Impact of technology on logistics

The evolution of logistics technology is pushing boundaries and changing the way the world does business. Today, we are used to everything being online and at our fingertips for immediate access. For example, through Amazon, the pioneer of expedited delivery, it's possible to receive a package in less than an hour after ordering, depending on where you live.

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Improved technology has also increased productivity in the supply chain, minimizing costs and errors. These advances benefit all areas of the logistics industry: trucking, international transportation (sea and air), supply chain management, and shipment tracking.

In this article, we tell you about the impact of technology on logistics. Below, we select five important advances that are changing the future of logistics processes.

1. Shipment tracking system.

Previously, customers would book shipments, receive an estimated delivery date, and then be left in the dark unless they decided to make a phone call. Today's software and internet advances allow customers to access tracking and shipping systems 24 hours a day, 7 days a week.

This not only improves the user experience but also saves the company time and money.

2. Internet of Things (IoT) and Radio Frequency Identification.

Today, many devices are made with built-in Wi-Fi capabilities and sensors, from cell phones and ceiling fans to cars. Easy access to Wi-Fi and the Internet connect everyone to everything, which is why it's called the Internet of Things. IoT is opening up many opportunities for the supply chain, such as reducing costs and delays by avoiding risks.

Sensors are built into cabins, cargo ships, trains, etc., and connect to an alarm system or dispatcher that is monitoring and tracking. These sensors process and relay the information to the crew, who then gain insight into hidden risks and knowledge.

Although IoT is not a completely new technology, it continues to impact the future of logistics. RFID technology, which has also been in use for a few years, is a popular labor-saving way for businesses can take to keep track of their inventory.

A tag or sensor is placed on the product and radio waves are sent out. The company then receives and processes the data. Bar codes are similar to RFID tags, but RFID's superior speed of information delivery and data processing is more attractive to businesses and the way the technology is advancing.

Today, many companies use RFID tags in their distribution warehouses to control containers. Other industries are already using RFID tags, such as the textile industry and major theme parks.

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3. Autonomous trucks and drones.

A world where a computer takes you from point A to point B or you receive a package from a flying drone sounds like something out of a science fiction movie, but that's where we're headed. Autonomous vehicles are already a reality and trucks are not far behind. Embark and Uber have already taken long trips using self-driving trucks, and Tesla launched a truck this year.

While it wasn't completely driverless, with a driver in the passenger seat to monitor the computer, it's a big step forward in this innovative technology and has the potential to increase efficiency in the delivery process.

Amazon has announced the future of packages that will be delivered directly to the door by drones, called Amazon Prime Air.

Drone deliveries are still a few years away due to regulatory measures and associated costs, but the idea of not having to sit for a four-hour window waiting for a package is quite interesting.

4. Improved GPS accuracy.

Gone are the days of printing addresses from your computer before leaving home. Now almost everyone uses GPS, whether it's built into their vehicles or their cell phones. The accuracy of these devices has increased dramatically over the years, not only helping lost and frustrated drivers but also improving the supply chain.

Advanced GPS accuracy enables increased productivity and satisfied customers by tracking truck locations and improving routes by accessing up-to-date traffic data.

5. Social media.

The power of social media is optimizing the logistics industry and operations as a whole. These platforms are becoming the easiest and most efficient way for businesses to communicate with customers, delivering time-sensitive information, industry news, and customer responses quickly.

Today, a large number of people who have an account on social networks agree that customer service through these networks has made it easier to resolve questions and concerns.

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To remain competitive and improve efficiency, it is imperative to keep up with the latest technology in logistics. This sector of the industry is benefiting greatly from AI software to improve logistics processes and will continue to grow as further advances are made.

Technological advances will continue to push the boundaries for years to come, and who knows, in the future, product distribution may use the speed of light to beat time.