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DHL Logistics Trend Radar Echo: Resonating with Customer Feedback

DHL Freight Employee with Exoskeleton

For well over a decade, DHL customers, partners and employees have relied on our Logistics Trend Radar to identify future trends and developments. Logistics Trend Radar Echo now complements this strategic tool, capturing the perspectives of logistics professionals and providing unique, data-driven insights into how companies assess and leverage key trends.

A Compass for Industry Insiders

The DHL Innovation and Trend Research Team has been observing and analyzing the most important technological, social, and economic trends for the Logistics Trend Radar (LTR) over the past ten years. The LTR is updated every two years.

Using our customer-oriented and integrated analysis approach, we combine the perspectives of our customers and partners with those of our DHL employees. For the LTR, we supplement these findings with traditional research methods and assessments from renowned experts. To understand the advantages and challenges of specific applications, we implement proofs of concept and pilot projects in real supply chain environments.

To complement the valuable trend barometer that the LTR already provides, DHL has added the LTR Echo: a DHL customer survey. This puts the spotlight on customers as practical users. The LTR Echo reveals how trends influence companies’ operational business, strategic positioning, and future prospects. Which trends are the most important? Which entail special requirements and implementation difficulties? What is already going well?

Overview of Logistics Trends with High Priority

The Feedback from 2,500 Customers Paints a Clear Picture

The LTR Echo lends a voice to over 2,500 DHL customers and provides answers to questions about the future of logistics. For the first time, it supplements DHL’s trend research with regional and industry-specific perspectives on current logistics topics.

Who Was Surveyed?

The responses from the 2,500 supply chain experts who participated in the survey offer valuable industry insights. The survey covers all four regions of the DHL Innovation Centers: Europe, the Americas, Asia-Pacific, and the Middle East & Africa.

The focus is on the six industries specified by the LTR. This includes companies of all sizes, from one to over 100,000 employees, as well as all hierarchical levels.

  • Engineering & Manufacturing
  • Life Sciences & Healthcare
  • Technology
  • E-Retail and Fashion
  • Auto-Mobility
  • Energy

The Trend Clusters of the Logistics Trend Radar Echo

Eight trend clusters were identified for the LTR Echo that will be relevant to the future development of logistics.

  • Artificial Intelligence (AI)
  • Bionic Enhancements
  • Digital Backbone
  • ESG (Environmental, Social, Governance)
  • Internet of Things (IoT)
  • New Business Models
  • Packaging & Containers
  • Robotics
Overview of Trend Clusters of the Logistics Trends Radar Echo

Based on these clusters, we developed six interrelated questions for experts from the DHL customer pool. The questions focus on which cluster will likely have the greatest impact on the company and which trends within that cluster are the most relevant. The questionnaire supplements these topics with assessments of the challenges involved in responding to the trends and the time required for implementation within the company.

Key Takeaways from the Logistics Trend Radar Echo

Smart packaging, for example, plays a greater role in e-commerce than in the energy sector. That much is clear. However, despite each sector having its own priorities, the LTR Echo provides insights into the most significant trends across industries.

With 44 percent of all mentions, AI is the most important trend cluster for almost all sectors, followed by robotics. Only in the energy sector did robotics come out on top. Respondents expect AI to reshape core and ancillary operations, meaning that AI is likely to have a direct impact on efficiency, speed, and customer experience across all networks.

On the other hand, experts believe that the automation measure to be implemented next is robotics. It ranks second worldwide and is among the top three in all industries.

New business models, such as those involving revenue flexibility or platform selling, are of outstanding economic importance. The positive effects on the supply chain, though, will only be seen once greater efficiency, more sustainable processes, and a stronger digital foundation have been established.

Regarding deep tech, executives believe its transformative potential can only be realized once high data quality and regulatory guidelines for responsible use are in place.

Of course, industry-specific trends exist within each cluster, as identified by the experts. In AI, advanced analytics and generative AI are practically on par. This underscores the potential of a practical approach to scaling proven analytics and transitioning generative AI from pilot programs to everyday tasks. Next is mass personalization, offering benefits to customers.

The intersection of IoT and packaging technology is particularly promising for increasing efficiency and reducing costs, as evidenced by next-generation packaging and smart printables. In bionics, the focus is on human-centered developments, such as exoskeletons. However, the metaverse is also a high priority, with practical applications in training and remote support, for example. In the ESG area, decarbonization and vehicle electrification are top priorities.

Companies across all trend clusters are concerned with market requirements, improving operational efficiency, and gaining competitive advantages. In other words, they prioritize trends that directly impact economic results positively. Robotics tends to be more efficiency-oriented, whereas IoT technology is more market-oriented.

Logistics teams are very interested in next-generation packaging and smart printables because they are visible to customers and can be implemented quickly. AI and new business models are primarily associated with innovation opportunities. Bionic improvements and ESG also offer future economic potential by increasing employer attractiveness.

Costs and capacity determine the pace of implementation. Even with high levels of interest, limited resources and costs are the main obstacles to swift implementation across all sectors and most trend clusters. Merging the old with the new can also be difficult. AI, ESG, new business models, and robotics present the challenge of integrating new solutions into existing systems and everyday processes.

Poor data quality and rigid regulatory frameworks pose additional challenges, particularly in the areas of bionic enhancements, digital infrastructure, and smart packaging. Breakthroughs in these areas require sufficiently large amounts of high-quality data and solutions to regulatory restrictions.

AI and new business models are widely accepted. Companies identify clear opportunities for monetization and operational optimization once data, skills, and framework conditions are sufficiently developed. AI is gradually transitioning from trial operation to everyday use. Most industries expect that, within five years, there will be significantly fewer AI pilot projects and significantly more standard procedures in place. The auto-mobility, online retail & fashion, and technology sectors are making the fastest progress.

IoT and bionics also continue to develop, albeit at a slower pace. Implementation here also depends on prerequisites such as connectivity and interoperability. ESG factors are gaining importance in different industries to varying degrees. Engineering, manufacturing, life sciences & healthcare are making the fastest progress toward full implementation under stricter standards.

Infobox

The Logistics Trend Radar Echo in detail

Do you want more facts and information? A comprehensive presentation of the LTR Echo results is available here.

Logistical Challenges Are a Joint Task

At DHL Freight and throughout DHL, we keep our finger on the pulse of the time and listen to our customers. Innovations only take us further if they are customer-oriented. The LTR Echo is a clear expression of our commitment to innovation and customer focus. We compile customer feedback to gain a comprehensive understanding of which innovative trends are important and where difficulties lie. We share these insights with you so that we can identify and address opportunities and

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