What Are the Challenges in Logistics and Supply Chain Management?
Businesses face several challenges in logistics and supply chain management, including:
Demand Variability: Fluctuations in customer demand can disrupt supply chain operations and lead to stockouts or excess inventory. Globalization: Managing international logistics involves complexities such as customs regulations, tariffs, and longer lead times. Technology Integration: Implementing and integrating advanced technologies such as AI, IoT, and blockchain can be challenging but necessary for optimizing supply chain operations. Supplier Reliability: Dependence on suppliers for raw materials and components requires strong relationships and contingency planning to mitigate risks. Cost Management: Balancing cost reduction with service quality and efficiency is a constant challenge for businesses.