Following another year of economic challenges, 2010 was a year of organizational reassessment and restructuring for the freight forwarding and logistic industry. With the dramatic highs and lows of the past couple of years seemingly over, logistics companies now are redefining long-term management processes to meet continually global compliance regulations and trading partner requirements. New strategic outlooks will also better position freight forwarders to ensure sustainability and growth as the global supply chain recovers.
In 2011, expect companies to focus on the implementation of automated technologies that integrate their business processes into an operating platform that can enhance and adapt operational demands, with substantial metrics, to support logistics performance.
Many trading partners and government entities also are now requiring electronic data submission for freight movement. Achieving this management goal will require logistics service providers to develop strategies that reduce risk while meeting continually growing requirements through IT automation that integrates all of their operating procedures into a single platform, eliminating much of the inefficiencies and risk of previous years.
The one bright spot resulting from the global financial crisis is that companies have learned to operate smarter and leaner than ever. The key is to apply this strict discipline as the market rebounds, with the goal being increased profitability and growth verses survival. Using flexible and responsive IT-based approaches with innovative business strategies will help meet evolving market dynamics and new business models, and will enable more responsive working relationships with customers and vendors to meet market demands.
Operating lean and smart will be the business model for 2011 and beyond.