Global logistics and supply chain strategies for the 2020s : vital skills for the next generation

In the next decade, it will become even more critical to design the right logistics and supply chain strategies given potential challenging and disruptive economic, technological (i.e. automation), and sustainability developments. Economic developments such as the further growth of Asian markets increased political frictionacross the globe leading to a reversal of globalization (on- and sure-shoring) and strong interest in omnichannel retailing will all require managers to re-shape, refocus, and potentially re-invent their entire supply chains. New technologies such as the Internet of Things, digital manufacturing, or blockchain are emerging quickly and could provide competitive advantage to those companies that leverage the technologies smartly while managers that do not adopt and embrace change could be left behind. Last but perhaps most important for mankind, sustainability aspects such as low-carbon transportation, closed-loop supply chains, or socially responsible supply chain set-ups will become essential to operate successful in the future.All these aspects will affect global logistics and supply chains as a whole and also in different functional areas, such as air cargo, maritime logistics, or sourcing/ procurement. This book aims to dive into several of these functional topics to highlight the key developments in the next decade predicted by leading global experts in the field. Supply chains will be managed by a new generation of leaders that will need to be equipped with different skills and an innovative mindset that not only embraces but also works hand in hand with technology and algorithms. To prepare this next generation of supply chain leaders in a business school/universityenvironment (produce future proof graduates) as well as in the context of continuing professional development (enhance skill sets of current leaders), this book features contributions and key insights of globally leading scholars and senior industry experts. Foreword Preface Acknowledgments Contents Editors and Contributors The Future of Logistics and Supply Chain Management: Changing Skill Sets and Smart Career Choices 1 Introduction 2 Global Trends 2.1 Technological Breakthroughs 2.2 Climate and Resource Security 2.3 Changing Customer Requirements 2.4 Changing Ecosystems 3 Implications for Supply Chain Talents 3.1 Different Job Profiles 3.2 For Students: Learn to Learn 3.3 For Professionals: Life-Long Learning 4 Synthesis of This Book and Future Skill Requirements in the Various L&SCM Areas Management Perspective on What Does It Take to Succeed in Tomorrow ́s Supply Chain and Logistics Industry? 4.0 Social, Emotional, and Advanced Cognitive Skills 4.0 Digital and Technical Skills 4.0 Data Science and Mathematical Skills 4.0 Digital Security and Data Hygiene Management Perspective on the Vital Skills for SCM in the Future from a Headhunter Perspective 4.0 Three Hard Skills Analytical and Data-Related Skills Digital Project Implementation Skills across Different Areas of the Supply Chain International Exposure and End-to-End Experience 4.0 Three Soft Skills Presentation and Communication Skills Influencing Engagement Skills Change Enabler 4.0 Fundamental Skill Continuous Learning References The Impact on Supply Chain Networks of Shifting Demand and Supply Dynamics 1 Introduction 2 Supply-Side Shifts 2.1 Supply-Side Rebalancing 2.2 Next-Generation Manufacturing 2.3 Protectionism and Macro-Trends 2.4 Volatility of Inputs 2.5 Transport Economics areShifting 2.6 External Shocks Are Becoming More Frequent 2.7 Cybersecurity Risks 3 Demand-Side Shifts 3.1 Buying Patterns 3.2 Shifting Consumption 3.3 Volatility of Demand 3.4 Contribution to the Top Line 4 Impact on Supply Chain Networks 4.1 Widening of the Supply Base 4.2 Increase in `Local for Local ́ and Regional Production 4.3 More Use of Strategic Buffers 4.4 More Flexible Networks 4.5 Tools and Mindset Shifts 4.6 Visibility 