To figure out what’s in store for the logistics and handling industry, it’s essential to gather as much information as possible. The more info we have, the easier it is to see trends and patterns emerging, and possibly get ahead of the curve.
Unfortunately, Covid-19 and the resulting impact on global business has disrupted any chance of regular or steady information. Companies have had to change and adapt to the pandemic, almost on a monthly basis, rendering any kind of trend over the past three years in any industry as unreliable.
Was the change in a pattern due to the virus or was it always going to happen? Did Covid-19 simply speed up what was inevitable when it comes to consumer spending habits? Will things return to pre-covid levels?
Now the world is returning to normal again, we can see which statistics were growing trends and which were reactions to the pandemic. As we’re into the second half of the year, it’s easier to see where the logistics and handling industry is going and what the future holds.
Going green
Environmental sustainability is a real challenge for companies now, especially those who make it part of their branding. There’s only so much a business can do to be more “Green” before it turns profit to loss.
One way brands are reducing their carbon footprint is through their warehouse management.
Everything from biodegradable packaging to electric vehicles is now weapons in the fight against climate change, helping companies cut emissions, appease eco-conscious consumers, and fulfill their promises of greener business practices.
This trend is set to grow in the coming years as the public becomes more aware of environmental issues and demanding of corporate accountability.
Investment in staff
There’s been a lot of news coverage about the global lack of HGV drivers, but there is also a severe shortage of forklift operators.
This scarcity of drivers means that warehouses are not running at full operational capacity, resulting in a drop in productivity (and profits). A warehouse is just one link in the supply chain, so everything else along that chain is affected.
The trend now in the industry is to invest in staff. It’s a workers’ market at the moment, and warehouse managers need to offer the right incentives to attract the right people. We’re seeing a rise in salaries, benefits, and training opportunities for warehouse workers, and it’s not just forklift drivers warehouses are crying out for.
The industry has undergone a huge technological change in recent years, and staff with specialised skillsets are needed to operate the latest machines and equipment. Experts in Artificial Intelligence, big data, and automation are all on the shortage list.
Uptake of technologies
A trend that was on the rise long before Covid hit was warehouse automation. This trend showed no signs of stopping during the pandemic and looks set to continue at pace, with the staff shortage only driving the need for robotics and AI.
Increasing demand from online retailers, a growing shortage of labour and exciting technological advances are all playing a part in the uptake of warehouse automation. Warehouses are now looking at ways to optimize productivity using robotics, machine learning and Artificial Intelligence, investing in things like self-driving cars.
Delivery is a key area of technological optimisation, with the trend for companies to move towards last-mile and localised delivery continuing to rise. A more personalized experience for customers is seeing considerable investment, with the focus on solutions such as drones, cargo bikes and automated vehicles.
Do you recognise these trends?
If you’re in the logistics and handling industry, are any of the above trends looking familiar?
If not, then maybe you’re behind the curve.
Environmental sustainability, changes in consumer demands and technological developments are all at the forefront of industry trends. If these are indicators of the future, then we can expect to see greener products, more efficient warehouses, and tech-savvy employees in control of AI machinery.
Are you ready?
Here at Northern Forklifts, we can certainly help with the electric vehicles side of things. As a new generation of electric forklifts come through, they are easier to drive, have longer operating times, and have considerably lower running costs, which is why interest in them is sky-rocketing.
If you’re wondering if switching to electric forklifts is worth it, we covered everything you need to know in this blog post. Check it out, and if you have any questions, please don’t hesitate to contact us.