Warehouse Management Trend Shaped By Optimistic Outlook

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Just a little less than a year ago, Bevnet, a leader in beverage industry news, reported nearly $2.2  billion was expected to be poured into warehouses and distribution centers across North America. Large corporations like Sysco and Target were expected to lead the charge as new market demands and a need to improve logistics were anticipated to spur extensive warehouse growth through expansions and new construction.

Fast forward one year later: Food Logistics is reporting that following MODEX 2012, that sense of optimism is expanding. The downturn in the global economy has put many an industry through an operational stress test that, for quite a long while, led to companies keeping expenditures low as they waited out the economy. Despite the reduction in spending, warehouse management system deployments have not slowed as industries recognized the need to try to secure their competitive edge while lowering operational and logistical costs where possible.

The rise of cloud computing has certainly made its mark, as companies concerned with investing too deeply into IT and on-premise solutions have turned to software-as-a-service to fill the gap. SaaS subscriptions have become an attractive option for companies looking to maintain a lean, agile business strategy without sacrificing operational efficiency. With logistics and supply chain management applications like warehouse managementinventory control and transportation management all accessible through inexpensive SaaS solutions, more businesses are looking to see what cloud computing might be able to offer.

Certainly, it’s nice to finally hear that companies are beginning to feel cautiously optimistic about the future. Here’s hoping that 2013 will back up the optimism with positive growth and an even stronger economic outlook.

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