What are the recent trends in the industry?

We all know that we live in a dynamic environment that keeps changing with no break. Earlier, we used to visit banks for any work, but now you can do any work online. Similarly, shopping is also no more physical. You need an excuse to buy something, and there you go shopping online. All these changes are the need of the hour, and to make these changes feasible and possible industry needs to change its trend.

What are key industry concerns?

The industry trends depend on various factors. The industry must accept the changes in both the internal and external environments and change the industry trends accordingly.

Staff

The workforce is the most critical pillar of any organization. If the employees of an organization are not working effectively and efficiently, the organization cannot exist in the long run. It is the organization's responsibility to think about the welfare, needs, and problems of the team members. It should become an industry's norm that the team member's mental and physical health should not be hampered by work. During COVID-19, many organizations fired their staff for cost-cutting, which is not healthy. A salary reduction is a better option than removing staff.

Cost

Cost control and cost reduction are the two cost techniques followed in the industry. Cost control means reducing costs by hampering the quality of the products or services. It is a traditional method. Cost reduction means a reduction in cost without compromising with the quality. It is a new trend where the industry believes that its growth depends on its goods or services.

External factors

Many external factors affect the industry indirectly. External factors include the new legal policies, rules, regulations, etc. For example, the food industry must take a food quality certificate. So, this new rule will affect the sales or profit of the industry indirectly. But nowadays, society is concerned about the environment, and no one wants to hamper the environment for the sake of fashion.

Customer demands

Even if your products and services are of the best quality, they are useless if the designs and features are not per the customer's demand. After employees and the quality of products and services, the organization's growth depends on the customer. Analyzing and evaluating the customer's needs is the first and foremost step before designing any product.

Balance

There must be a balance between demand and supply. Excess of either of them can harm the stability of the organization. The demand and supply should be as per the product's life cycle. There can be a negative impact on the organization's reputation if balance is not maintained.

Operations

The operations of the organization should work smoothly. Top-level management should segregate the duties between the team members. There must not be any duplication of any activity. For transparency and smooth working, technology must be involved in the organization's operations.

New trends in the manufacturing industry

The manufacturing sector has seen tremendous changes in the last couple of decades.

Artificial intelligence

Acceptance of technology is the need of the hour. No industry can survive in today's scenario if it is resistant to technology. Sectors that do not change with the change in the environment will not stay in the market in the long run. During the pandemic, artificial intelligence has proved to be the industry's savior. Working from home is possible only because of technology. Manufacturing technology increases the efficiency of both products and human resources. AI-powered companies are becoming the content of sensation among the industry trends. Nowadays, the customer is also attracted to technology-oriented products.

Health and safety of employees

COVID-19 pandemic taught us that nothing is as important as our health. Many people have lost their loved ones. The industry is showing more concern towards its human resources. Securing them and their families with medical insurance, providing work from home, running manufacturing units in shifts with less capacity are few new industry trends. The impact of these changes is acceptable and positive.

Going green in manufacturing

The manufacturing industry is growing so fast. As per the records, 54% of the world's energy is represented by the manufacturing industry. So, there is no doubt that the growth of the manufacturing industry is unstoppable. At the same time, protecting the environment is equally important, and preventive and corrective measures should be taken by the sector accordingly. The methods for protecting the environment are recycling material, renewable energy to power energy, solar plants, growing trees regularly, etc.

Predictive Maintenance

There is such a growing demand for products such as colossal requests that sometimes the industry fails to fulfill. The main reason behind this is equipment failure. Equipment failure increases the cost of the product and puts the safety of the employees in danger. Today is the era of intelligent machines with built-in sensors that alert the workers in an emergency. These machines provide a safe environment and increase the efficiency of the organization. Predictive maintenance can prove to be a life savior of industry 4.0. The industry should encourage additive manufacturing.

New trends in the food industry

The food industry has undergone a tectonic shift. These changes are discussed below at length.

Food and technology

Waking up and going to the market to buy dairy products, fruits and vegetables was a non-detachable activity of every household. No one would have thought of getting all this stuff at their doorstep in a few minutes of ordering. Technology made it possible to help you get your daily essentials at your doorstep in no time. Earlier cooking was the norm for the females, but they were not allowed to break from this activity because there was no substitute. But technology has made it easier for those who love to cook and need a break from their daily routine. Nowadays, people need to think about their favorite dish and restaurant, and there they get their food on the table. Technology is giving a new shopping experience to the customers. Before the pandemic, it was not popular, or people were not used to it, but post-pandemic it has become a sensation among the customers.

Demand for organic products

Every day several cases are coming of diabetes, thyroid, hypertension, hair fall, etc. The study says that the rapidly increasing health issue is accounted to wrong food consumption. Sadly, these chronic diseases are mainly targeting the younger generation. Now, people are more concerned about their health, and there is a growth in the demand for organic products. Organic products mean chemical-free products. This change in the direction of customers is an opportunity for those industries who are looking for stability in the market but a threat to those who are already sharing a colossal market share in the fast-food products because the demand for such products is declining or we can say that the fast-food industry is at the maturity stage. The demand for organic products is a dynamic change in the industrial trends.

Packaged and processed food items

Due to changes in lifestyle and hectic schedules, customers demand products ready to use. Here packaged and processed items do not mean ready to eat but are prepared to be used like chopped vegetables, cut fruits, grown microgreens, sprouts, etc. This is an excellent opportunity for industries involved in the storage and processing of food. They need to invest in a few machines required for chopping and packing such food items. Industry outlook has changed for the coming industry 4.0.

Digitalized dining

Booking a table at a restaurant or a café was the first step towards digitalized dining. But, the scope of digitalized dining is extensive. Many companies have a chain of robotized restaurants with the least human resources. Receiving the order, preparing the food, and serving to the table are all performed by the robots. Many restaurants provide you with a device that can take your calorie count and help you select the food best suited for your body. We can call it a digital transformation.

Common Mistakes

Students often commit mistakes in understanding the trends of different industries. Students have to understand that the trend is not universal and keeps on changing depending upon the target customers, demographic area, target market, etc.

Related Concepts

While studying this topic, it is recommended to read the following topics to get a better knowledge:

• Business environment
• SWOT analysis

Context and Applications

This topic is significant in the professional exams for both undergraduate courses & postgraduate courses and competitive exams, especially for:

• Bachelor of Business Administration (Finance)
• Bachelor of Commerce
• Masters of Business Administration (Finance)
• Masters of Commerce

Practice Problems