4.7 A Parallel Universe of Supply Chain Management 5 Implications for the Skillsets Supply Chain Management Will Need in the Future 5.1 Heavy-Duty Analytics Is Core Business for the Future Supply Chain 5.2 Operations Research Skills-to Bring More `Science ́ to Bear 5.3 Leveraging the Financials 5.4 Digital Architecture 5.5 Cybersecurity Governance across the Chain 5.6 Cross-Functional Career Paths and Structures 5.7 Square Pegs/Square Roles 5.8 Creativity and Innovation 5.9 General Management Management Perspective on the Shifting Demand and Supply Dynamics Impacting Supply Chain Networks 5.9 Prior to COVID-19, were there any shifts in demand, or changing demand patterns, that were impacting ECCO ́s supply chain? 5.9 In the 10years prior to COVID-19, were there any significant shifts in your manufacturing footprint or sourcing policies? 5.9 Post-COVID-19, have your sourcing/manufacturing strategies changed or do you expect them to change? 5.9 Post-COVID-19 what do you expect to happen to the patterns of demand and to your channels? 5.9 Do you envisage any major changes to your global networks-from any of the above or other factors? 5.9 Thinking about ECCO ́s future network and supply chain strategy, what are the skills that will become/are becoming more imp... References AI in Logistics and Supply Chain Management 1 Introduction: Digital Logistics 2 Smart Logistics 2.1 Supervised Learning 2.2 Unsupervised Learning 2.3 Reinforcement Learning 2.4 Implementing Machine Learning Algorithms 3 Sustainable Logistics 4 Toward Autonomous Supply Chains? 5 The Human Aspect (Going Forward) Management Perspective on Data, Data, Data References How to Design Human-Machine Interaction in Next-Generation Supply Chain Planning 1 Introduction 2 Next-Generation Supply Chain Decision-Making 2.1 The Advancement of Machine Systems 2.2 The Role of the Humans 3 Challenges and Enablers in Human-Machine Interaction 3.1 Culture Change 3.2 Operational Level: Trust and Explainability 3.3 Strategic Level: Design and Control 4 Implications for Supply Chain Talents Management Perspective on the Future Role of Supply Chain Planners 4.0 Plan-Do-Check-Act 4.0 Pareto and Segmentation 4.0 Collaboration 4.0 Drive Decision-Making on ``One Plan ́ ́ 4.0 Building Trust References The Circular Economy and Green Supply Chains 1 Introduction 2 The Circular Economy 3 Green Supply Chain Management 4 Opportunities and Challenges for Circular Economy and Green Supply Chain Management 4.1 Technology 4.2 Organization 4.3 External 5 Logistics and Supply Chain Manager Skills for GSCM and CE 6 Conclusion Management Perspective on Green Supply Chains, Circular Economy, and the Need of Technology References Preparing Logistics for the Low-Carbon Economy 1 Introduction 2 Measuring Logistics Emissions 3 Setting Emission Reduction Targets for Logistics 4 Reviewing Logistics Decarbonisation Options 5 Upskilling Management for the Decarbonisation of Logistics Management Perspective on Preparing Logistics for the Low-Carbon Economy: A Practitioner ́s Perspective 5.0 Step 1. Where Are We Now 5.0 Step 2. Where Are We Going 5.0 Step 3. How Do We Get There 5.0 Step 4. What Do We Need References The Future of 3PLs 1 Introduction 2 What Is a 3PL? 3 The Current Competitive Landscape of 3PLs 4 Impact of Technological Advancements 4.1 Robotics and Automation 4.2 Digitalization 5 Impact of the VUCA Environment 6 Leadership and Management Skills for a Successful Future 7 Conclusions Management Perspective on Contributing to the Companies That Move the World References Air Cargo Logistics: The Dawning of a Golden Decade? 1 Introduction 2 The Post-COVID-19 Air Cargo Business ``New Normal ́ ́: Booming e-Commerce and Disruptions Galore? 