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TECHNOLOGY IN LOGISTICS


Photo Credit: Raising the bar for internet access: Introducing “Meaningful Connectivity” – World Wide Web Foundation


By Carolyn Berg | August 8, 2022


Technology has become the primary way individuals chose to communicate in 2022. With technological advancements such as iPhones, tablets, laptops, and all other digital communication devices, the future of technology is infinite. This has led to the advancements the transportation industry is experiencing quickly.


TRUCKING

Technology in trucks themselves has come a long way. Prior to the boom in technology, trucks could be out of commission for days, weeks, and even months.


New technology advancements such as ECMs - electronic control modules - notify the driver of what trucking issues are happening at the scene. The ELD – electronic logging device – mandate went into effect roughly five years ago. ELDs monitor the trucks’ engines and record data tracking if the truck is moving, for how long, and how many miles the truck has gone. This mandate ensures that drivers’ hours of service are within compliance with DOT and FMCSA regulations.


These new safety measures provide real-time data for those shipping/purchasing goods. This new overall lack of downtime allows for more revenue to be generated.


SHIPPERS

Shippers continue to operate by printing physical documents. Bill of ladings must be present for drivers to check in and out of their facilities.


Thanks to technology, shippers can now directly communicate with brokers by having direct access to tracking loads which cuts the downtime of moving products.


The two inventory management categories are just-in-time and just-in-case. Just-in-time inventory operates by ordering products to meet the immediate customer demand. Businesses that operate with just-in-time inventory tend to have much more money on hand through efficiency and data. On the other hand, just-in-case inventory focuses on anticipated consumption and large inventories to reduce the risk of backorders. This leads companies to have a lot more products on site. Overall, just-in-time inventory tends to surpass just-in-case inventory. By collecting data on earning reports, shippers can make more money more efficiently.


BROKERAGES

Logistics brokerages have come a long way. They connect as the middleman between customers and carriers. When brokerages first began, they had to fax papers to carriers which was very time-consuming. However, new computer technology advancements allow brokerages to work 10x more efficiently.


Applications such as WhatsApp and Telegram, allow brokerages to message/call shippers instantly. These improvements allow brokerages to take on much higher volumes of freight along with booking loads more quickly.


Modernized TMS systems connecting with shippers’ internal software have created an evolved transportation environment surrounded by accuracy in the translation of information between shippers and carriers, and less labor-intensive data entry points that are statistically bound for human error. These combined assets jumpstart a transportation world aligned with modern technology that the economy benefits each day.


NEW TECHNOLOGIES

Social media has been a facilitator of how technological advancements can be utilized in the economy. The social platforms that have evolved over the past 20 years have allowed for increases in digital marketing, advertising, and recruiting. Staying active on these platforms allows carriers to continue building and maintaining connections. There is still plenty of room for improvement and elevation in logistics technology that will evolve over time. Overall, technology has been extremely beneficial to logistics and transportation as it has broadened possibilities and brought several improvements to increase the buyer’s benefits.






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