There has never been a greater need for accurate consumer electronics supply chain management.
The product life cycles for consumer electronics are notoriously short. No sooner has a company brought new technology to market than a more impressive innovation replaces it.
According to the McKinsey Technology Trends Outlook 2024 report, the pace of technology innovation has been remarkable.
The report states that, throughout 2023 and 2024, the size of the prompts that large language models can process, known as ‘context windows’, spiked from 100 000 to two million tokens. This is roughly the difference between adding one research paper to a model prompt and adding about 20 novels.
The Covid-19 years also accelerated the advancement of technology at an incredible rate.
Today, we have technology like the Pan African Global Atmosphere weather model that can digest data in 10 seconds, which previously took 10 hours to analyse.
There is the M-Pesa finance system that promotes financial inclusion and addresses the needs of a substantial unbanked segment. Whatever technology is out there must be brought to the market as soon as possible before it becomes obsolete.
While South Africa is no stranger to the electronic consumer market, it faces challenges like electricity shortages and substandard port infrastructure. Just recently, the South African Association of Freight Forwarders/Business Unity South Africa cargo report for November 24 showed extensive operational delays at Durban and Richards Bay ports due to equipment breakdowns.
What has become patently clear is that every stakeholder within the consumer electronics supply chain is seeking the expertise of specialists to circumvent these challenges and bring products to market as soon as possible.
Entities that can collect and return returnable shipments are also in great demand.
A high value is placed on logistics companies offering manufacturers and sellers organisational relationships, robust logistics resource capabilities such as superior warehousing, cost optimisation in transport management, inventory, reverse logistics, vendor and supplier management, technology adoption, sustainability, and continuous improvement initiatives.
Logistics companies should be able to offer easy transactions with transparent pricing and fees, fast and reliable delivery options, responsive customer service, and easy access to product information.
They also need to exhibit high standards of quality management to ensure proper handling and packaging, effective inventory management practices, quality control checks, efficient order processing and supply chain visibility, among others.
Furthermore, these companies must comply with product safety and hazardous material handling regulations, while it is also crucial that they are equipped to handle security at all levels. Cargo theft is a significant issue in South Africa, and criminals often target electronic and high-value goods.
