Technology Integration in Logistics: Improving Transparency and Control

“Where is it? When will it arrive? How much is this costing me?” These questions have kept many business leaders awake at night for too long. For businesses navigating complex supply chains, the need is to maintain transparency and establish control.?

The answer to the questions and the needs are in the profound transformation that the logistics industry has undergone in recent years: integrating advanced technologies. Whether it's tracking shipments in real-time, optimizing warehouse operations, or predicting demand, logistics platforms and technology integration offer significant advantages.?

Let’s explore the key innovations within the 3PL sector that give you greater visibility and control.

The Importance of Transparency in Modern Logistics

Supply chains are intricate networks of activities, from manufacturing to final delivery. With so many touchpoints, transparency is critical. Businesses need to know where their products are at every stage, the inventory status, and any pipeline risks or disruptions. Transparency leads to better decision-making, allowing companies to respond more quickly to customer demands and external challenges.

For logistics managers, any lack of visibility across the supply chain causes major setbacks. Without a clear picture of product flow, delivery times may be delayed, inventory levels may be mismanaged, and costs may spiral out of control.?

Fun fact: one of the leading causes of inefficiency in supply chain management is poor visibility.

• Only 6% of companies have full visibility into their supply chain. (GEODIS)
• 79% of companies with high-performing supply chains achieve revenue growth greater than the average within their industries. (Deloitte)
• Almost 60% of small and mid-sized businesses reported losses of up to 15% or more in revenue due to supply chain delays. (Anvyl)
• The lack of supply chain visibility can cost a company from 6% to 20% or even more of a company's annual revenue. (Conexiom)

This is where technology integration comes into play. New logistics platforms and technology solutions enable businesses to see and manage every detail of their supply chain in real time, providing control over processes that were once opaque or fragmented.

Technology Integration in the 3PL Sector

Third-party logistics providers have embraced technology integration to help businesses manage their logistics more efficiently. These providers act as a central hub, bringing together data from various points in the supply chain and offering tools to analyze and act on that data. Some of the key technologies revolutionizing logistics transparency and control are:

Transportation Management Systems (TMS)

A TMS is a core piece of software that logistics companies use to plan, execute, and optimize the physical movement of goods. By integrating TMS into a company’s supply chain, businesses track shipments in real-time, select optimal transportation routes, and analyze the performance of carriers. Companies utilizing a TMS have reported a 5-10% reduction in freight costs. (ARC Advisory Group) Some capabilities made possible with a TMS include:

• Route Optimization: Algorithms determine the most efficient routes, reducing fuel consumption and transit times. (UPS saved 10 million gallons of fuel by optimizing routes to minimize left-hand turns!)
• Carrier Selection and Management: TMS platforms evaluate carriers based on performance, cost, and capacity, ensuring the best match for each shipment.
• Freight Audit and Payment: Automates invoice verification, reducing errors and administrative costs.

The visibility a TMS provides into the movement of goods allows businesses to anticipate delays, avoid disruptions, and reduce shipping costs. When an unexpected event occurs — such as severe weather conditions or a strike — a TMS alerts companies and allows them to re-route shipments proactively.

Slash your shipping costs by up to 30% or more by leveraging a 3PL's aggregated shipping program. Solutions like NBD Transportation combine the shipping volume of numerous companies, securing competitive rates from multiple carriers and passing the savings on to you.

Warehouse Management Systems (WMS)

Warehouse management has become more complex with the growth of eCommerce, omnichannel retail, and increasing customer expectations for fast delivery. The use of a WMS can lead to a 25% increase in warehouse efficiency (Logistics Management). Modern omnichannel WMS solutions can:

• Track inventory levels in real time to avoid stock discrepancies.
• Monitor worker productivity to help optimize labor allocation.
• Automate tasks, such as picking and packing, to ensure that inventory is stored in the most efficient locations.?
• Help reduce errors, ensuring that customers receive the correct products quickly and accurately.
• Ensure fast and efficient fulfillment across all channels.
• Optimize and customize packaging size to lower your carbon footprint and reduce shipping costs.

Inventory & Order Management Systems (IMS/OMS)

Maximize your profitability by optimizing inventory with real-time synchronization across all locations and channels. Stay informed about products in transit, current stock levels, and low inventory.

Harness the power of automated order fulfillment with NBD Mission Control. Our intelligent software streamlines order processing, reduces manual effort, minimizes errors, and ensures fast, accurate order fulfillment. Boost productivity by unifying and synchronizing inventory management across various e-commerce platforms and offline outlets.

With a sophisticated order management system (OMS), you can strategically position inventory across multiple warehouses closer to your customers, reducing shipping costs and transit times. Automate this process with the NBD Mission Control platform to avoid split shipments and late deliveries.

Benefit from the efficiency of automated order processing, reducing manual workload and ensuring precise customer order fulfillment.

Predictive Analytics and AI

As businesses seek to optimize operations, data-driven solutions provide foresight to adjust inventory levels and transportation strategies accordingly. According to McKinsey, companies using AI in supply chain management have seen a 15% reduction in logistics costs and a 35% increase in customer satisfaction. AI-powered systems are becoming more prevalent in logistics, with abilities such as:

• Inventory Management: Predictive analytics can forecast demand for specific products, allowing ecommerce brands to optimize their inventory levels, minimize stockouts, and reduce storage costs.
• Demand Forecasting: Predictive analytics can help forecast demand for specific products, allowing ecommerce brands to optimize their logistics and fulfillment processes. Reduce out-of-stock or over-stock inventory situations.??
• Delivery Optimization: By analyzing historical data and real-time information, predictive analytics can help optimize inventory placement and reduce shipping times.
• Informed Strategies: Predictive analytics provides valuable insights into customer behavior, market trends, and operational performance, empowering ecommerce brands to make informed decisions and develop effective strategies.

