Italian and European industry is facing a particularly complex period, both for reasons that have been lingering for some years, for example the infamous supply chain disruption, and for contingent reasons, due in part to reduced internal and external demand. In short, in 2024, European industry showed signs of slowing down, with declining industrial production and moderate economic growth. Can supply chain optimization help companies that identify with this complex picture? Before we find out, let’s learn more about the scenario.
According to Confindustria’s Congiuntura Flash¹ report, Italian industry contracted in 2024, influenced by weak demand, economic uncertainties and declining exports, as opposed to a growing Asian manufacturing market. Efficient supply chain management can enable companies to respond more effectively to the competition that is beginning to erode their revenues by reducing operating costs and improving customer service. The adoption of innovative strategies in supply chain management is therefore an important piece in restarting the system.
Five strategies for optimizing the supply chain in 2025
One thing is certain: 2025 will necessarily have to represent a step change, starting with supply chain management.
Global issues such as supply chain disruption can no longer take companies by surprise; they have become the new normal around which people were already reasoning a few years ago.
The adoption of innovative technologies, new operating methodologies and an increasing focus on sustainability will be the issues on which attention needs to be focused.
With this in mind, here are the main strategies that companies are implementing to achieve a more efficient, resilient and future-oriented supply chain.
Autonomous and artificial intelligence-based supply chains
The integration of artificial intelligence into supply chain operations enables the automation of key processes, for example, logistics, procurement and planning. AI analyzes large amounts of data in real time and uses it to optimize operational decisions and predict potential disruptions. The adoption of autonomous vehicles and robotics in warehouses improves operational efficiency and reduces labor-related costs.
Advanced use of data analytics for real-time insights
Implementing advanced data analytics tools enables the comprehensive visibility into supply chain operations needed to make fast, agile, data-driven decisions. Predictive analytics allow for anticipating demand trends, optimizing inventory levels and improving inventory management. An approach that allows you to identify inefficiencies and implement continuous improvements.
Adoption of sustainable practices and ESG compliance
Companies are also integrating sustainable practices into supply chain management, particularly with regard to reducing carbon emissions, minimizing waste, and ethical sourcing. Compliance with ESG standards originates both from an increasing focus on transparency and social responsibility and from the regulatory requirements to which various categories of companies must respond.
Nearshoring and localized production
To mitigate the risks associated with globally distributed supply chains, companies are moving production closer to strategic markets. Nearshoring and localized manufacturing increase flexibility and agility, enabling faster response to changing market conditions. This approach reduces dependence on distant suppliers and decreases lead times, improving supply chain resilience.
Customer centrality in the supply chain
Supply chains will increasingly be designed to deliver personalized experiences, with tailored products and faster delivery times. Omnichannel integration already ensures a consistent user experience across various sales channels. Direct-to-consumer (D2C) models enable companies to have greater control over brand and customer relationships for better satisfaction and loyalty.
SAP solutions for a resilient and efficient supply chain
To implement innovative strategies and optimize the supply chain, companies can take advantage of advanced digital solutions that offer tools to plan, monitor and manage every aspect of the supply chain. SAP technologies, with their ability to leverage data and integrate features such as artificial intelligence and real-time analytics, provide valuable support To pursue efficiency and sustainability goals.
Working with an experienced partner such as Regesta Group, an SAP Gold Partner, enables companies to tailor these solutions to their specific needs, accelerating the path to more agile, innovative and competitive supply chain management.
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Source ¹: Confindustria website
