Data Driven Logistics: Using Visibility for Better Customer Experience
Data is the talk of the town. Data is not only required for smooth functioning but also for better control on the process. This helps organisations achieve efficiency and cost-effectiveness, helping them transform their supply chain processes by better forecasting and procurement planning. Any freight forwarding organization depends completely on data analytics for making business decisions
Is data really the show stopper?
Capturing data at each point is crucial for any process optimisation and with the advent of blockchain, this is possible, but whether data-driven logistics really help us achieve better results is still debatable for a few. Logistics being a complicated process with multiple touchpoints, this collection becomes even more necessary. In the traditional form of logistics, the same data gets captured multiple times in multiple places; and the majority of the times, it provides no insights to anyone involved in the supply chain.
The captured data comes in use to analyse the trends and predict demand. Thus, enabling the supply chain not only in achieving Just In Time inventory models but also managing their sales predictions.
Efficiency lies in improvisation
Using predictive analytics models in deriving insights from captured data is helping the logistics service providers as well as businesses in several ways:
They gain market insights about customers, suppliers and partners that help make intelligent and quicker decisions. This helps the service providers to suggest better logistics solutions to their customers.
Efficiency in last-mile delivery can help save businesses more than 25% of their direct and indirect costs. Use of GPS sensors, RFID, other tracking devices and smartphones is helping the logistics industry optimise the delivery process and strategy.
Regardless of which form of transport you use, data-driven logistics can help you mitigate risks by understanding exact conditions that enable real-time adjustments, deliver cost efficiencies, plan store loading. and achieve just in time inventory.
Supply Chain Transparency
Once you get control and complete visibility over your cargo movement, you are able to make informed decisions related to your freight and 3PL operations. This is achievable once you have a system that notifies you about key events and exceptions for better mitigation measures.
Through the use of real-time information, the buyers’ can plan their stock way ahead depending on various factors such as seasonal demands, delays in transit, etc. The logistics providers are also able to use this well-captured data to provide better logistics strategy thereby helping their clients optimise their entire supply chain process.
Data has been and will continue to transform the logistics space. With clearer, real-time data in hand, all stakeholders can make faster, insightful decisions helping them bring down their costs along with the turnaround time.