5 emerging technologies shaping the future of logistics

The logistics industry is going through an unprecedented and rapid transformation, paving the way for innovation and upheaval in the near future. A myriad of emerging technologies are shaping the future of logistics.

A world where nothing would be transported or delivered seems like an absurd thought. Thanks to logistics, distribution is now prompt and efficient. Logistics play a crucial role in a nation’s economy by providing employment and contributing to its GDP. The global logistics market is estimated to reach 15.5 Trillion USD by the year 2023 in terms of revenue. Today, logistics and technology are integrated, so that growth and efficiency of the logistic industry can be enhanced. The changing customer requirements are a key factor in shaping the technologies used by the industry. Hence, the integration of logistics and technology. Here’s a brief evaluation of a few emerging technologies bound to influence the future of logistics.

Internet of Things

IoT plays an important role in logistics. Since IoT is capable of transferring data over any network, it can monitor people, employees, and equipment, while ensuring their security and safety. It enables managers to examine and understand ongoing activities in a factory or company, such as the performance of machines and equipment, energy consumption, ambient conditions, the status of inventory, and the flow of materials, at any given point in time. It also enhances in-transit visibility, thus bringing more orders to industries. Besides, IoT can also predict imminent problems and hurdles that may inhibit the development of any or all aspects of the logistics industry.

Artificial Intelligence

The world now consists of 1.1 million working and functional robots. They are efficient and reliable when it comes to manufacturing, production, and delivery. Moreover, they can work alongside human workers in factories. Japan and the USA are countries that have already implemented robotic services and artificial intelligence in several of their logistics processes. The near future will witness a shift, where robots will replace blue collared jobs and customer service will be less frustrating by the assistance of chat bots.

3D Printing

The world with 3D printing is a fascinating possibility. Today, 3D printing is not just a possibility but also a reality in many companies. Globally, only 19.2% of manufacturers and retailers are using 3D printing, but only 1.5% of them can provide any actual expertise. However, in the next 20 years, logistics companies will have adequate knowledge on the topic. 3D printing will facilitate the storage and replacement of parts in virtual warehouses as data models and in digital form, making it possible to print them anytime and anywhere on demand. There will be a rise in last minute shipping, as most goods could be printed out close to the customer’s location. 3D print centers will also spring up close to sales markets, promoting regional and local production.

Drone Delivery

Drone delivery is an actual possibility in the next few years. An unmanned aerial vehicle, it can relieve city traffic by facilitating delivery service through the skies. It also has the potential to challenge geographical conditions and poor infrastructure, especially in rural areas. In fact, Google is already testing UAVs for rural deliveries in Queensland, Australia. At some point, drones will also be used to track assets, monitor and flag areas or roads with high risks, and to search and locate missing employees.

Driverless Vehicles

Driverless vehicles are vehicles capable of driving and navigating without any kind of human input. Equipped with electronic eyes, ears, and sensors, its application in logistics can enormously reduce costs and lower the burden of human effort. However, implementation is still a challenge, since only 12.78% of logistics companies have any knowledge or expertise in this area.

There is a lot of hype about these emerging technologies. However, the future of logistics remains in the hands of logistic companies who are willing to experiment. In order to accrue the above-mentioned benefits, and maintain a competitive advantage, logistic companies must leverage the available technologies and incorporate them as much as possible in their core systems.