3 New Players and New Business Models 4 Literature on the Future of Air Cargo 5 Air Cargo Trends and What They Mean for Capabilities and Required Skill Sets 6 Conclusions Management Perspective on Air Cargo Capabilities for the 2020: Enabling Connected, Efficient, Smart Solutions 6.0 Technology and Robotics 6.0 Big Data 6.0 Stakeholder Expectations References Maritime Logistics for the Next Decade: Challenges, Opportunities and Required Skills 1 Introduction 2 Maritime Logistics in Global Logistics and Supply Chains 2.1 Shipping as a Core Component of Maritime Logistics 2.2 Port as a Core Component of Maritime Logistics 3 Challenges in Global Logistics and Supply Chains 3.1 Global Economic and Political Unrest 3.2 Climate Change and Sustainability 3.3 Current and Future Cataclysmic Events 4 Challenges and Opportunities in Maritime Logistics 4.1 Disruptions 4.2 Labour Forces 4.3 Opportunities 5 Skills for the Future 5.1 Future Jobs in Maritime Logistics 5.2 Future Skills in Maritime Logistics 6 Concluding Remarks Management Perspective on the Transitional Decade for Maritime Logistics References Future Directions in City Logistics 1 Introduction 2 Urban Form and Liveability 3 Omnichannel Retail 4 Electric Vehicles 5 Circular Economy 6 Digital Supply Chain Security 7 Conclusions Management Perspective on the Future of City Logistics: A Professional Perspective References Recent Advances of Service Supply Chain Management: Roles of Logistics 1 Introduction 2 Literature Review 2.1 SOSCs 2.2 PSSCs 2.3 Others 3 Roles of Logistics and Industrial Practices 3.1 How Logistics Affects Services SCs 3.2 Research Skills Needed by Logistics Managers 4 Future Research Agenda 5 Conclusion Management Perspective on Skills for Tomorrow ́s Cruising Industry 5.0 Analytical and Data Science Skills 5.0 Emotional and Cognitive Skills 5.0 Digital and E-Commerce Skills 5.0 Product Development and Innovation Management References Competence Development, Learning and Change in Supply Chain Management 1 Introduction 2 Elements of SCM Competence Development 3 Understanding the Breadth and Depth of Processes 3.1 Learning and Leadership 4 Competence Development 5 Summary Management Perspective on Competence Development in Procurement Has Become Vital in Maersk and Ørsted 5.0 Flipping the Pyramid in Maersk: Automation Makes Procurement Strategic 5.0 Ørsted Focuses on Procurement Competencies 5.0 How We Identify Competencies 5.0 How Do We Work on Competency Development? 5.0 What Competencies Are We Focusing on Now? 5.0 Future Competencies in Focus References Startups in the Logistics Sector: Value Propositions and Potential Impact 1 Introduction 2 Background 2.1 LSPs and Innovation 2.2 Logistics Startups 2.3 Value Propositions 3 Categorizing Framework 3.1 Procedure 3.2 Findings 4 Logistics Startups ́ Potential Impact on LSPs 4.1 Procedure 4.2 Findings 5 Summary and Concluding Thoughts 5.1 Summary 5.2 Considerations for LSPs 5.3 Considerations for Logistics Startups 5.4 Skills of Logistics Startup Entrepreneurs vs. Logistics Corporates Management Perspective on Decoding the Logistics Startup Skill Set 5.4 Rejecting Base Assumptions 5.4 But First, Education 5.4 Multidisciplinary Skill Set 5.4 Data and No-Code References Warehousing 2030 1 Introduction 2 Warehouse Centralization and Scale 3 Warehousing Technologies 3.1 Warehouse Robotics: Shuttle Systems AVS/R Systems Puzzle-Based Storage Systems Robotic Mobile Fulfilment Systems Hybrid Shuttle/AMR Systems 3.2 Warehouse Cobots: AMR Systems 3.3 Fully Automated Order Picking 3.4 Other Robot Applications 4 Impact of Recent Trends 4.1 Safety 4.2 Sustainable Warehouses 4.3 IoT in the Warehouse 5 Human Factors 6 Conclusion Management Perspective on the Warehouses of the Future Will Be Automated and Sustainable References Future of Procurement 1 Introduction 2 Status Quo and Future of Procurement 2.1 Strategy, Goals, and Value Contribution 2.2 Procurement Organization 2.3 Digital Transformation and Technologies 2.4 Procurement Processes 2.5 The People Side of Procurement 3 Discussion and Outlook Management Perspective on the Future of Procurement References Agility in Supply Chain Planning and Execution 1 Introduction and Literature Review 2 Agility in Supply Chain Planning 3 Core Elements of Agile Supply Chain Planning 4 