The technological innovations are making big waves across industries, and logistics may be one of the most impacted sectors and it will continue to shape the logistics landscape in 2020, as companies experience greater connectivity, better access to data, and more widespread use of analytics and artificial intelligence. Transportation and supply chain is experiencing continued pressure to be more agile and make decisions more quickly as logistics is notorious for its heavy use of manual processes and large amounts of data stored in different ways and in different places. The logistics industry has perhaps the most to gain from implementing new technologies and driving new changes in the operations. With the use of data-as-a-service (DaaS), and a greater ability to use analytics for better and faster decision making, the logistics industry is making the rapid implementation of technologies.
The most important factor affecting the logistics industry is the speed of delivery. When a customer places an order, the customer is expecting the delivery at lightening speed. This puts tremendous pressure on the companies and that is the prime reason why companies are heavily investing in technologies to exceed the expectations of their customers. Usage of drones and autonomous delivery vehicles become a mainstream reality, uber-fast logistics companies, powered by digital technology, will continue the trend of reducing last-mile delivery times to mere hours, and make same-day delivery is a possibility today.
Another factor is the logistics network and safety. Supply Chain networks are connecting dots for logistics network without them, the logistics industry would be severely affected. The industry is transitioning from legacy point-to-point EDI networks to real-time, API, collaborative networks as pushing the safety norms. The companies are suddenly making logistics safety their priority as with greater connectivity and more robust data, concerns over logistics safety and cyber-security came to the forefront. The real-time freight visibility, IoT networks for tracking assets such as containers, pallets, and unit load devices, and capacity networks, are also becoming a priority of the companies. Better networks are also helping logistics firms create an enhanced experience for the customer, allowing them to digitize services such as payment, fulfillment, and shipment monitoring.
Over the years, AI is making big waves in the industry and penetrating into almost every industry. The logistics industry can be benefited from the use of AI including intelligent transportation, route planning, and demand planning in their operations. From last-mile delivery robots and sustainability solutions, to warehouse automated picking systems and predictive optimization software, and the ability to analyze data AI is already making a huge difference in logistics. The ability to leverage analytics for better and faster decision making is unprecedented which can be witnessed in shippers, carriers, suppliers, and consumers as all expect to benefit from these logistics technology trends continuing in 2020.
As the logistics industry become more customer-centric and use analytics to plan the delivery, it is poised to grow with advancing technology and become even more robust.