Improved ROI: By optimizing marketing campaigns, inventory management, and pricing strategies, predictive analytics can significantly improve the return on investment for ecommerce brands.

By using predictive analytics, companies can also foresee disruptions in the supply chain and take proactive measures to mitigate risks. This allows for more efficient operations and better service, helping businesses to meet customer demands more reliably.

Cloud-Based System and Marketplace Integration

Many businesses today operate across multiple platforms and systems. Cloud-based integration allows these systems to communicate and share data, providing a seamless flow of information across the supply chain. This is particularly important for businesses with complex supply chains that span multiple countries or regions.

With cloud-based logistics platforms, businesses can access real-time data from anywhere, ensuring decision-makers have the information they need to respond to challenges quickly.

Marketplace integration, on the other hand, allows you to connect with customers shopping on a myriad of marketplaces such as Amazon, Faire, Walmart, and hundreds of other platforms. Easily sync your product catalog with top marketplaces, streamline order management, and fulfill every order from one central platform. Turn followers into loyal customers by selling on leading social platforms (FaceBook, Instagram, TikTok), build brand loyalty, and manage everything effortlessly with NBD Mission Control.

The Role of Robotics in Logistics

As logistics continue to evolve, robotics and automation are playing a significant role in improving efficiency and accuracy. Robots can perform repetitive tasks such as picking, packing, and sorting faster and with fewer errors than us mere humans, reducing labor costs and speeding up fulfillment times.

• Automated Guided Vehicles (AGVs) follow predefined paths using markers, wires, or magnetic strips to transport goods within warehouses.
• Autonomous Mobile Robots (AMRs) use sensors and maps to easily adapt to changing warehouse layouts and other dynamic environments, avoiding obstacles and optimizing routes in real-time.
• Robotic Picking Systems utilize advanced grippers and vision systems to increase picking speed and accuracy, especially relevant and advantageous for e-commerce operations with high SKU counts.

Benefits include:

• Reduce your fulfillment costs by alleviating labor fluctuations and constraints with highly flexible robotic automation.
• Ensure a high level of accuracy with automation, reducing human error.
• Accelerate fulfillment velocity ensuring your orders get out quickly and in the hands of your customers on time.?
• Increase safety by reducing manual handling and reduced walking, thereby increasing and operating 24/7 without fatigue.

Enhancing Control through Data and Analytics

With the integration of advanced technology in logistics, businesses now have access to vast amounts of data that can be analyzed to improve operations. By using data analytics, businesses can gain insights into every aspect of their supply chain: order accuracy, inventory levels, delivery times, transportation costs and performance — and more.

• Walmart uses data analytics to predict inventory needs, reducing carrying costs by 15%.
• FedEx analyzes route data to optimize delivery schedules for a 7% reduction in fuel consumption.

Logistics insights like these allow companies to identify trends and inefficiencies and make informed decisions that truly help optimize overall performance.?

The NBD Competitive Edge: Technology Integration

For 40+ years, NBD has stood out as a 3PL provider committed to leveraging the latest technology toward steadfast goals: to provide greater visibility, control, and efficiency in logistics. Here’s how our technology integration strengthens the supply chain:

1. Operational Maturity and Technology: We combine decades of experience with leading-edge tech, including AI-powered analytics, TMS (with real-time carrier rate comparisons), and WMS (with slotting optimization that places fast-moving items in accessible locations). With our transparency and decision-making tools working for you, your products can travel even the most complex supply chains with ease. Integrate across a myriad of systems and marketplaces to support your growth and control.?

2. Nationwide Network: Our strategically located warehouses across the U.S. are equipped with IoT devices to monitor inventory and ensure optimal stock distribution across regions. This combination of location and technology achieves two-day delivery to 96% of the U.S. at ground shipping rates. This is not only cost-effective — it meets customer expectations for fast and affordable.

3. Partner Ecosystem: Our collaborative network of freight forwarders, carriers, and technology providers gives you access to a wide range of logistics operations across multiple channels. We collaborate with them through API integrations, enabling seamless data exchange and coordination. This ecosystem provides you with unmatched flexibility and scalability as you need to grow.

4. Speed and Accuracy: Whether it's through real-time tracking, predictive analytics, or robotic automation (where we’re among just 7% of 3PLs using advanced robotics) — our technology-driven approach to logistics ensures fast and accurate deliveries. The NBD record beats industry averages for an order accuracy rate of 99.98% and an on-time delivery rate of 99.5%.?

The Future of Logistics is Tech-Driven

As businesses continue to face more demand for faster, more reliable shipping, the role of technology in logistics will only grow. And companies that embrace technology are equipped to be more adaptable in handling market fluctuations, disruptions, and evolving customer expectations.?

TMS, WMS, OMS, AI, robotics: these are the tools you will need to maintain control over your supply chains, preserve your margins, and improve customer satisfaction. For businesses looking to gain a competitive edge in logistics, partnering with a 3PL provider that understands how to get the most out of them is essential. At NBD, we’ve integrated technology and expertise so your company can navigate the complexities of supply chains with confidence — and ensure that your customers receive the fast, accurate deliveries they deserve.