Technology has revolutionized the way business is performed all around the world. With the introduction of better and more advanced technology, operating business has become much easier and efficient. Technology has affected not only one, but all types of business dealing in different products and services.
The Freight industry is one which has seen a significant change in their business operations due to the integration of advance technologies in their systems. Supply chain productivity has risen notably due to these advances and has helped in minimizing cost and error in the industry.
Technology has an impact on all operations of the logistics industry, from transportation either by air or ocean, to supply chain management and even shipment tracking.
Let’s take a look at the 3 major technological advancements that are changing the freight industry for the better:
1) Internet of Things (IoT):
In the freight industry, having access to real time data is very important. The IoT technology is an efficient way of managing supply chain and logistics and making them more organized and error free.
Companies have started adopting this technology in order to increase their productivity and optimize their operations. From creating ‘smart warehouses’ which are operated by robots who store, arrange and retrieve inventory with efficient ease, to using IoT sensors for detecting goods, companies have transferred all their logistic operations to be handled by IoT. All IoT compatible devices can communicate, coordinate and connect with each other to perform supply chain management tasks in a synchronized manner.
2) Artificial Intelligence (AI):
AI/machine learning is a technology which is being widely adopted by supply chain companies to facilitate better management and growth. AI is the future of supply chain management market. Here’s how AI/machine learning helps the supply chain market:
- AI helps in better negotiations to get you the lowest price for hardware and software. It also helps you analyse the supply, quality and demands as well as the services, warranties and Mean Time Failure of a product.
- With all the useful data at your disposal, AI helps you analyse it and provides real time advice on how the inventory management can be made more effective.
- Order management can be done in a more accurate and efficient way with the help off AI tools.
3) Cloud Computing:
Cloud computing is another technology which has improved the operations in freight industry by providing exceptional data handling solutions. Data is readily available on the internet and can be accessed from anywhere around the world.These are the ways in which cloud computing helps the supply chain market:
- It allows real-time evaluation of prices associated with each logistics and supply chain element.
- You have access to real-time inventory and thus inventory management becomes simple.
- Your data gets stored in matrices and divisions which helps you find out similar shipping and procurement patterns.
- It allows real-time monitoring and helps in creating accurate models of merge in transit.
- Your entire team can access data regardless of the time and place they are stationed at. This gives way to faster and efficient operation.
Managing supply chain and logistics has become less challenging with the introduction of these technological advancements. There are limitless possibilities for the development of freight industry when it is integrated with technology.