CARGOCONNECT-OCTOBER2024 - Flipbook - Page 43
often criticised for its ine昀케ciencies and high costs,
stands to benefit immensely from technological
adoption. Currently, logistics costs in India account for
13-15% of the GDP, compared to 8-10% in developed
countries like the US and Germany. This signi昀椀cant
cost disadvantage hampers India’s global competitiveness, particularly in manufacturing and exports.
Technology can play a pivotal role in reducing these
costs by streamlining operations, enhancing visibility,
and enabling data-driven decision-making.
A critical factor driving the need for technology
in the supply chain is the rising consumer expectations for speed, convenience, and transparency.
The proliferation of e-commerce and same-day
delivery services has raised the bar for supply chain
performance. Consumers now demand real-time
tracking, faster deliveries, and seamless returns
processes, which are di昀케cult to achieve without robust
technological infrastructure. As India’s consumer
base grows and becomes more digitally savvy, the
pressure on supply chains to meet these expectations
will only intensify. Technology, therefore, is not just
a tool for e昀케ciency but a means to enhance customer
experience and loyalty.
Highlighting the crucial role of technology in the
modern supply chain landscape, Himanshu Maloo,
VP– Supply Chain Planning and Logistics at Diageo,
during a panel discussion in ECOMCONNECT 2024,
explained, “Leveraging technology is indispensable.”
“It provides the necessary agility and visibility across
the supply chain, enabling swift decision-making and
customisation to meet evolving consumer demands. In
today’s rapidly changing landscape, where consumer
expectations are constantly shifting, having the right
technology in place allows businesses to stay ahead
of the curve, responding promptly to market needs.”
He further emphasised, “As a business leader
navigating the fast-paced e-commerce supply chain
environment, focussing on these aspects ensures
resilience and competitiveness in meeting current and
future challenges e昀昀ectively. Technology empowers
us to optimise operations, reduce ine昀케ciencies, and
enhance our ability to adapt to speci昀椀c consumer
preferences. This proactive approach is essential
for sustaining long-term success in a dynamic and
increasingly competitive market.”
Most signi昀椀cantly, the pandemic crisis has underscored the importance of a resilient and 昀氀exible supply
chain. The disruption caused by lockdowns, labour
shortages, and transportation bottlenecks revealed
the vulnerabilities of traditional supply chain models.
As businesses pivoted to digital solutions to navigate
CARGOCONNECT OCTOBER 2024 | 43
