As suggested by a study conducted by DHL & Cisco trend reports 2015, the count of 15 billion connected devices by Internet of Things (IoT) in 2015 will rise up to 50 billion by 2020. And that is only about 3% of the devices which can be connected and included into the connected things network for automated processes. But industries seems to be going more aggressively for adoption of IoT in their business architecture owing to the benefits IoT can impart. A staggering rise of 333% since 2012 in IoT deployments is reported by Forrester Research in a study with Zebra Technologies. This directs us to the exceptional benefits which logistics industry can gain from IoT and the specific areas where internet of things companies are sought.
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Contrary to the general perception of IoT for logistics being only relevant for advanced countries, the biggest beneficiaries could be the developing countries. Logistics is a unique foundation for sustainable economic growth for any economy. Internet of things helps in inducing the positive effects irrespective of the economies it is included in. The cost of investment is outrun by the benefits or savings cultivated by the proper implementation of the IoT solutions in logistics. This makes it a beneficial option for developing economies too. Some areas where internet of things is delivering exceptional results are described below.
IoT has been performing exceptionally well in detecting risks and avoiding mishaps in logistics domain. For an instance, Union Pacific which is the largest railroad in US has been able to reduce the bearing related derailments. This has been achieved by employing acoustic and visual sensors to the rail tracks monitoring them, the same is connected with centralized alarm system which issues the warning upon detecting any anomaly. The derailments avoided would have otherwise costed around $40 millions in the damages and delays.
The risks are not limited to the moving logistics. Even in warehouses where the pickup or load boarding is done, IoT solutions are becoming handy to reduce large damages to the health of workers or machinery. Industrial Truck Association(ITA), US, states that the 855,900 forklifts active in US results in around 100,000 accidents every year. Sensors which can help in developing a radar system for these forklifts can be helpful in avoiding the collisions. This can even help in uneven loads on pallets due to incorrect uploading.
[bctt tweet=”Industrial Truck Association(ITA), US, states that the 855,900 forklifts active in US results in around 100,000 accidents every year. ” username=”Dreamorbit”]
946 is the number of cargo thefts recorded by FreightWatch across US. Organised freight theft has been increasingly becoming one of the major reasons for losses for freight companies. Solutions such as SmartSensor by DHL are becoming popular as they provide full monitoring for the freight across the transit time and region. The advanced sensors which are employed by many freight monitoring systems are equipped to detect the changes in temperature, any light or shock events and breach in the freight container also helps in ensuring that immediate action can be taken in case the freight is in danger or prone to any damage.
Visibility for in-transit carriers
Cloud based GPS & RFID systems are providing logistics carriers key location stats which were otherwise impossible to gather. This is not only making the whole process of supply chain agile but also delivering a greater control to the supply chain managers to predict the time of deliver and schedule accordingly. The accurate information about the location and tentative time of delivery also helps in rerouting which can be for better utilization of carriers to transport freight. With the shortage of drivers and need to utilize the carriers on the road to the optimum level, greater in-transit visibility is a classic advantage for logistics companies.
Diagnosis & Alerts
Predictive asset lifecycle management is becoming one of the most successful practices among the logistics companies to keep their fleet in the best shape. This helps in taking preventive measures such as maintenance and repairs even before the damages occur due to visible reduce in the productivity of the asset. The task is performed by deploying sensors to the key areas of the assets which are otherwise hidden or difficult to track for any damage. These areas can be oil or damper systems which are the most active regions when the asset is in use. The sensors allows to keep a track on the material damage which happens with time and allows to autonomously decide that what is the ideal time for a maintenance break.
As the logistics industry is battling with the huge problem of driver shortage, it is the need of the hour to find more autonomous solutions and better ways for asset utilization. As suggested by Cisco, imparting greater efficiency into the system and optimizing the asset utilization goals accounts for the 25% of the value generated by IoT solutions. This validates that internet of things is one of the primary technology solutions which are employed to reduce the detention periods, making the last mile delivery efficient, delivering better monitoring practices for in-transit cargo.
Internet of things for logistics companies is not a new concept but it has definitely able to add a fresh perspective in the industry. This has helped in remodelling the supply chain for the better and has evidently made it more secured and efficient. With the help of the key benefits of IoT, DreamOrbit is also helping its clients to get customized IoT solutions for their logistics need.
DreamOrbit is a Logistics and Supply Chain Technology Development company. We have been creating meaningful and reliable software products for the industry which is “Always on the go” for the past half decade. We are highly motivated team aimed at innovation. Our philosophy is to “keep challenging the potential within”. With the support of our happy customers and dedicated team, we strive to provide best possible solutions to industry problems. Visit our website to know more about DreamOrbit.