State of Supply Chain - LMA Consulting Group, Inc.

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State of Supply Chain - LMA Consulting Group, Inc.
LMA Consulting Group
A top consultant worldwide and ranked 16 SAPs
Supply Chain Influencers
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Introduction
Weve attended several conferences, worked with
clients, and collaborated with colleagues and
trusted advisors related to e-commerce,
logistics, manufacturing, and the supply chain,
and our takeaways arent telling a good story.
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Bullwhip Effect/ Roller Coaster Ride
The supply chain remains out of alignment,
spurring further disruptions as companies try to
figure out how to get the right products to the
right place at the right time while not losing
their shirts in terms of profitability and cash
flow.
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E-commerce is Insane
E-commerce is expected to grow to 26 of retail
sales by 2025 and is already overwhelming
transportation/ last mile, warehousing (no space
is available), labor and/or automation needs (as
it is far harder to ship pieces than boxes), etc
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Gas Prices
Not only is inflation running rampant, but
increasing gas prices are driving truck drivers
out of business. In the last two days, Ive heard
from multiple sources that truck drivers are
hanging up their hats especially those supporting
the agriculture industry as they cannot stay in
business with the price increases.
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