Moving With the Changing Logistics Trends

Alejandro Arellano Garcia is an expert in the supply chain and has 20 years of experience in the logistics field, working in different international logistics companies, as well as on the customer side, having the opportunity to live in countries such as Canada, Panama, Colombia, Costa Rica, and Venezuela.

He has led international projects for the opening of new markets in different countries and in different commercial fields, such as 3PL, cinema, clothing and electronics, achieving the correct and successful execution of the projects.

He is a graduate of the Autonomous University of Guadalajara, where he studied International Trade, has a Master\'s Degree in Senior Business Management, and several certifications in the supply chain.

He is currently the Director of Supply Chain at Grupo IB, a company dedicated to Fast Fashion Retail. In an interview, he discusses his views on the challenges faced by the logistics industry.

What are some of the main challenges and trends that have had an impact on the logistics industry lately?

For me, these are the main challenges and trends that have had an impact on the logistics industry include:

Challenges:

1. Labor Shortage: The lack of skilled workers in the sector has hampered operational efficiency and meeting the growing demand.

2. Constantly Evolving Technology: Adapting to new technologies, such as automation, artificial intelligence and blockchain, has been a challenge for logistics companies.

3. Sustainability and Environment: The pressure to reduce the carbon footprint has led to the need for greener solutions in transport and distribution.

4. Geopolitical instability: Changes in trade policies and international agreements can affect global logistics operations.

Trending:

1. Last mile and Fast Delivery: The focus on improving efficiency in delivering packages to the end customer has been a growing trend.

2. Reverse Logistics: Handling returns and properly managing used goods has become more relevant in e-commerce.

3. Big Data and Analytics: Collecting and analyzing data to optimize routes, inventories, and workflows has become a priority.

4. Collaboration and Synergies: The creation of alliances and collaborative networks between different industry players to improve efficiency and reduce costs.

What keeps you up at night when it comes to some of the major issues in the logistics industry?

Regarding the excessive use and pollution that occurs when increasing logistics services, I think we are thinking about how to have a fast and effective supply chain, but I think that the impact of pollution and use of non-renewable resources is not being considered by using more ships, planes, and transport. I think that there should be a development at the same time to avoid or reduce the impact of pollution to comply with the supply chain.

"The lack of skilled workers in the sector has hampered operational efficiency and meeting growing demand."

Can you tell us about the last project you worked on and what are some of the technological and process elements that you took advantage of to make the project successful?

We are working on automation in our distribution centers to achieve that logistics excellence, having effectiveness in all our processes for the reception, process and delivery to all our customers, without error managing to implement a distribution center with the latest technologies to increase the production capacity that currently has in them and thus be able to increase our reach and thus be able to supply more customers in the shortest possible time.

What are some of the technological trends that excite you for the future of the logistics industry?

Undoubtedly, the total automation of logistics processes, since that is where a differential will be achieved, given the challenges that the industry faces, the implementation of increasingly influential distribution centers, the controlled use of artificial intelligence that helps us to have increasingly effective metrics and thus reduce inventories and increase supply chains, managing to make them effective.  

How can budding and evolving companies contact you for suggestions to optimize their business?