Even though the BLS characterizes transportation as "the conveyance of passengers and cargo," it nevertheless demonstrates the industry's enormous magnitude.
Fremont, CA: Shipping, packaging, distributing, and other facets of supply chain management and logistics are all part of a massive industry. However, the sector has changed dramatically over the last few decades as a result of a variety of innovations.
Here are five fascinating facts regarding logistics and supply chains.
Supply Chain Management Software Is Huge — and Still Growing
Other countries' unemployment rates are significantly higher. India's logistics business, for example, already employs over 22 million people and is predicted to grow at a rate of around 7 percent per year.
According to a recent report, SCMS usage increased by 9 percent year over year, a significant annual change for an already big company. The global SCMS industry is anticipated to reach $22 billion by 2025. Given that logistics is predicted to be a $15.5 trillion sector by 2023, SCMS adoption is expected to skyrocket.
U.S. Online Retail Is Booming
Because many Americans currently purchase online, the number of internet shoppers in the United States isn't expanding as quickly as it is in other countries. However, Americans are purchasing more online than they have in the past.
Over 5 Million Are Employed in Transportation and Warehousing
According to the Bureau of Labor Statistics (BLS), over five million people work in transportation and warehousing in the United States alone. Even though the BLS characterizes transportation as "the conveyance of passengers and cargo," it nevertheless demonstrates the industry's enormous magnitude. The warehousing and storage industry employs over one million people.
Different Types of Logistics Exist
Party logistics or PLs represent a logistics company's breadth and variety of services. Third-party logistics is perhaps the most common (3PL). The shipper, or business, retains control of the supply chain in a 3PL arrangement, while the 3PL provider looks for methods to improve the supply chain's efficiency. Shipping and warehousing, among other things, are frequently handled by 3PLs.
Online Shoppers Keep Coming
The number of global online buyers will continue to climb as the internet spreads around the globe. According to one estimate, there would be over 2.14 billion internet shoppers in 2021. That's more than a quarter of the world's population.
The expanding number of customers will make shipping more difficult for suppliers, which is one of the reasons why supply chain logistics is predicted to continue to expand.