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Are Supply Chain Issues Also Affecting The Service Sector?

By November 19, 2021March 14th, 2024No Comments
Supply Chain Outsourcing

During 2020-21, the service sector accounted for 76.89% of GDP in the United States. The service sector has become a broad category in the economy, with financial services, entertainment, media, transportation, and technology as its components.

Due to its criticality, the industry requires frameworks, performance measures, and strategies for the supply chain. 

Issues in the Supply Chain System

The global economy has started to emerge from the effects of the pandemic, from disruption to global supply chains with the trucking and logistics companies. 

  • The rapid spread of the virus prompted the shutdown of companies worldwide due to low consumer demand and industrial activity. On the contrary, demand soared when lockdowns lifted, disrupting supply chains.

Supply Chain issues impacting Service Sector

An efficient supply chain is the lifeline of every sector in the economy. The following are the common supply chain issues affecting the service sector:  

  • Talent gaps across the supply chain
    The trucking industry is going through a shortage of drivers. Big names like Walmart and Amazon have to face delays in delivery due to such shortages. 92% of the trucking companies in the US experienced that truck driver wages are the biggest challenge in logistics. Quality driver retention is an issue in the supply chain’s component trucking. 

ARDEM Solution: Using data extraction and mining services, you can transform data into actionable insight. It helps find the best wages and other conditions to retain a quality workforce.

  • Operational Dependency on the Human Workforce
    In the era of autonomous trucks – still, most companies are dependent on the human workforce for supply chain operations. Recently, Walmart started using fully autonomous trucking for higher efficiency. 

ARDEM SOLUTION: Document Conversion and Processing 
Logistics paperwork is required for freight bills, bill of lading, load confirmation statements, etc. You can make it high-speed and cost-efficient using technology with ARDEM, like optical character recognition (OCR) technology, machine learning, and advanced automation.

  • Increased cost
    A rise in freight bills is among the top issues in the supply chain faced by trucking companies. Supply chain operations are expensive due to high freight bills and pressuring sales volumes (more shipments, more freight bills). 

ARDEM Solution: Automation is a solution for effective and cost-efficient supply chain operations. You can automate data entry to deal with the increased volume of data with more shipments, more freight bills, and more order processing.  

  • Increased Stakeholder Expectations 
    A disrupted supply chain increases the cost of business operations, negatively affecting business profits and sustainability on the whole.  

ARDEM SolutionYou need to be extra careful when entering supply chain data. Even minor errors can cause a delay in shipment. The bill can get rejected, and it may affect the entire order. With ARDEM, you can outsource data entry systems, ensuring the highest possible accuracy. 

  • Changing Consumer Behaviors 
    Due to a lack of flexibility in the supply chain system, it is hard to meet customer demands for personalization and customization. 

ARDEM Solution:  ARDEM’s data entry solutions can eliminate errors and any chance of creating duplicate bills while processing your data. Consumer behavior data can be analyzed precisely once the entry has been done accurately. Supply can be adjusted accordingly to meet consumer demand. 

  • Information Flow Management 
    A service supply chain includes the manufacturer, suppliers, warehouses, transporters, retailers, directly or indirectly, and customers themselves. It is a hectic task to manage the information flow in logistics.  

ARDEM Solution: With ARDEM, you can access cloud workspace with the latest and strict security protocols. Each user has a secure log-in protocol. Assigned authorities can drag and drop work documents, share files, deliver data for processing securely for better flow of information. The chat function allows describing the work and following up on issues. 

The industry is dealing with immense changes like new market entrants, changes in customer expectations, and digital transformation. Companies need to look beyond traditional resources and tools for supply chain management to solve these issues, maintain profitability, and stay ahead in the industry competition. You can take advantage of ARDEM’s 20+ years of expertise. 

For more information, please reach out to us at or call us at 908-359-2600.