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S P E C I A L F E ATURE FIDI STATE OF THE INDUSTRY REPORT 21/22 As FIDI launches its second State of the Industry report, Dominic Weaver gives a preview of its main findings F IDI has launched its second State of the Industry report, which examines the key occurrences in the international moving industry during the last year, looking at the important trends and analysing how they will shape future business, and proposing how Affiliates and FIDI might effectively respond. Once again, the report covers one of the most extraordinary 12 months on record. The unprecedented challenges presented to movers by COVID in the previous year have now been added to and in many ways eclipsed by complex and pervasive difficulties in their supply chain, which are restricting availability of vital services and staff, increasing uncertainty and pushing prices up. Businesses are coping with these pressures in real time as they develop. Meanwhile, tipping points appear to have been reached in the fields of sustainability, diversity and digitisation, with companies compelled to upgrade their operations to meet the requirements of new legislation and demands of their clients and staff. This comes alongside the pressures of other ongoing transformation in the industry, including consolidation and the impact of large industry deals, not least the yet-to-be-awarded USTRANSCOM military HHG contract. The report describes the result as the most difficult and uncertain trading environment in living memory, a new landscape that movers are only just beginning to understand but will change their businesses for good. This is an overview of the key findings of the FIDI Focus State of the Industry report 2021/22: COVID CONTINUES The report says that, while the direct impacts of COVID are still not straightforward for movers to manage (or pay for), they have learnt a lot during the previous year. They became accustomed to rapid change, able to adjust more quickly to sudden changes in operational conditions, including new restrictions or staff shortages. There is a general sense of optimism that international relocation will continue to recover; however, there is still uncertainty about how quickly the market will recover, for corporate moves in particular. The global supply chain crises that came in the wake of COVID perhaps defined the past year in business more than the pandemic itself. Intense availability and cost 42 FF305 Mar_May 22 pp42-43 Ind report.indd 42 FIDI 2021/22 STATE OF THE INDUSTRY REPORT February 2022 tension in shipping, air and road freight, severe staff shortages and steep price hikes in key raw materials are among the factors causing difficulties for movers by pressurising the tools they use to do the job. PLAN AND COMMUNICATE With services impacted by volatility and rising costs passing down the supply chain, communication and transparency with customers is becoming more important than ever. A collaborative and open approach will help everyone plan better and helps maintain goodwill at this challenging time. SUSTAINABILITY With the climate emergency generally accepted as the main challenge facing the world, business must respond to new legislation and stricter demands from customers and staff who increasingly want to work with and for ethical organisations. We have reached the point where sustainability is not an option, it has become essential companies must take permanent, authentic action or risk losing staff or customers. Authenticity, transparency and communication are key to this process. As a heavy user of international transport by truck, ship and plane, and packaging materials, the moving industry is focusing on mitigating the impact of these and its many office and warehouse buildings first. But there are efficiencies to be gained in other areas, too, with the most progressive companies and their staff looking at further ways to improve the environment locally, regionally and globally. Sustainability in moving should now be about more than the environment, examining companies impact on their staff and local communities, too. Underlying this is a greater focus on the financial WW W. F I D I FOC U S . OR G 11/03/2022 16:35