With plenty of new businesses exploring the concept of logistics and 3PL, it’s important to understand the industry and any top trends for the sector in 2020. The supply chain and logistics industry is an exciting space, and thanks to new developments in technology it is fast becoming an area that is evolving and rapidly changing thanks to innovative digital technologies and advancements in supply chain processes.
Trends in the supply chain and logistics industry to watch
Outlined below are some exciting trends for the logistics industry to be aware of, particularly when it comes to technology and security.
Blockchain and logistics
An emerging trend in the logistics world you might have heard about is the use of blockchain solutions in supply chain management. Blockchain technology can work to reduce costs, boost transportation efficiency, and ensure visible and transparent supply chain services for clients. With heightened security, supply chain management has the piece of mind that transactions and supply chain steps are safe and secure.
Adrian Pollard, cofounder of the crypto exchange development company bitHolla says, “One of the major hurdles when it comes to supply chain and logistics is getting the data of what is happening in the real world into the digital blockchain world fast and uncorrupted. I predict as scanning technology and AI gets better at reading the real world it will become more seamless mixing both blockchain and physical world events.”
AI is no longer saved for science fiction films, it is an exciting emerging trend in logistics that works to provide plenty of opportunities for shipping and more accurate customer experience. AI can look for insights into functions including back office, last-mile delivery, and even optimize shipping routes.
Automation in warehouses
Warehousing and distribution centers are where the magic happens in logistics and automating processes including lifting, transporting, and preparing for shipping can streamline logistics and allow for accuracy across the board. On top of this, in the world of 3PL, using automation can lower the cost of manpower and allow for a faster output when repetitive tasks are involved such as picking and packing.
Ethical supply chain
An ethical supply chain is a trend that logistics and 3PL should be keeping an eye on. This includes safe and fair wages for employees, ethical processes, and even green systems in the supply chain process. 3PL and logistics is a valuable and essential service for SMEs and business in general both in Australia and abroad. The digital advancements certainly help to boost productivity and allow for a wide range of exciting developments in the supply chain and logistics space. Whether it is 3PL, 4PL, or even 5PL, logistics are a fantastic way for businesses to expand and streamline processes without the need for warehousing and distribution space.