There is no doubt that the transportation and logistics industry is experiencing a significant transition as new technological results fall into daily usage, guided by market trends. At no time in recent history has there been such a wide degree of political, economic, cultural, technical, ecological and legal transition impacting this sector of the economy.
We would like to share with you 5 Logistics Trends Transforming the Global Logistics Market in 2019
1- Adoption of Data Analytics and Big Data Logistics
The use of Big Data and Data Analytics in the logistics industry permits a wide range of stakeholders to engage in the business to make informed purchase decisions. Companies are now using big data to predict busy times, potential future supply shortages and other visions into strategic decisions that boost their market position and offer important competitive benefits over other counterparts. More than 90% of shippers and third-party logistics companies expect that data-driven decision-making is extremely crucial to supply chain operations, as big data enhances quality and performance by delivering active supply and demand prediction, inventory management, route planning and productive labor-management, in turn boosting the development of global third-party logistics
2- Logistics Automation and IoT
Automation has achieved traction in the logistic industry, together with the rapid implementation of the Internet of Things (IoT). Retail 4.0 is one of the main logistics developments that changed the global supply chain sector. The implementation of IoT in the logistics industry overcomes challenges, including shipment delays, driver mistakes, inadequate freight tracking, obsolete IT deficiencies and robberies. Therefore, this next wave of effective supply chain management is supposed to exploit IoT and edge computing to provide integrated real-time insights. For starters, the U.S.-based Union Pacific recently implemented an IoT-based system to anticipate equipment failures and minimize derailment threats by using visual and auditory track sensors. The increasing embrace of logistics automation and IoT has spurred the advent of connected logistics.
3- Logistics Safety Becomes the Topmost Priority
Despite increased access to the Internet, there has been worries among companies regarding cyber security and logistic protection. In fact, the security of private consumer data is another key concern, creating the safety of logistic solutions one of the top priorities. Constant attacks on websites and e-commerce companies, including Amazon, Walmart and others have also exposed possible cyber security risks. This has encouraged logistics companies to concentrate more on providing a reliable logistics solution.
4- Elastic Logistics
Elastic logistics is anticipated to surface as the new technological buzzword in the logistics and supply chain sectors. Essentially, it relates to the versatility of increasing and diminishing capacities to match demand within the supply chain over a timeline. The use of elastic logistics is one of the latest logistics trends that can help companies around the world by improving customer experience, offering flexibility and scalability, adding real-time transparency and linking all business processes. Changing demand and variations in orders were managed by 3PL companies by having their activities much more flexible in terms of capacity planning as required
5- Implementation of Chatbots and Collaborative Robots (Cobots)
According to the Logistics Bureau, it is anticipated that the use of voice-controlled chatbots to communicate with consumers to perform specific actions at some purchase points in the supply chain, such as shopping, ordering, picking and others, would continue to trend in the global logistics industry. Moreover, robotics is also expected to revolutionize the logistics industry with e-commerce companies, including Amazon, engaging in growing the production of logistics robots for several roles in warehouses, including packaging, storing and picking. In fact, different market participants are exploiting the introduction of collaborative robots or cobots that will be used for productive order fulfillment warehousing and distribution operations. As a result of the growth in Robots-as – a-Service (RaaS) subscription business model would enable distributors, third-party logistics and Shipping companies in Dubai and e-commerce sites would be able to use robots to meet their needs, resulting in a significant increase in the global logistics robots market to witness significant growth throughout the estimated period.
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