What: Retail Dive looks at the 3 top challenges that department stores, among other, will have to face in the coming year.

Why it is important: It’s all about dealing with people (or lack of people), costs, in an omnichannel context.

In 2024, the global supply chain faces major challenges, including:

1. Labor Shortages: Triggered by the pandemic, there's a significant labor shortage in logistics and transportation. To address this, leaders are turning to automation, workforce development programs, and competitive compensation packages.
2. Rising Costs: Inflation and other factors are increasing costs, impacting profitability. Automation and data analytics can help businesses become more efficient, reduce costs, and improve customer service.
3. Omnichannel Retail: Consumers now expect a unified buying experience across all platforms. To meet this, retailers need integrated systems, real-time inventory tracking, and consistent services across all channels. Automation and technology investments can streamline operations in this regard.

For supply chain leaders to remain ahead, they should invest in automation, use data analytics, maintain strong partner relationships, remain adaptable, and stay informed about industry trends. Leveraging cloud-based solutions can help automate and track goods movement. By addressing these challenges and embracing technology, supply chain leaders can build stronger and more adaptable operations for the future.

Top 3 supply chain challenges for retailers in 2024