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In 2023, transportation and logistics sectors will be challenging due to the economic and geopolitical instability that will exist. We face production backlogs globally, affecting supply chains. Transportation relies on logistics. Transportation companies face similar challenges in meeting their customers' demands. Faster deliveries, handling late orders, order tracking, and timely information provision are some examples.
With the assistance of technology, logistics businesses can better prepare for 2023 and become more efficient as a result of technological trends that have reduced overhead and improved output while also cutting down on mistakes. These developments are helpful across the board in logistics, from trucking to international shipping. Listed below are four game-changing technologies that are shaping the logistics businesses of 2023.
Four Trends will shape logistics operations in 2023:
1. Internet of Things (loT) Devices
Industries with a large number of physical assets, such as logistics and transportation, have been early adopters of the Internet of Things. These resources, whether they are fixed or mobile, are becoming more and more connected parts of a larger system that lets them share and learn from important data.
Before the term "Internet of Things" was even invented, the transportation and logistics industries were among the first to embed connected technology. As a result of their early adoption, these industries are now able to inspire other industries to improve their logistics management and other end-to-end operations.
Transport vehicles like trucks are becoming important parts of the Internet of Things (IoT) network. This will have a big effect on the logistics and transportation industries, as they will be able to improve their processes as a result.
2. Artificial Intelligence
Artificial intelligence systems are able to address a variety of warehouse issues, often more quickly and effectively than humans can, and they may help streamline complex processes to increase productivity. AI-led automation not only saves time, but it can also drastically reduce the need for and cost of warehouse staff.
Advantages of Using AI in the Logistics Industry:
A) Automation can help get an item out of a warehouse quickly, which is important for a smooth trip to the customer and a successful transportation journey as a whole.
B) Resolving a number of transportation complexities, such as empty miles, more quickly and efficiently than a person can.
C) AI systems can simplify complicated operations and speed performance. saving important time.
D) It can substantially reduce operational and fuel costs.
In order to increase profitability, better manage carrier contracts, and successfully negotiate shipping and procurement rates, artificial intelligence systems can be used to pinpoint which processes in the supply chain need to be optimized.
3. Machine learning and big data
Logistics and transportation management are getting more complex and dynamic, creating more supply chain obstacles and giving the industry a suitable use case for big data analytics. Collecting and analyzing diverse logistics data is essential for evaluating all the primary key performance indicators (KPIs) in this instance.
Machine learning and big data have opened up numerous industry fields, including logistics. According to Allied Market Research [1], the global logistics market had a value of $7,641.20 billion in 2017 and is anticipated to reach $12,975.64 billion by 2027. The increased numbers can be linked to logistics companies recognizing the potential optimization possibilities of data analysis.
How can you put big data to work in logistics operations?
Route optimization: optimizing the last-mile processes in the most efficient way
Track and trace techniques are taking delivery visibility to a whole new level.
Suggesting future routes from existing data
4. Telematics solutions
Speed, expected time, driver behavior, fuel level, and vehicle maintenance are just some of the data that may be tracked and monitored by a telematics system, either for a single vehicle or an entire fleet.
The logistics manager is asked to better understand systemic issues, cut operating costs, and boost profit margins. Hence, the following were some of the most critical issues solved by telematic systems:
Delays caused by unscheduled stops made by drivers
Poor navigation and no real-time traffic data cause frequent rerouting and longer commutes.
Engine idling reduces fuel efficiency.
Over speeding and reckless driving damage goods and raise costs.
Subpar service quality is due to the absence of a reliable vehicle monitoring system.
Conclusion
While automation and digitization are inevitable, the transportation and logistics industry of the future will also be flexible, multipurpose, geographically dispersed, and radically transparent. This is just what the global economy requires.
The AI-proven intelligent solutions included in Norma LIVE help logistics operators optimize and regulate their daily fleet routes, lower operating costs, cut down on vehicle miles driven, and provide a higher quality of service to their clients with a fully integrated experience from automated route planning to real-time visibility.
Download this white paper to find out several tips that help logistics managers save time and manage their operations as they focus on growing other sectors of business.
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