The benefits of IoT will enable organizations to develop new business models which can tackle the challenges hindering operational efficiency.
FREMONT, CA – The place of logistics organizations in the marketplace is decided by the efficiency of its inventory management, warehousing, business process agility, delivery speed, and storage management. The modern logistics landscape is becoming more and more customer-centric, leading to the prioritization of on-time delivery, service quality, supply chain visibility, and product life cycle transparency.
However, to achieve these goals, logistics organizations will have to adopt innovative solutions. Among the emerging technologies set to disrupt the sector, the internet of things (IoT) holds great promise. The opportunities and advantages offered by the technology are many, including supply chain monitoring, vehicle tracking, inventory management, safe transportation, and process automation.
The utilization of IoT sensors in vehicles will enable automatic routing of vehicles based on the loads and fuel supplies. The data collected from the sensors allow the organizations to conduct predictive analytics and schedule routed based on various conditions, including weather and traffic. The connected fleet system facilitated by IoT can pave the way for predictive asset management, which can inform automatic scheduling for maintenance checks.
IoT offers the flexibility and agility for organizations to effectively respond to unforeseen obstacles in real-time. The capabilities provided by IoT enable continuous optimization, aiding organizations to attain maximum productivity and meet customer expectations. Fleet telematics, facilitated by the sensors enables organizations to monitor and track the locations, status, and behavior of the vehicle.
Logistics companies can leverage automated vehicle location (AVL) to avail fleet-wide visibility with continuous status updates. It offers dynamically linked map and schedule information based on capacity usage, time to services, customer time window violation, other resources, route profitability, and sensor-based data.
Automating scheduling powered by IoT will enable organizations to seamlessly coordinate drivers, dispatchers, and call centers based on the available information. The planning and scheduling tools will allow them to organize and manage the fleet. The integration of IoT with the navigation systems will also enhance the efficiency of the supply chain.
The robust routing and scheduling capabilities facilitated by IoT technology will enable the organizations to significantly reduce fuel and maintenance costs, enhancing customer experience with faster response. Organizations can leverage interactive voice response to improve customer service, offering relevant scheduling and routing information.
IoT technology promises excellent opportunities for the logistics sector. Along with routing and scheduling, its benefits will potentially extend across the entire value chain of logistics, including warehousing, inventory management, freight management, fleet management, and delivery. The capabilities of IoT will positively impact operational efficiency, safety, security, and customer experience.