In the fast-paced world of fashion and consumer goods, businesses are facing challenges such as cost control, economic and political uncertainties, sustainability and labor and inventory management in 2024. More than 300 survey participants shared their insights in the CGS BlueCherry® 2024 Supply Chain Trends & Technology Report, revealing top business trends, challenges and improvement priorities for the year.
The biggest concern in 2024 is uncertainty, with economic and political unpredictability expected to be a major supply chain challenge. Price/margin pressure has become the number one challenge, with reducing costs being seen as the most critical improvement priority for the year. Companies are focusing on strategies to improve efficiency and productivity, as well as investing in technology to streamline their operations from concept to consumer.
While there is a sense of optimism due to decreasing U.S. inflation rates, businesses still face challenges such as demand volatility and the need to prioritize sustainability and social responsibility. Despite these challenges, a majority of survey respondents are confident in their supply chain's ability to support their business objectives in 2024, with a focus on greater supply chain visibility and collaboration.
Digital transformation (DX) has emerged as a key improvement priority for 2024, with almost 40 percent of respondents considering it to be very important. DX is seen as essential to meeting customer expectations, increasing sales, improving efficiency and capturing business opportunities. Companies are focusing on end-to-end supply chain digitalization to overcome challenges and remain competitive in the ever-changing landscape of the fashion industry.
Overall, supply chain partners agree that embracing technology, automating processes, and digitally connecting operations are crucial for greater visibility, transparency, efficiency and cost control. It is essential for businesses to adapt to the uncertainties, challenges and opportunities that 2024 brings through digital transformation and collaboration with all stakeholders.
For more details and to benchmark your business against peers and competitors, download the free CGS BlueCherry® 2024 Supply Chain Trends & Technology Report.
