In the last few years, new technologies are constantly changing the market in a great way. Naturally, the logistics field is no exception to this. What is more, the ongoing coronavirus pandemic has added a new layer of difficulties that need to be handled. Thus, the updates that logistics companies made heavily relate to the current situation. If a company wants to stay in the game, they need to follow all the new regulations and implement them into their functioning. Being flexible is key to running a successful business and shipping and logistics companies are very aware of this. Not only is following relevant trends advisable for the success of a business, but it is also absolutely necessary. The competition is now much larger thanks to everything and everyone being connected via the internet.
The importance of internet
One of the biggest forces behind all the changes happening is the growth of internet and the number of people that have access to it. Nowadays it is so easy to make any type of order from any corner of the world. For example, logistics companies in Saudi Arabia can now easily ship whatever you need even if your current location is in the US and all it takes for that to happen is the click of a computer mouse. Additionally, you can now keep track of your shipment and how it’s moving also with the help of internet. This is even more important for the shipping companies that handle the cargo. With the help of this, they are able to give accurate arrival time estimates and solve any type of problem that can pop up during the process of shipping. This is what we call supply chain visibility.
IoT technology as one of the updates that logistics companies made
IoT is an acronym that stands for Internet of Things and this is how tracking happens. Parcels, inventory, equipment and vehicles are connected with IoT tracking devices and this enables easy tracking. This is why IoT startups are teaming up with logistics companies to make everything even more efficient.
Hiring and training employees via Internet
With coronavirus causing chaos, it is becoming more difficult to keep things running smoothly as before. E-commerce, which is commerce via internet, is taking the number one spot worldwide. This means that logistics companies need to grow to keep up with the demands of the market. Training employees is incredibly tricky with corona regulations, so companies are hiring tech professionals. They are working to automate the hiring and training process for the new employees. The only thing they need is a suitable cell phone and the process can function fairly well through that.
Elastic logistics that companies use
We have already mentioned how important it is for a shipping company to be flexible in this day and age. This means that when an unexpected inquiry comes along, the company manages to deliver it. Elastic logistics accentuates the use of 3PL companies that work with a flexible number of employees. They have a temporary workforce that can meet the rising and falling production and delivery needs.
On the other hand, it is of great importance to have workers that won’t quit because they got demotivated or get fired because they are lacking in having the necessary skills. Unfortunately, that is exactly what happens when a market is unstable and the demand is always changing. A lot of new people come in all the time and stay for a short time and simply don’t get used to the company. Therefore it is the managers’ and HR’s job to provide workers with the right tools and training to minimize that. This will add stability to the shipping company, along with the flexibility that it needs for good functioning.
Updates regarding AI that logistics companies are making
Some of the most advanced technology is the one related to using Artificial Intelligence. This has a use in warehouses where automatization is taking place. This way logistics companies are cutting costs and boosting efficiency and productivity at the same time. What they are using is robotic arms for pick and place duty and automated vehicles for transportation. If automated vehicles become fully implemented, this will reduce the delivery costs by a huge percentage, possibly as much as 40%. Along with AI, there is a rise in use of Augmented Intelligence as well. Ultimately, this can be useful in route planning because it works similarly to human intelligence, while AI is good for repetitive processes and tasks. It would be best to use both of these advanced technologies together to get the best results in logistics companies.
Going green is inevitable
It is obvious to everyone that the Planet is going through many climate changes and the one who takes the biggest responsibility for that is industry of any kind. The shipping industry is also part of this problem and should do everything that they can to lower pollution caused by burning traditional kinds of fuel. As of recently, there is an initiative for ships to start using marine fuel with zero carbon emissions. Another way to lower pollution is to just start using electric vehicles and many logistics companies are looking into this. Moreover, it is a good idea to use materials for packing that are reusable and that are of good quality so that they can be used many times. Finally, achieving sustainability and going green is one of the most important updates that all shipping companies should have in mind.
The key to every successful project is constant improvement, updates and thinking of new solutions to problems that keep arising. Leaders in a company should have an open dialogue with each other, as well as their workers to keep bettering and upgrading the way their company goes about doing business. It is also important to keep up with the competition and keep track of all updates that logistics companies made in recent times. If all of this is followed, your company is bound to be a successful one.