7 Major Supply Chain Trends in 2024

Supply chains are critical to our modern society and economy, but they also tend to be extremely complex to manage. As technology, geopolitics, and climate change continue to transform our world, the importance of building resilient supply chains helmed by agile professionals is more important than ever.

In this article, we'll discuss seven supply chain trends you can expect to encounter in 2024, along with recommended courses that can help you build the skills you'll need to maneuver them effectively. If you're interested in a career in supply chain management, consider enrolling in Rutgers University's Supply Chain Management Specialization, where you'll learn about our logistics, operations, planning, sourcing, and strategy.

7 Trends in Supply Chain Management for 2024

Whether you're an aspiring professional or a logistics leader, you can expect to face numerous changes and challenges in the field this year. Here are seven of the top trends that supply chain leaders and professionals should expect in 2024.

1. AI will be integrated into more workflows and supply chains

Supply chains will continue adopting AI technologies thanks to advancements like , which can empower logistics professionals to make the most informed decisions possible with up-to-date insights swiftly deduced from real-time data. 

The benefits of AI integration in the logistics sector have already been well-established. According to Research and Markets, AI-equipped supply chains are "over 67% more effective with reduced risk and lower overall costs" than traditional systems [1]. These findings are supported by a 2022 report from McKinsey & Company, which stated that autonomous supply chain planning could increase revenue by up to four percent, decrease costs by up to 10 percent, and reduce inventory by as much as 20 percent [2]. The logistics industry is keen to capture these benefits over the next few years. As a result, the market size for AI in supply chains is projected to reach $41.23 billion by 2030, up from just $3.2 billion in 2022 [3].

This means that supply chain professionals should consider AI competency a critical job skill to develop in the coming years, particularly as more organizations integrate the technology exponentially throughout the next decade.

• Learn what generative AI is and how it works, common use cases, and what this technology can and cannot do with DeepLearning.AI's Generative AI for Everyone.

2. Data will continue to play a critical role.

Data is the foundation of the modern . By granting logistics providers both a macro- and micro-level view of their logistics operations, big data is the critical component that allows to effectively diagnose and resolve costly inefficiencies, rapidly respond to unforeseen circumstances, and optimize a supply chain's overall performance.

The continuing importance of data to the logistics industry today means that supply chain analytics will be as important as ever. After all, while novel technologies like can provide professionals with detailed data in real-time, it's data analytics that transforms this information into actionable insights. Furthermore, providers wishing to outperform their competitors with newly integrated artificial intelligence technology will need access to timely, high-quality data and a team of professionals capable of handling it.  

Leaders and professionals in the field should expect the role of analytics to grow in the coming years. For example, research from Markets and Markets projects that the market size for supply chain analytics will reach $13.5 billion by 2027, or nearly triple its 2022 valuation of $5.2 billion [4]. Those looking to future-proof their careers or organizations might benefit from developing their grasp of data analysis, data management, and cloud computing. 

• Learn to use data and the current status of expenses and profitability to understand the impact of operations, savings realization, and future outlook with Unilever's Supply Chain Data Analyst Professional Certificate.

3. Organizations will aim for faster NPI to stay competitive.

For many businesses, the time it takes to bring their product to market is the difference between years-long success, floundering performance, or untimely collapse. According to a 2019 study from LNS Research, companies who entered the market first and second received 40 percent and 33 percent market shares, respectively, and that impact can be long-lasting [5]. 

Keeping this in mind, many organizations will likely seek to streamline their new product introduction (NPI) programs over the next year to establish their competitive advantage in the marketplace. A key component of these accelerated programs will be GenAI, which can quickly analyze large amounts of market research and offer insights in a fraction of the time it would take a human. And when one organization speeds up its NPI program, its competitors will have to follow suit. Inevitably, the advantage will become the norm. 

The logistics industry must match these increased NPI speeds to ensure they can meet organizations' needs. Leaders should expect supply chain resilience, agility, and efficiency to be top of mind in the coming months. 

• Learn how to analyze a company's supply chain and solve business problems in a realistic setting with Rutgers University's Supply Chain Excellence Specialization.

4. Digital skills will become more important.

As entire supply chains undergo , the need for professionals capable of working confidently with data and new technology like AI grows.

The World Economic Forum's Future of Jobs Report 2023 notes that more than 75 percent of surveyed companies are looking to adopt "big data, cloud computing, and AI" features over the next five years [6]. The report also ranks technology literacy as the third fastest-growing skill among employers, just behind creative and analytical thinking – the core problem-solving competencies needed to maneuver a constantly shifting technological landscape and global marketplace [6]. 

