3 Shipping Technology Trends You Must Know About

There has been a recent rise in attention to the use of innovative technologies in the logistics and shipping sector. Industry analysts attribute this ‘hype’ to the pressing need to boost productivity in response to rising consumer expectations. Evidence shows that well-known corporations have invested in and/or implemented similarly novel solutions. Examples such as Amazon 2021’s announced plans to use drones for delivery in certain areas or Maersk, the world's largest container ship and supply vessel operator, utilizing blockchain-based platform for tracking shipping containers. Both initiatives aim to increase supply chain transparency and security. Thus, we believe it is vital to discuss some of the cutting-edge technologies that are expected to have an impact on logistics firms, focusing on the potential advantages and drawbacks of integrating these technologies.

1) Artificial Intelligence (AI)

The term "artificial intelligence" (AI) is often used to refer to the subfield of computer science that focuses on building intelligent computers that can perform and respond in ways that mimic those of humans. Building self-sufficient, intelligent systems is the primary objective. The use of AI in logistics and order fulfillment has the potential to improve both processes significantly. Indeed, the technology's ability to analyze data and make predictions, automate mundane processes, and optimize routing and delivery schedules consequently make it possible to achieve faster and more precise order fulfillment, lower transportation costs, and a more satisfying customer experience. While the benefits of artificial intelligence (AI) in logistics and shipping are clear, doing so may call for substantial expenditures in IT and physical infrastructure. To that end, companies need to weigh the advantages against the expenses before making a choice.

2) Blockchain Technologies

Blockchain technologies are decentralized, distributed ledgers that record transactions in a secure, transparent and immutable manner, features that make the technology resistant to tampering and fraud. Blockchain technology has gained widespread attention for its role in digital currencies like Bitcoin, but it has many other potential applications, including those in logistics and supply chain management. Addressing the former, Blockchain technology may well bring about a sea change in the logistics and shipping industries by facilitating safe and transparent package monitoring and boosting visibility across the supply chain. In addition to decreasing the potential for fraud and increasing efficiency, blockchain's distributed and tamper-proof nature also allows for real-time tracking of commodities and does away with the need for middlemen. This technology has the potential to increase the openness of supply chains by making it more simple for firms to check the legitimacy of items and follow their progress from manufacturing to distribution.

2) The Internet of Things (IoT)

The logistics industry is as well showing a lot of enthusiasm for the Internet of Things (IoT), another cutting-edge technology. The term "Internet of Things" (IoT) is used to describe the interconnected network of gadgets, automobiles, household appliances, and other things that are equipped with electronics, software, sensors, and connections. As a result of real-time cargo monitoring and increased supplier visibility, logistics might benefit from increased efficiency and decreased costs thanks to the Internet of Things. Using Internet of Things (IoT) devices and sensors, logistics businesses can track the whereabouts, temperature, and condition of shipments in real time. By using this data, transport routes may be improved, resulting in time and cost savings. Furthermore, giving precise and up-to-date information on the location and condition of shipments helps increase shipping insurance, hence minimizing the risk of losses and claims.

Summing up, we believe these technologies have the potential to radically alter the logistics sector by, among other things, enhancing delivery efficiency and lowering costs, increasing transparency and security in supply chain management, and so on. However, these technologies can only be fully implemented after extensive planning and the elimination of both technological and regulatory obstacles.