While technologies have been incorporated into the supply chain ecosystem in various forms since the 20th century, the past couple of decades have seen technology become integral to its functioning.
That said, such technological advancements and innovations are often not correctly applied, leading to inefficiencies in supply chain operations. For instance, the poor application of technology in the logistics industry can lead to a lack of transparency and ineffective communication, potentially causing disruptions and poor processing.
This article will explore how technology can be leveraged to streamline transparency and communication, leading to a more effective logistics and transportation process.
Overcoming Obstacles in Logistics: Transparency and Communication
The modern supply chain is all about rapid transportation and delivery. In this context, many organizations have evolved their logistics processes to integrate technology into their business and supply chain operations. However, for many, instead of getting optimized operations, it led to information silos and miscommunication.
This reflects the need for applying technology consciously, as information silos and the miscommunication resulting from it are significant contributors to the lack of transparency across the entire logistics process. You can find such problems in:
First- and Last-Mile Delivery
When the first- and last-mile teams lack synchronization and transparency due to inadequate tools and improper application, it can result in poor planning, delays, and incorrect deliveries, ultimately increasing supply chain costs.
Inventory Management
Discrepancies between real-time inventory levels and the warehouse management systems due to a lack of appropriate information result in stockouts and fulfillment delays. Inaccurate data in the system also leads to wasted resources — for instance, the unnecessary transportation of goods already on hand at a different location.
Sustainability Tracking
Sustainability is a critical component of any modern-day logistics and supply chain operation, and accurately tracking and reporting carbon footprint could enhance customer loyalty to the business. However, a lack of transparency between the supply chain and its suppliers, especially the third-party logistics providers, makes it challenging for companies to track and report their numbers in enhancing green logistics. When that is the case, they cannot report actual progress, putting them in a difficult spot.
Technological Innovations Addressing These Challenges
The bad news is that these challenges persist in logistics and supply chain operations across many organizations. The good news is that the problem is not a lack of technology but a lack of proper application.
Here are some technological innovations and solutions that can help with these:
Dashboard
Dashboards solve the challenges of communication and transparency because they provide all the information the user needs in one easy-to-use platform. The dashboard allows for proper scheduling, tracking, tracing, and real-time analysis of the entire logistics process. Through the dashboard, supply chains and other stakeholders can see the entire logistics process in real time and communicate effectively with other parties involved in the process. It serves as a control station.
Real-Time Tracking and Data Sharing
Solutions and applications like the IoT and GPS systems make real-time tracking and data sharing possible. These send real-time information about the shipment journey to the supply chain back offices. This way, the business is in the loop the entire time and can share this information seamlessly with customers. Real-time tracking also promotes vehicle safety and allows the logistics team to take proactive measures when necessary to avoid disruptions.
AI and Predictive Analytics
AI and predictive analysis have been game changers in analyzing and forecasting. With GenAI, more supply chains can see and change the future of their operations. Imagine a system that can effectively analyze data to forecast demands and potential disruptions in the logistics process. This allows businesses to follow market trends, streamline transportation, schedule vehicle maintenance, and navigate potential disruptions effectively.
The Role of 3PL Providers in Enhancing Technology Adoption
3PLs leverages expertise and experience to help businesses and supply chains simplify their operations. However, they cannot serve these businesses completely without the aid of technology, as tech solutions are the lynchpin for streamlined operations and higher throughput.
Look no further than Continental Logistics to leverage technology and improve supply chain operations. Continental Logistics leverages cutting-edge technology to provide unparalleled services, including transparency and seamless communication. With us, you can trust your business and supply chain are in good hands. Contact Continental Logistics today to experience the difference.
