The ability to manage change has become an essential part of improving supply chain operations. It helps organizations support collaboration, deploy new technology, and adapt to internal and external market pressures. Shippers (61%) and 3PLs (73%) say the need for supply chain change management is either critical or significant.
Customer demands, economic factors and technological advancements are among the top drivers of change in shippers’ and 3PLs’ operations. The most-identified area in need of change is supply chain visibility, with 69% of shippers and 68% of 3PLs citing it. Technology, planning and relationships also rank highly.
A structured change management process can reduce resistance to change, improve communication and increase the likelihood of success. Among respondents, 58% of shippers and 76% of 3PLs report using a change management framework. Although both shippers and 3PLs most frequently cite the McKinsey 7-S and the ADKAR change management models, 36% of shippers and 29% of 3PLs use an in-house proprietary system.
Respondents also report varying degrees of receptivity to change. About one-fourth of both shippers and 3PLs say they are extremely receptive to change. Meanwhile, 45% of shippers and 53% of 3PLs say their organizations are moderately receptive to change.
Shippers are committed to the success of the broader, end-to-end (E2E) supply chain and recognize the need for alignment among multiple supply chain participants to create value for their end-user customers and consumers. Most shippers (64%) say their 3PLs share their commitment to the E2E concept, and 77% agree their 3PLs are enthusiastic about joint efforts relating to change management.