IoT- Redefining Logistics

Unsolved Issues

Contrast Data

Where different logistics providers are used, the information is handed to the manufacturer through different methods as each provider uses their own proprietary systems and software. This means that the manufacturer will still need to consolidate the data from the different sources, which is a timeconsuming process. On top of that, individual providers may measure and report on different parameters, so if one of the providers in the entire supply chain doesn’t report on temperature, manufacturers end up with incomplete information.

“The biggest challenges that we saw in the past years are slowly withering away. The most important one being the change management. Changing software applications, infrastructure or a complete digital transformation is only possible if we change our mindset. The traditional and orthodox nature of the logistics industry kept it from growing as fast as other industries and change management was one of the major causes,” points our Siddiqui.

There is a huge shift taking place since the last few years, this sector has become more open towards adopting new technologies. The competition posed by the newcomers/start-ups has forced the older player to become more pro-active towards accepting the change. To support his claim, Siddiqui adds, “Having worked in the software industry for more than a decade, I can boldly say that change management is the top challenge for logistics and transport sector or any other sector for that matter.”

Every Data isn’t trustworthy

According to Siddiqui, the challenges that were a part of the IoT system are slowly withering away. “Changing software applications, infrastructure or a complete digital transformation is only possible if we change our mindset. The traditional and orthodox nature of the logistics industry kept it from growing as fast as other industries and change management was one of the major causes.”

The competition posed by the newcomers/start-ups has forced the older player to become more proactive. “Having worked in the software industry for more than a decade, I can boldly say that change management is the top challenge for logistics and transport sector or any other sector for that matter,” concludes Siddiqui.

The logistics providers that report data back to the manufacturers while the goods are in their care do so through their own reporting mechanisms. This means that there is still a high level of trust required from the manufacturers as it’s in the logistics provider’s best interest to not report on any issues while they’re in charge of the products.

The world of logistics has now been exposed to a vast pool of smart physical devices, those which are built with supremely high-definition technology and are well-designed to communicate with each other over the Internet. Interestingly, the number of these IoTenabled devices has been increasing at a fast pace and is forecasted to reach up to 30 billion by 2020. IoT players believe that this is a great market for the logistics and transportation companies to flourish. Right competition mix, right demand matrix and the best technological landscape has fueled the growth of this sector which is around CAGR 10.5% year-on- year.

On a global scale, new digital infrastructures will be required to enable physical and digital services to create “smart services.” Internet of Things will unlock the doors for endto- end customer satisfaction and will successfully optimize supply chain responsiveness.

Rohan Ambike