Some organisations are leading the way in demonstrating how sustainable practices can drive greater efficiencies and returns. Uniqlo has focused strongly on reducing carbon emissions in manufacturing by using filtration technology and making polyester fibre from recycled plastic.
4. Technology holds the key
Investing in technology and innovation is key to meeting these resilience, e-commerce and sustainability challenges - and for keeping pace with the rapid changes in Asia.
Technology is revolutionising supply chain management. The Internet of Things (IoT), machine learning (ML), artificial intelligence (AI) and improvements in data analytics are helping businesses increase manufacturing productivity, improve logistics, bolster resilience and provide tailored customer experiences. Technologies such as blockchain can also increase transparency for businesses along their supply chain, as well as cut costs and reduce waste.
When navigating Asia’s complex, competitive and fast paced markets, Australian business needs to accelerate the uptake of such technologies or risk being left behind.
This is particularly challenging for small and medium business. Asialink Business’ survey revealed 27 per cent of medium business and just 13 per cent of small business are investing in AI for supply chains, compared with 42 per cent of big businesses.
As Australian businesses come out of the pandemic, however, addressing these challenges and investing in resilient and sustainable supply chains will be key to tapping growth opportunities in Asia’s rapidly evolving markets.
Competitors from other countries are not waiting – they are positioning themselves for success. Now is the time act.
Rob Law is the Director of Advisory & Insights at Asialink Business. He helps organisations of all sizes understand, plan for and expand into new markets across Asia.