The Impact of Technology on the Logistics Sector

by Manoj Kumar Digital Marketing Analyst

For better connectivity between employees and employers, the implementation of technology has begun to change business processes enabling more information available, streamlining file storage, and increasing the power of data. Logistics technology is a domain that is still evolving, and it is one of the most promising technological expansions in the world of supply chain management.

Many vendors, analysts and systems integrators look at new disruptive technologies such as the internet of things(IoT), artificial intelligence(AI), and blockchain technology independently, but the real value to the supply chain comes from combining these technologies together.

Key Benefits of Technologies in Logistics

The key benefits of these technologies in logistics are as follows:

1) - Organizations conducting paper-based research and business transactions will struggle to leverage disruptive technologies without extensive manual rework.

2) - To obtain maximum business value, companies need to ensure they have an end-to-end digital foundation or backbone in place.

3) - The digital foundation enables businesses to exchange electronic business transactions with all trading partners in a digital business ecosystem.

4) - Companies can use the combination of IoT, AI, and blockchain to create an autonomous supply chain once the digital foundation is in place. The combination can then be used by businesses to enable an autonomous supply chain.

5) - Leveraging the internet of things allows companies to create a digital twin of a piece of equipment or serviceable asset.

6) - For example, IoT sensor information can be leveraged to not only identify shipment location as it moves through the supply chain but also to monitor shipment condition and remotely monitor the condition of the track systems.

7) - Artificial intelligence drives insights from information moving across the digital business ecosystem, whether analyzing transaction information to determine the best performing trading partner or analyzing IoT sensor information to determine if a piece of equipment is about to break down. AI helps companies to optimize and drive efficiencies across and into the supply chain.

8) - Blockchain is a relatively new, disruptive technology in its simplest form, is a trustless, immutable distributed ledger that could archive information from across the extended enterprise from a supply chain point of view. The most popular use case relates to tracking and tracing and knowing the providence of goods of raw materials.

9) - An autonomous supply chain will help companies to establish a highly intelligent, connected, self-aware and trusted environment.

10) - An environment that leverages deeper insights to supply chain performance to refine the business processes, improve traceability of goods and records, and secure an archive of all digital interactions between the company and its trading partners community.

Conclusion

To sum up, it will be right to state that the logistics industry is reaping a ton of benefits by implementing technologies into their workflow and the use of the technologies will increase massively in the near future.