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How Logistics is embracing Digital Transformation

Thanks to Alibaba and Amazon, top online shopping platforms, and the unprecedented escalation of the...

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Posted by Dave Food on Jul 27, 2021 12:47:47 PM
Dave Food

Thanks to Alibaba and Amazon, top online shopping platforms, and the unprecedented escalation of the Logistics industry, Digital Transformation forces them to become more efficient and versatile and faster than ever.

Several industries are going further in the transformation of their processes, certainly impacting them at some stage.  A Digital Transformation happens when digital technologies integrate each part of the business operation and delivers all sorts of services to their customers.

Renovating the Logistics industry 

The automation of services is transforming the Logistics industry rapidly. Logistics businesses are valuing these tools to boost more competent-leaner-immediate processes.  Furthermore, they set up tactics to use edge technologies to provide customers’ demands more efficiently than used to, through a mixture of Data Analytics, the IoT, robotics and sensors, which will entirely transform the business’s operations.

For instance, the current shortage of drivers resulted in adopting self-driving technologies for the trucking sector.  Some companies are working on a truck fleet scheme that might help organisations cut operating costs. On the other hand, digitisation decreases the Logistics industry requirement for workforces because they are replaced rapidly by robots. Eventually, the fast-track digitisation will transform the Logistics industry so that we will not recognise it.

Some benefits of Logistics Digital Transformation 

The benefits are immense; they will lead to safer, more reliable, and more efficient Logistics industries.

·       It often depends intensely on truckers who drive many hours daily, sometimes under regulations to meet their deadlines. 

·       It will help lessen some of the pressure placed on the industry by the quick evolution of e-commerce. 

·       The industry is experiencing the arrival of self-driving trucks, replacing truck drivers.

·       The industry leaders could save money by hiring fewer people. 

·       The technology, once perfected, will be more reliable, avoiding humans’ errors.

Logistical efficiency outlines how well a company manages its operations. From raw material to warehouse management, SC to information management, labour administration to product shipment, everything occurs under Logistics management.  Some actions to take:

Get an information management system – It will benefit your company in several areas, like SC, warehouse and inventory management, tracking; it delivers more product and system visibility to fast-track customers’ orders.

Keep good-size inventory at your warehouse - Not every industry has enough warehouse space to handle their stock in large quantities. As a result, it causes supply shortages and slows down orders in many cases. So then, why not consider third party warehousing? According to recent reports, a large amount of warehousing offers space for your extra stock, a 3PL market of billions.

Consult a reliable partner for logistical support -  Consult a reliable partner for logistical support and warrant a large inventory accessible for shipment. However, do it only after assessing your information management system and customers data insights to direct you on the market trend, type, packages, quantity, and much more.

Train your staff - Logistics leaders must train their staff in modern techniques through the HR department or your software vendor to organise your logistics staff training sessions. Moreover, invite your system designer and your data management team to share insights with your team. It will allow information to flow all over the value chain smoothly.

Re-define the Sales and Operation Planning (S&OP)- Outline your standard operating processes to assure your team is taking control at the right time, minor but strategic essential steps to work on the following areas.

·       The information should free-flowing across the value chain.

·       Create a system linked but with different roles for the individuals who understand the signals.

·       Report daily, weekly, or monthly the analytics state of things to lead the floor, advancement, sales team, packaging sales flow and market behaviour trends.

·       Better double-check the orders - Avoid humans errors that might lead to double shipment of an order. It adds up more cash to the cost, bringing loss.

·       Print your crucial policy jargon and paste them across the facility.

Learn from the competition - Competition and other markets can be a great source of free know-how to learn from; by observing the competition, you can learn:

·       Logistics management current best practices.

·       Modern operations management techniques in academic circles.

·       The systems and software to manage information flow.

·       Training programs for your staff.


Further comments: the best way to prepare for Digital Transformation in Logistics is by embracing the latest technologies. Logistic companies must be ready for the upcoming Digital Transformation, whether robotic loaders, advanced parcel tracking, or self-driving trucks. 

Is your S&OP addressing the strategic issues concerning your warehouse’s potential revenue, whilst reducing delivery time and providing error-free order tracking? 



Prophetic Technology

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