Covid-Era Investments in Tech and Supply Chain Poised to Benefit Businesses Worldwide
The latest survey by DP World, conducted in collaboration with Economist Impact, sheds light on the pivotal role of technology and supply chain enhancements made during the Covid-19 era. The findings, detailed in the ‘Trade In Transition’ report, offer a promising outlook for global businesses amidst a landscape of uncertainty.
Key Insights from the Survey
- The survey underscores the significant potential returns on investments in technology and supply chain improvements made during the pandemic.
- Sultan Ahmed bin Sulayem, DP World Group’s Chairman and CEO, stresses the need for governmental support in providing stability and easing trade friction. This includes tariff reductions and embracing technological advancements like digitalization, automation, and artificial intelligence (AI).
Shifting Trade and Supply Chain Strategies
- The survey, in its fourth annual edition, collected opinions from trade experts and senior corporate leaders across various regions and sectors.
- It revealed that over a third of the companies are considering ‘friend-shoring’ to reshape trade and supply chain operations, while 32% are leaning towards creating parallel or ‘dual sourcing’ supply chains.
- A significant 25%+ of businesses are contemplating reducing their supplier base, a notable increase from last year.
The Surge in AI and Digital Adoption
- AI’s role in supply chain operations is more pronounced than ever, with 98% of executives implementing AI in at least one aspect of their supply chain management.
- AI applications range from cost reduction in trade operations to enhanced resource planning and inventory management.
Conclusion Therefore, the ‘Trade In Transition’ survey by DP World paints an optimistic picture for global businesses that have invested in technology and supply chain during challenging times. These strategic moves are not just survival tactics but are positioning companies for robust growth in the evolving global trade arena.
