The worldwide growth of the logistics industry has been monumental over the years and there has been a great improvement in the logistics infrastructure globally as in recent times we are witnessing global pressures, new chances in the e-commerce industry along with the coalition around new technologies in the industry. There has been great progress in the supply chain process from the first assembly lines to today’s advanced robotic solutions. This all is due to technological innovation in the industry making logistics and supply chain one of the most influenced sectors.
Elements like increasing disposable incomes, dual-income households, and regular urbanization have allowed the use of logistics trends combined with the digital revolution in the industry. Companies are now able to meet consumer needs in a better way as they have gained a lot from the technological advancement in the industry. Progression of the retail sector getting hold of excellent inventory management and warehousing solutions coming to the aid of customers has accelerated the use of new technologies to leverage its services.
The logistics sector is undergoing an important transformation as new technological solutions come into everyday use, driven by market trends like artificial and augmented intelligence, advanced analytics, and automation, etc. Various companies have started engaging with logistics service providers for catering to the customized demands of the consumers right from packaging and labeling to shipment, transportation, and last-mile delivery.
Technologies like artificial and augmented intelligence, advanced analytics, and automation, etc have come to the rescue of the logistics sector giving it a complete transformation. Personalized look over the demands of the customer and delivering them in terms of packaging and labeling to shipment, transportation, and last-mile delivery have become the norm of the industry.
With the help of new technological solutions and innovations, it is expected that the global logistics market by the end of 2022 will be registering a CAGR of over 7%. With this new trend comes the responsibilities for logistics companies to adapt or fall behind. Factors like the new pattern of consumer demands, rising e-commerce use, and cut-throat competition in the market have also been the reason behind the transformation in the industry. The use of digitization is a must for the logistics sector to become habitual to the speedy footsteps, highly competitive, omnichannel business environment.
Nowadays every customer wants the product and services to be faster and cheaper. This cannot be achieved without the use of digitalization by logistics industries. Digitization over the years has also evolved. It is no longer simple Information & Communication Technologies or ERP but about formulating new business strategies to shape different industries. Different supply chain operations like speed, dynamics, and flexibility offer higher gains. On the other hand, digital knowledge offers customers the option of choosing the best-customized products according to their needs. Digitization can reduce both the procurement cost as well as supply chain costs.