Supply chain leaders wanting to optimize their workforce's productivity with these new tools might consider building their team's digital skill set with internal training programs. Similarly, professionals in the field are likely to ensure their competitiveness in the industry by strengthening the data, cloud computing, and AI skills that will be integral to many businesses in the coming years.  

• Gain a strong foundation for how businesses use data, machine learning (ML), and artificial intelligence (AI) to transform their business models with the Google Digital Transformation Using AI/ML with Google Cloud Specialization.

5. Risk management will be vital to maneuver geopolitical upheaval.

The logistics industry is no stranger to large-scale upheavals, including economic, political, geographical, environmental, or technological. And 2024 is poised to be a year where plays a vital role in ensuring organizational success. 

Supply chain managers will be expected to maneuver direct and knock-on effects caused by global conflicts, particularly in Ukraine and the Middle East. Other causes for concern include the effects of environmental changes on global trade routes like the Panama Canal and delivery delays caused by the ongoing US-Mexico border crisis, among many other things [7]. 

Rather than hoping for the best, leaders and professionals should make contingency plans instead. Predictable unpredictably is becoming the norm, so those wanting to make the most of 2024 should expect to focus on risk management to mitigate disruptions and build the resilience that businesses require from logistics providers. 

• Learn how to become a strategic change-maker capable of enabling your organization to compete into the future with Macquarie University's Strategising: Management for Global Competitive Advantage Specialization.

6. More focus will be paid to ESG efforts, traceability, and transparency.

Environmental sustainability is increasingly important to consumers and regulators alike. The environment is a key concern for a majority of US consumers, who fall into one of three well-defined market segments: curious consumers or those who purchase eco-friendly products but are not actively concerned about the environment (11%); conscious nonconsumers or those who are concerned about the environment but don't purchase eco-friendly products (32%); and conscious consumers or those who consider a product's environmental credentials before making a purchase (24%) [8].

Environmental concerns are also shared by regulators, who increasingly ask the logistics industry to be held accountable for their environmental impact. For example, while Japan and the UK already require organizations to disclose their climate-related risks and some of their greenhouse gas emissions, the European Union (EU) is set to do the same this year – and the US is likely to follow in their footsteps. Furthermore, the EU's climate laws require member nations to more than halve their greenhouse gas emissions by 2030 with a view to climate neutrality by 2050 [9]. 

But, there's one hitch: many supply chain operations don't reflect consumer concerns and aren't prepared for these regulatory shifts. In their State of Supply Chain Sustainability 2023 report, MIT researchers found that about 65 percent of respondents didn't currently have a "net-zero carbon emissions goal," and only six percent claimed a "year-over-year increase in organizational commitment to climate change mitigation" [10]. That means more pressure will likely be put on logistics industry players to start building toward supply chain visibility, transparency, and environmental impact this year, particularly as the regulatory clock ticks. 

• Learn key concepts and tools of sustainable businesses and how to be an effective change agent in the University of Colorado Boulder's Become a Sustainable Business Change Agent Specialization.

7. Organizations will invest more in new systems and workforce training

If there's one key conclusion from the aforementioned trends, it's that logistics industry leaders will likely have to increase their investment in new systems and employee training to ensure competitiveness in the coming years. Although implementing novel technology like generative AI and cloud computing could set the stage for greater gains in 2024, lacking the talent capable of handling it could impair those potential positives.  

Whether you're a supply chain manager, analyst, or corporate leader, you'll likely find that this year (and probably the next) is one where investing in critical systems and job skills will be essential to ensuring success further down the line. 

• Learn how to select and evaluate suppliers, implement appropriate contracts, and mitigate risk with Rutgers University's Global Procurement and Sourcing Specialization.

Build your supply-chain skills on Coursera

As the world continues to transform, so, too, does the supply chain industry. Build and strengthen your knowledge about supply chain management with programs on Coursera.

• To get started: In Unilever's Supply Chain Data Analyst Professional Certificate, you'll build foundational skills using and implementing data analytics in supply chains with more than 20 unique assignments focused on building real-world experience. 

• To advance: Explore Rutgers’ Supply Chain Excellent Specialization, where you'll learn to analyze a company's supply chain and solve business problems in realistic settings, helping you become an expert in the global end-to-end network of customers and suppliers.