How the Internet of Things is Changing the Future of the Supply Chain
The supply chain is one the most important sector that directly influences the global economy. A market with an efficient logistics and supply chain process has a better edge over other markets in a way that it enables for faster movements of goods which then results to cost reduction and better consumer spending. According to a survey by Deloitte from 2014, 79% of companies with high-performing supply chains achieve revenue growth greater than the average within their industries. Conversely, just 8% of businesses with less capable supply chains report above-average growth. It is therefore important for companies to keep their supply chain processes as efficient and effective as possible.
To achieve such a feat, many supply chain operators nowadays take advantage of the Internet of Things (IoT) technologies. In fact, according to World Bank, Indian logistics industry has increased from 35% to 54% in recent times due to the adoption of IoT by many supply chain operators. Sensors are being deployed on different aspects of the supply chain – from asset tracking to maintenance – to capture, analyze, and fine-tune processes for increased efficiency. To give you a hint of how IoT is changing the future of supply chain, here are the key takeaways from the infographic below from Alba Logistics.
- Asset tracking – Using tracking technologies to determine the real-time location of every shipment, equipment, and asset.
- Fleet management – Using tracking technologies to connect all fleets and collect real-time data about their mileage.
- Inventory and warehouse management – Monitoring data from long-range networks to determine the activity level within the warehouse facility.
- Vendor management – Using data gathered from asset tracking tools to gauge the performance of vendors.
- Predictive maintenance – Equipping assets with sensors to determine if they need to be fixed ahead of time.
Check out the infographic below to learn more.