AI Poised to Transform Supply Chain: Insights from the 2025 Third-Party Logistics Study
The 2025 Third-Party Logistics Study has been unveiled at the Council of Supply Chain Management Professionals (CSCMP) EDGE, shedding light on transformative trends shaping the logistics industry. This comprehensive research initiative, now in its 29th year, is led by Dr. C. John Langley of Penn State University, in collaboration with NTT DATA and Penske Logistics. The report, themed “Navigating Change,” explores the critical dynamics driving the supply chain sector, from change management practices to the pivotal role of artificial intelligence (AI).
Change Management: A Pillar for Success
A key takeaway from the study is the consensus on the importance of change management in maintaining a competitive edge. An overwhelming majority of shippers (61%) and third-party logistics providers (3PLs) (73%) consider change management vital for adapting to market demands driven by customer expectations, economic shifts, and technological advancements. Interestingly, 58% of shippers and 76% of 3PLs are already employing change management frameworks to navigate these shifts successfully.
AI: A Competitive Advantage
Artificial intelligence is spotlighted as a significant competitive advantage within the logistics sector. The study reveals substantial interest in AI for its capabilities in automating data analysis, identifying patterns, resolving issues, and managing repetitive tasks. Specifically, 33% of shippers are exploring AI-driven solutions for supply planning and demand forecasting, while 19% of 3PLs plan to implement AI in this area. Additionally, 27% of shippers show interest in AI for transportation and route optimisation, with 22% of 3PLs also planning to deploy these technologies.
Direct-to-Consumer Experience: E-commerce Influence
The impact of e-commerce continues to shape the direct-to-consumer experience, with nearly half of the surveyed shippers (48%) and 53% of 3PLs reporting customer expectations for delivery within two days or less. Moreover, 27% of shippers and 26% of 3PLs note expectations for deliveries within three days or less. Both groups demonstrated a willingness to absorb some costs associated with expedited shipping to meet these demands, highlighting delivery speed and visibility as key differentiation factors.
Industry Insights and Future Outlook
The 2025 study provides a window into the current state of the 3PL market, examining contemporary challenges and trends such as nearshoring, commercial real estate dynamics, and labour issues within the supply chain. The collaborative research aims to document and measure the ongoing transformation in third-party logistics, addressing emerging challenges and opportunities.
Dr. C. John Langley emphasised the evolving nature of 3PL relationships amidst diverse challenges, including economic uncertainties, geopolitical instability, and fluctuating supply chain markets. He noted, "Users and providers of 3PL services continue to report successful relationships, but they face an increasing array of challenges. They are leveraging change management processes to adapt and benefit from new capabilities such as AI and direct-to-customer proficiencies."
Echoing this sentiment, Ramu Pannala, Vice President of Supply Chain Technology at Penske Logistics, stated, "Technology will drive the industry forward in many exciting ways. This year's study provides a nuanced understanding of key issues facing our supply chains today."
Shanton Wilcox, Senior Vice President of Supply Chain Consulting at NTT DATA, highlighted the role of AI and robust partner relationships in navigating operational volatility. "Businesses are managing the unpredictability of day-to-day operations by relying on new capabilities like AI and deeper partner relationships. These efforts and investments, rooted in change management, enhance their success potential," he said.
For those interested in a deeper dive into the findings, the 2025 study and previous editions are available for download at www.3PLStudy.com.
Source: Noah Wire Services