This commentary appeared in the print edition of the Jan. 6, 2020, Journal of Commerce Annual Review and Outlook.
Distractions. There are so many distractions. Tariff wars, digital platform launches, buzzwords, economic uncertainty. This year has been a constant barrage of industry disruptions, geopolitical challenges and “shared-value opportunities.”
We have been facing uncertainty and drastic industry change on multiple fronts — from manufacturing partners in China being targeted and scrutinized on the crusade for a new trade deal and a global shift toward decarbonization to two years planning for a Brexit transition that has been endlessly postponed. Customers are increasingly concerned about the ingredients used, where their goods are sourced, who is making their products, and the overall impact on the environment. We find our supply chains battered by outdated service models, price fluctuations, and incoherent technology solutions.
Most shippers have spent 2019 educating and reassuring their customers, while creatively trying to ensure we remain their most trusted vendors. We are becoming extremely selective of our 3PL partners, demanding more services and attention, while pushing back on the increasing costs.
We cannot expect or assume that this industry will return to “normal” or even a state of consistency. Constant state of change is a reality that will need to be embraced.
What are some of the strategies that BCOs can utilize in this transitioning landscape? Spend time on building relationships; understand our customers’ needs; reward high-­quality performance; foster innovative thinking; use the most effective technology; audit for inefficiencies and compliance gaps; and collaborate creatively. Whether insourcing or outsourcing, having trusted, knowledgeable experts to support your business is a must.
The solution to distractions? Focus. Focus on your people and your purpose, to achieve success in 2020.