The logistics industry is not only ready but successfully shaping the supply chain to meet the upcoming challenges. The most competitive and challenging business across the globe is procuring profits in recent years. Technology has redefined the fundamental aspects of the logistics sector across the globe.
With the application of Big Data, the Internet of Things (IoT), Digital Sensors, and many innovative technologies supply chain providers are automating everything in today’s time. To cope up with this fast-changing world, the logistics sector has realized the importance of leveraging new technologies with unique business strategies.
The future of the logistic sector lies in innovation, and technology is the source of bringing the transformation through innovation. Few innovations which can transform the logistic sector could be, analyzing the product demand data and executing ‘predictive shipping’, where the product is reaching its destination before the order was made.
More than making the product available at the customer door, it’s important to realize the delivery of products on time, managing onsite requirements with a centralized data point in real-time. Mobile technology is the basic requirement for managing inventory as well as keeping suppliers, distributors, and other relevant parties well connected through GPS location. That helps in optimizing the real-time ETA which can help in managing cost and customer service level agreement.
All logistics companies have to prepare themselves for 2021 and beyond by adopting various technological solutions to meet customer expectations. Blockchain technology is one such smart technology that has not only solved the decade-old issue but has the potential to elucidate various difficulties in the logistics sector by enhancing the end-user experience with low cost and high efficiency.
Companies like FedEx (tracking packages), IBM (controlling information), Walmart (Traceability and safety), and many more are using Blockchain to increase their competitiveness.
One thing which every business vertical talks about are Data Analytics, and companies are looking forward to making the best use of this potential.
A recent report by SEAGATE suggests, “The world data-sphere will hit 175 zetta-bytes by the year 2025”.
It is because of the increase in the numbers of engagement at social platforms along with the valuable IoT data which is doing predictive analysis each day through billions of embedded and connected devices.
This Internet of Things (IoT) plays a major role in the logistics sector, “26.25 percent of logistics players are using Machine to Machine Technology where 46.62 percent have planned to deploy in the future. While on adopting IoT, 47 percent of them believe it can provide a huge impact”.
Thus, to make the process quite simple IoT implementation can double the ROI as it helps in enhancing in-transit visibility as well as connected production floors.
Various other digital solutions have also echoed in this pandemic and helping the businesses to a greater level by the adoption of these technologies.
In addition to human intelligence and AI, “augmented intelligence is on the path to create $2.9 trillion of business value and lead to an increase of 6.2 billion hours of worker productivity globally by the end of this year” as per Gartner.
It’s not only the technology that is shaping the logistic sector but emerging new players and business models are also contributing in the same.
According to the Global Customer report 2019, there has been an “18 percent year-over-year increase in testing of warehouse robotics”.
Handle and Amazon Scout is great examples for implementing mobile warehouse robots and using small delivery vehicles.
Amazon CEO Jeff Bezos has announced that “Rivian, an electric vehicle startup, is going to make 100,000 electric delivery vans for Amazon following a $700 million investment from the online retailer.”
2021 is all set to bring confidence for businesses across verticals, through automated warehouse systems, virtual assistants, new business models, and top logistics technology. Digital solutions in the logistic sector are going to bring new experiences like transparency in real-time, high efficiency, expected to provide solutions to real-time problems. Logistics companies are looking forward to expanding their technological footprint and indulging in big partnerships. E-commerce players are also trying to build a multi-channel business platform as they understood the importance of satisfying customers with a robust solution.