E-commerce was changing the supply chain landscape well before the Covid-19 pandemic hit, but the turbocharged growth pace of online business in the past year has created what may best be described as the “newCommerce” supply chain, according to Bryan Jensen, chairman of supply chain consulting firm St. Onge Company.
Jensen discussed the effect of e-commerce on network, facility design, and real estate strategies in a special presentation during the ProMatDX conference Wednesday, emphasizing where we were before the pandemic hit, where we are now, and what’s ahead when it comes to putting the systems in place to handle changing customer demands and complex last-mile delivery needs—especially in the new, post-Covid recovery period. This era of “new” commerce is having considerable effects on:
- Equipment and systems inside the facility
- Logistics networks and facility equipment design
- The demands for, and the demands of, the buildings themselves.
Top considerations moving forward, according to Jensen, include: The growing need for automation inside the facility and a closer look at how you design your network to optimize fulfillment and delivery. He added that assessing these risks is increasingly tricky as e-commerce looks to be leveling off in the wake of the pandemic, but still remaining at all-time high levels.
ProMatDX 2021 takes place online April 12-16.
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