10 Considerations for Planning Your 2025 Logistics Strategy
According to the National Retail Federation, sales will increase 2.5 to 3.5 percent in 2024, from $5.23 trillion to $5.28 trillion. Retailers, BCOs, and other importers should be prepared to serve the growing needs of consumers as they head into 2025. Careful supply chain and logistics strategy is paramount, aided by AI and fueled by the desire for personalized shopping experiences.
The concept of a control tower that offers a 360-degree view of logistics has never been more critical in meeting the demands of the American consumer. AV Logistics offers drayage management from one consolidated team, offering real-time intelligence and expertise to reap measurable results in your logistics strategy.
As you plan for your logistics requirements in 2025, there are ten considerations that are key to finding the right supply chain partners and succinctly addressing your needs.
Assess Demand and Inventory Forecasting
Using data-driven insights from your sector, analyze historical sales data to predict your demand for 2025. Make the most viable plan possible with the intelligence currently available, even though unpredictable consumer shifts, current events, and other economic factors may require adjustments later.
Enhance Supply Chain Resilience
Consider the weak links in your supply chain as you adopt your new logistics strategy. Where applicable, consider diversifying suppliers. Find logistics management firms that can help streamline operations and contain costs. Consider local suppliers that could reduce lead time and shipping costs.
Optimize Transportation and Distribution for Sustainability
Consider the sustainability of your supply chain partners and lean towards those who offer sustainable logistics options like rail transport, or other energy-saving modes of transport. Outsource logistics functions to 3PLs who value sustainability and reconsider warehouse locations to save fuel costs.
Leverage Technology and Automation
At warehouses, the latest inventory management technologies can streamline container import and export. As part of your logistics strategy, consider your supply chain visibility process. If unsatisfactory, find a stronger partner to provide accurate, detailed, on-demand reporting, with the expertise to recommend process improvements based on analytics.
Control Costs
Some of the costs you incur in 2025 will be unavoidable due to unforeseen circumstances. Others can be reduced with the right logistics strategy in place. Analyze your accessorial charges and consider better demurrage or per diem management programs to reduce overall costs. A per diem reconciliation program can also ensure only valid per diem invoices are paid.
Retain Compliance
Review all regulatory changes in your industry and adapt your logistics strategy to ensure compliance. Importers should review and create processes to enact the latest FMC ruling concerning demurrage and detention and reduce your firm’s environmental footprint as required.
Improve Delivery Times
Consider your expected demand and capacity and plan your fleet accordingly. Discuss best-in-class transportation options and consider chassis management options to keep shipping costs low while meeting expected delivery dates.
Develop Strong Partnerships
Review your goals and identify key supply chain partners who can help you achieve them. The right partner can help you with your organization’s shared delivery networks and sustainability initiatives within your logistics strategy.
Review Customer Experiences
Review customer feedback and experience data and analyze the need for faster delivery and increased transparency in 2025. Consider flexible delivery windows, pickup points, or subscription models for recurring deliveries.
Manage Risk
Nobody likes to think about the worst-case scenario, but developing contingency plans for global disruptions, labor issues, weather, etc., can bring you peace of mind and enable you to respond quickly in a crisis. Consider cybersecurity to ensure that your logistics systems are fortified against impending attacks.
Just as you create your 2025 logistics strategy, we are now working with our customers to plan their upcoming year. If you would like us to be part of your conversation, reach out today to discuss your needs at [email protected] or call 1-888-209-3524.