 variants threatening another phase of lockdowns to ongoing challenges in recruiting and retaining employees.
“While the resurgence of COVID-19 has created another element of uncertainty heading into peak season, we’re seeing cautious optimism around how supply chains have adapted to the challenges of the past year,” said Ross Spanier, Executive Vice President of Direct Channel at GlobalTranz. “Businesses have put in place new supply chain strategies and established partnerships with logistics providers that can help them manage through this volatile environment.”
Peak Shipping Season Looms Large with Supply Chains Already Operating at Capacity
Global supply chains have operated at or near peak levels of demand since the summer of 2020, with little reprieve heading into the official 2021 peak shipping season. Despite ongoing disruptions, decision makers feel their companies are more prepared to meet customer demands through the holiday season and beyond.
About three quarters (76%) of decision makers expect that their 2021 peak season revenue will be higher than the previous year. Additional findings include:
In addition, survey respondents noted concern for how a resurgence of COVID-19 may impact their company’s ability to meet customer needs over the coming months.
Workforce needs, rising costs and supply chain congestion take precedent
While supply chains have proven resilient and adaptable over the course of the last 18 months, a strain on available resources and increasing costs are a cause for concern. Issues around workforce availability and material shortages are likely to persist well into 2022 as companies make moves to address them in the coming months.
“The survey results indicate that supply chain professionals continue to adapt to a myriad of changes in the business environment and shifting consumer behavior,” said Ross Spanier, Executive Vice President of Direct Channel at GlobalTranz. “Yet there is still optimism among leadership who went through the experiences of the past 18 months and are investing in the tools and partnerships that will help their businesses succeed.”
Spanier added that many of the responses from this survey were consistent with the market trends they are tracking within their technology platforms and business intelligence teams.
“Over the past 18 months, companies serving both consumers and businesses have been dealing with changing buyer behaviors, inventory management challenges and labor shortages that continue to create supply chain volatility,” he says. “The survey shows that supply chain leaders are adapting to the uncertainty and continuing to seek logistics partnerships and technology that provide greater visibility into supply chain networks and consultative guidance to help them drive supply chain resiliency through this disruption.”