2020 Trends in Logistics for Operations Teams

Posted On : Jan 21, 2020

Source: What does 2020 hold for logistics leaders? (DC Velocity)

The “Amazon effect”, e-commerce boom, and labor crunch made 2019 a complex year for warehouse operations. DC Velocity analyzed the top trends of 2020, and we made a list of them here. Find out how operations leaders are reacting in 2020, and where the trends are going.

  1. The ongoing labor shortage is the biggest and most sweeping trend of 2020.
  2. Shoppers will continue to want cheaper and faster home delivery, making complex order fulfillment the new normal.
  3. E-Commerce growth will continue, despite general manufacturing slow-down. Fulfillment operations will accept this consumer reality and adapt.
  4. Talent shortage will drive companies to seek automation, but the robots will supplement human labor, as opposed to replacing it. 
  5. Analytics will be increasingly used to optimize storage, increase capacity, and cut work order processing
  6. As operations feel the pressure and the benefits of digital transformation, most will need to manage hybrid environments – for at least another decade. Cloud and on-premise will co-exist.
  7. Warehouses will attract and retain talent by offering more flexible schedules.
  8. Traditional HR practices for talent will be re-thought as competition will continue to be fierce for warehouse talent.
  9. The gig economy will continue to drive worker’s desire for flexibility in their jobs and lives.
  10. Pay, flexibility, and perks will drive worker’s career decisions, but also the opportunity for “upskilling”.
  11. Objective job performance data will make hiring more effective and eliminate inherent biases such as appearance.

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