FarEye: America’s supply chain is entering its most transformative decade in a century

 FarEye, a global AI-powered  last-mile software platform, has issued a new report, Eye on the Last Mile, surveying over 500 U.S. supply chain and logistics leaders featuring takeaways on consumer delivery expectations, cost-to-serve pressures, and AI adoption in the U.S. supply chain industry.

The report was launched at FarEye’s Last Mile Leaders in America conference, the inaugural American edition in a series of global FarEye conferences where supply chain, retail, and tech decision-makers tackle urgent last-mile challenges.  The conference, which took place at The Gwen in Chicago, brought together iconic brands, including Maersk, Amazon Key, Electrolux, DHL Express, IKEA, Wayfair Tempur Sealy among others. Over two days, the event became a hub for transformative discussions on tackling the U.S.’s most pressing last-mile challenges all in the format of community-led open discussions.

 Kushal Nahata, CEO of FarEye, kicked off the conference highlighting key takeaways from the report, namely that the U.S. supply chain industry is at a strategic inflection point.  While manufacturing growth is set to double in America, volatile tariffs are impacting supply chains. Amidst the scenario, AI is all set to go mainstream in supply chains.

Some of the key insights from from Eye on Last Mile 5.0 report are:

• Cost pressure is relentless: Named the #1 priority by 50% of respondents, with delivery expenses climbing 12% annually and some routes up 70% from fuel, wages, and inefficiencies.
• Speed is non-negotiable: 70% of leaders target 99%+ on-time, damage-free deliveries, and two-thirds of shipments will be same-day by 2027.
• Outsourcing dominance: Nearly 90% of companies plan to maintain or increase reliance on third-party logistics providers by 2030, highlighting flexibility and scalability as decisive factors.
• AI breaking through: Backed by (AI fueled innovations) America will see the rise of 1000+ big logistics companies by 2030 with their  EBITDA margins crossing 15%

 “America’s supply chain is entering its most transformative decade in a century. Manufacturing is returning home, tariffs are redrawing trade maps, and AI is rewriting the rules of logistics,” said FarEye’s Nahata. “Together, these forces are creating the conditions for an entirely new generation of logistics leaders – 1,000 companies that will rise by 2030, with the strength to deliver margins above 15%. The last mile is no longer a challenge to be solved; it is the arena where the winners of tomorrow will be created.”

Some of the key industry conversations at Last Mile Leaders America included:

 AI With Humans in the Loop: AI is here and will enable our industry to operate at EBITDA margins well above the industry average. We must build Trust by Design into AI applications and keep humans in the loop to ensure the right outcomes.

• Ecosystem Between Shippers and Carriers: Technology can bridge gaps and create stronger partnerships by enabling training, gamification, and incentivization.
• Consumer Journey: As supply chain professionals, our work starts when a consumer is discovering products, not only at fulfillment. We need to take ownership by bringing expectations, delivery, and inventory promises as far forward as possible in the customer journey, and design efficient supply-chain networks driven by consumer behavior.

 

The link to the Eye on the Last Mile report can be found here: https://www.thelastmileleaders.com/last-mile-report