Agility in the Times of COVID-19 5 The Way Forward Management Perspective on Supply Chain Agility Needs in the Next Decade References Risk-Driven Supply Chain Design: Options and Trade-Offs in Complex Environments 1 Introduction 2 A Changing Context and Environment 3 Complexity and Risk in Supply Chain Design 4 Conceptual and Methodological Framework 4.1 Concept 4.2 Decision Framework 4.3 Mini-Cases: Feasible Commodity Supply Chains (Colombia) 5 Conclusions Management Perspective on Risk-Driven Supply Chain Design: Options and Trade-Offs in Complex Environments References Supply Chain Transparency Using Blockchain: Benefits, Challenges, and Examples 1 Introduction 2 Blockchain 3 Benefits and Challenges in Supply Chains 3.1 Benefits 3.2 Challenges 4 Examples of Applications 4.1 Cost Reduction Through Process Efficiency 4.2 Profit Increase Through Supply Chain Optimization 4.3 New and Innovative Use Cases 5 Discussion Management Perspective on Blockchain Powered ``Sustainable Marketplace ́ ́ References PI Meets Blockchain 1 Introduction to the PI 2 Blockchain Architecture for PI Based on Ant Colony Optimization 3 Technical Aspects of Blockchains for PI 4 Conclusion Management Perspective on PI Meets Blockchain: Insights from the Top Management References Collaboration in Humanitarian Operations in the Context of the COVID-19 Pandemic 1 Humanitarian Operations 2 Collaboration in Humanitarian Operations 2.1 Overview 2.2 Types of Collaboration 2.3 The United Nations Model of Collaboration 2.4 Collaboration Along the Humanitarian SCOR Model Collaboration in Planning (PLAN) Collaboration in Sourcing and Funding (RAISE and SOURCE) Collaboration in Storage (STORE) Collaboration in Aid Delivery (DELIVER) 3 Learnings from the COVID-19 Pandemic About Collaboration in HOs 3.1 Surge and Shift in Humanitarian Need Uncertainty of Donations for Humanitarian Aid Restrictions for International Transport and Logistics Shortage of Essential Supplies Management Perspective on Collaboration in Humanitarian Logistics References Logistics Challenges and Opportunities in Africa in the 2020s 1 Introduction 2 Issues Affecting Trade in and with Africa 3 Logistics Developments in Africa 4 Future Logistics Skills Requirements 5 Conclusion Management Perspective on Challenges and Opportunities for Logistics in Africa in the 2020s 5.0 A Logistics Practitioner ́s Perspective References "Logistics and supply chain management is facing disruptive economic, technological and climate change developments that require new strategies. New technologies such as the Internet-of-Things, digital manufacturing or blockchain are emerging quickly and could provide competitive advantage to those companies that leverage the technologies smartly while managers that do not adopt and embrace change could be left behind. Last but perhaps most important for mankind, sustainability aspects such as low-carbon transportation, closed loop supply chains or socially-responsible supply chain setups will become essential to operate successfully in the future. All these aspects will affect logistics and supply chains as a whole as well as different functional areas such as air cargo, maritime logistics or sourcing/procurement. This book aims to dive into several of these functional topics to highlight the key developments in the next decade predicted by leading global experts in the field. It features contributions and key insights of globally leading scholars and senior industry experts. Their forward-looking perspectives on the anticipated trends are aimed at informing the reader about how logistics and supply chain management will evolve in the next decade and which academic qualities and skills will be required to succeed in the "new normal" environment that will be characterized by volatile and increasingly disrupted business eco-systems. Future scenarios are envisaged to provide both practitioners and students with insights that will help them to adapt and succeed in a fast changing world."--Publisher marketing