Managing extreme cost pressures top priority in D&L in 2025

BIRMINGHAM, UNITED KINGDOM, February 13, 2025 /EINPresswire.com/ -- Proactively tackling extreme pressures caused by rising costs and challenging trading conditions is the top priority for distribution and logistics businesses in 2025, new research shows.

As leaders focus on doing more with less, they are turning to digital tools to help them overcome the challenges posed by rising costs, with two thirds (63%) planning to upgrade their current systems this year. A third of these (34%) plan to invest in generative AI, topping the list of the types of technology that will flow into the sector this year. A third (29%) of leaders in the sector also say they will focus on operational software, 24% on digital twin models and 24% on electrification.

The findings are released today in the OneAdvanced Distribution and Logistics Trends Report 2025, which compiled the views of 194 senior leaders in the sector in the UK.

Anwen Robinson, Senior Vice President at OneAdvanced commented: “The focus on doing more with less and finding ways to make existing structures work harder aligns with a recurring theme for distributions and logistics professionals: getting a firm handle on rising expenses. The sector has been at the sharp end of challenges posed by Brexit, inflation and regulatory changes, all of which have made running a successful business in the sector that much harder.

“It’s no surprise to find that so many leaders in distribution and logistics organisations are proactively looking for solutions that will help them better balance the scales. Technology is one of the areas with the most promise, but it comes with a price tag and the cost implications of upgrading systems are a significant consideration. In fact, 44% of leaders we spoke to said that budget was their number one barrier to implementing new technology.”

While AI is the most common area of technology that leaders are looking to invest in this year, the fact that around a third are seeking to upgrade their operational systems indicates that improving the basics remains a priority.

Anwen added: “There’s a significant opportunity to use technology to aid the essential tasks of running a distribution or logistics business. A sizeable minority of leaders (24%) told us they were still using spreadsheets to manage skills and certifications – and one in 10 are still using manual records. This is a clear example of where simple, cost-effective and easy to deploy software can make a world of difference to productivity.”

Mrs Clare Wall
Firework PR
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