When we think of logistics in today’s time, the first thing that comes to our mind is- “Logistics Technology.” Logistics technology has automated numerous tasks like gathering data, processing, analysis, and transmission. The result is high-level accuracy along with streamlined logistics operations. If you are thinking of refining the production cycle,logistics technology is the way to achieve it.
To do so, you must keep up with the latest trends in logistics technology as we can expect more revolutionary changes ahead. 2021 seems to bethe advent of such disruptive technologies right from real-time supply chain visibility to AI.
In this blog, we will discuss the trends in the logistics industry that are likely to impact businesses. Let’s get started!
Three Trends in Logistics Technology that Will be a Game Changer in the Industry
If you look closely, you will realize that logistics technology has great potential to deal with numerous operations and processes. The key lies in the fresh and creative approach that goes along with the current trends.
Here we are with a few logistics technology trends that are expected in 2021 and beyond.
1. Artificial and Augmented Intelligence
AI has been at the core of the logistics industry for a few years. Here it has been integrated to refine operational flow by the means of processes like route planning and demand planning.
The best example that could be seen is the AI-based optimization software by an Australian startup named Adiona that optimizes the static and dynamic delivery routes aimed to improve the logistics process and reduce cost. It seems to be the advent of third-generation business intelligence, where smart industry systems could be seen predicting conditions like demand, weather, and traffic. This transformation will help in optimizing workforce requirements.
In 2021, Augmented Intelligence is expected to create a business value of $2.9 trillion that will increase the worker’s productivity by 6.2 billion hours globally. It indicates that companies will be deploying more AI solutions to improve the processes and save cost and time.
2. Digital Twins
Digital Twin technology is another hot trend in the logistics industry that employs replicas of physical devices to run simulations. The global marke tsize of the digital twin technology was valued at USD 2.26 billion in 2017 and is expected to expand at a CAGR of 38.2 from 2018 to 2025. It indicates that digital twin technology in logistics is not going to leave us any sooner.
Digital twin technology considers the behavioural and physical aspects of the current modelling system in logistics. It helps to track,monitor, diagnose, and real-time digital awareness. Here are a few potential used cases:
● Improving the protection of the shipment
● Optimizing the design and performance in support logistics
● Operational integration
● Dynamic delivery network
3. Real-Time Supply Chain Visibility
When it comes to supply chain visibility, it is not a new concept in logistics, but we can expect an increase in its prevalence. Increasing demand on the part of customers and carriers seems to be the biggest reason.Thus, companies are likely to implement competitive supply chain visibility solutions by using real-time data. The companies that have already implemented SCV have experienced more than 20% growth in their efficiency.
IoT sensor technology is the most talked-about part of supply chain visibility that helps in the accurate tracking of shipments. Here cloud services are put to use, where the connected IoT device allows warehouses to track inventory, vehicle, and equipment. All this facilitates real-time monitoring that will help logistics companies power their logistics systems.
Above were the three crucial logistics technology trends that we can expect in 2021 and beyond. We hope you found the information useful and can now map out your logistics strategy for the coming time. Meanwhile, if you are looking for a system to predict your logistics bottlenecks, get in touch with ADIONA. It will provide you with immediate solutions that fit your needs and budget.