Digitalisation of Logistics Industry and its Impact
With rapid growth in technology, the logistics industry across the globe is experiencing a paradigm shift with fast track development driven by unique innovation and sturdy growth in the evolution of technology. The new technologies are not only re-shaping the marketplace but also offering collaborative operation models for seamless logistics maneuver. The recent study by IMARC Group, entitled “Logistics Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2018-2023”, estimates that the global logistics market reached a value of US$ 1,171 Billion in 2017 and is estimated to register a CAGR of 2.7% during 2018-2023, reaching a value of US$ 1,374 Billion by 2023.
Implementing technologies like IoT, data analytics, sensors and robotics is changing the complete roadmap of logistics. Traditional process involving making calls and faxes to start a shipment order were not only a slow process but also lacked end-to-end visibility and up-to-date information to customers in tracking their cargo movement. With digitalisation, the process is more streamlined with customers receiving real-time data with respect to available containers, rates, etc. We, at 20Cube Logistics, believe in offering the real picture to our customers on the consignment status, through our supply chain collaborative platform ‘MyHubPlus’, a 24*7 digital portal that allows the customers to have a tab on their consignment. These innovations are removing the boundaries between the manufacturers, suppliers, buyers, logistics service providers. This results in optimised routing and scheduling of the cargo movement. The final goal is to bring all stakeholders involved in a supply chain on a single integrated visibility and action portal for better efficiency and flow of information.
What’s happening around?
- Warehouses are extremely important hubs in a supply chain process and the implementation of WMS (Warehouse Management System) software has grown considerably in the last few decades. The software allows inventory receiving and put-away, optimises shipping of orders and coordinating with material handling devices and yard management. Besides that, it has helped in achieving a paperless environment.
- Global logistics firms like 20cube Logistics have maximized the use of IoT (Internet of Things) to make the data visible at key milestones in the supply chain thus improving the customer experience by providing end-to-end visibility from order to delivery.
- RFID (Radio Frequency Identification) has been in use for quite some time as it is a mainstream tool for an organisation to track the shipment at any given point of time. This technology offers 100% accuracy and reliability about the location of the shipped item. IT helps to gather data about the cargo and push it automatically to the platform. Thus avoiding duplicate data capture in disconnected systems.
- GPS (Global Positioning System) is another tracking technology that is doing wonders for freight forwarding industry. In business, time is crucial and knowing the exact location of the vessel, truck, and the cargo assures clients that the goods are arriving on time and safe. For 20Cube Logistics, GPS offers visible and reliable information on locations, goods identity and other tracking information, especially for an efficient distribution management.
These new changes in the logistics industry is showing a great difference on how consignments are delivered in time across the world in an efficient, quick and cost-effective manner.
Impact of Digitalisation
In today’s world, in order to thrive in the competitive environment, logistics companies must choose to become a digital organisation instead of depending on the traditional structure. Going digital makes a company more responsive and innovative towards their customers with development of data-based services continuing to rise.
20Cube Logistics has embraced digitalisation of the supply chain process to capture all data related to the shipment from purchase order to point of delivery in the cloud thus enabling the customers to have a complete visibility and transparency. In 20Cube, the business is executed in an innovative manner through the advanced portal “MyHubPlus” that provides in-depth insight to customers with regards to their cargo movement and also helps in reducing indirect cost. Our DNA (Digital Nerve Action) centre that is the hub for knowledge processing and business processing operations provides assistance to customers as the shipment progresses.
As the cargo movement is a global activity spread across different countries, the team has to keep track of it 24*7 keeping the time zone differences in mind. With the DNA centre keeping a tab on the cargo movements; it becomes convenient for the branch team to be on the right track to understand the clients’ need and businesses efficiently.
With advanced technology, the logistics industry will see some radical changes in the coming years. With IoT, cloud computing, and other upcoming technologies, the logistics sector will keep on moving and improving to meet the growing needs and demands of customers and consumers in both the B2B and B2C sectors.