Amid the hype surrounding IoT today, one thing is clear: the IoT for Logistics Industry is a key player poised to benefit from the IoT revolution. With millions of shipments being moved, tracked, and stowed by a variety of machines, vehicles and people each day, it is no surprise that logistics and IoT are a perfect match.
In logistics, Internet of Things can connect the different assets along a supply chain in a meaningful way, and then analyze the data generated from these connections to capture new insights.
By doing so, IoT empowers logistics providers to unlock higher levels of operational efficiency, while creating customized, dynamic, and automated services for their customers.
Falling prices of device components (sensors, actuators and semiconductors), faster wireless networks, and increasing information crunching capabilities only compound the business benefits, ensuring that it becomes a disruptive trend in the IoT for Logistics Industry over the next decade.
IoT Impacts on Logistics
- IoT ensures far reaching payoffs for logistics operators and their business customers and end consumers.
- These benefits extend across the all over logistics value chain, including warehousing operations, freight transportation, and last-mile delivery. And they impact areas such as safety and security, operational efficiency, customer experience, and new business models.
- With IoT, we can start to tackle difficult operational and business questions in exciting new ways.
- In essence, IoT in the world of logistics will be about “sensing and sense making”.
- Sensing is the key for monitoring of assets within a supply chain through various technologies and the mediums; sense making is concerned with handling the vast amounts of data sets that are generated and then turning this data into insights that drive solutions.
IoT “SENSING & SENSE MAKING” in the World of Logistics Industries
- Mobile computing is now a day growing steadily with more mobile phones expected in 2020 than people in the world
- According to the consumerization of IT, sensor technology has become more mature and low-cost to be used for industrial purposes in logistics
- With the shift towards 5G, wireless communication will reach a new level of maturity connecting everything anytime
- Big data and Cloud computing technologies will enable new data-based services
Need for Logistics Solutions
- High need for integrity and transparency control along the supply chain
- End consumers are asking for detailed shipment tracking to have transparency in real time
- Business customers are asking queries for integrity control especially for sensitive goods
- Logistics companies wants transparency of networks and assets being used for ongoing optimization of efficiency and network utilization
IoT Best Practices
As with most technology transitions, it is helpful to look at IoT in a broader context, and to consider some of the best practices from other industries. This can inform and inspire the use of IoT for Logistics Industry. We have chosen a number of innovative IoT examples, clustered into two functional categories; each provides individuals or companies with significant benefits
Traffic and Fleet Management
Optimizing asset utilization to drive greater efficiency is at the heart of IoT value; according to Cisco’s calculations, it accounts for roughly 25 percent of the total Value at Stake from IoT.
Vehicles are among the assets most important for improved efficiency, especially in terms of traffic and fleet management.
Resource and Energy Monitoring
- Operational efficiency is not exclusively about lowering costs. IoT sensors are ideally suited to tracking all kinds of resources, including petroleum and electricity, natural gas, and water.
- IoT technology has hard potential to enable good environmental sustainability. IoT can reduce waste, prevent disasters, and be a critical component of the smart energy grid of the future.
- Municipalities, utility organizations, oil and gas companies, and consumers themselves are among the many entities and individuals tapping into IoT capabilities to optimize their use of resources.
Connected Production Floor
- As was the case with in-vehicle telematics, sensor-enabled applications have been commonplace in the field of industrial automation and the manufacturing process control for many years. Bosch, ABB, GE, and Rockwell Automation are just some of the organizations that have invested heavily in this area.
- Most production floors were historically managed by operational technology that was “closed”, running on proprietary network protocols and the legacy management app. With IoT, all these systems are now migrating to open IP standards, resulting in increased scalability, interoperability, uptime, manageability, and security.
Success Factors of IoT for Logistics Industry
- Standardized and clear approach for the use of unique identifiers or tags for various types of assets among different industries on a global scale
- Seamless interoperability for changing sensors information in heterogeneous environments
- Establishment of trust and ownership of information and overcoming problems of privacy in the IoT-powered supply chain
- Clear focus on reference architecture for the IoT
- Change in business mindset to enable the full potential of the Internet of Things
Integrating IoT solutions in Logistics is going to be essential to match with the increasing needs of the digital world. If you are willing to digitize your Logistics Industry, then IoT should be your first choice.
Contact us to know more about IoT for Logistics Industry solutions and we also provide services like IoT Logistics Training, IoT Logistics Application Customization, IoT Logistics Support and IoT Logistics Staffing.