Role of Technology in Logistics and SCM

1
Role of Technology in Logistics and
Supply Chain Management
2
INTRODUCTION

• The logistics and supply chain industry is
  rapidly transforming due to increasing customer
  demands.
• Technology is enabling seamless, real-time, and
  optimized product journeys from raw material to
  customer.
• Key advancements are redefining efficiency and
  customer satisfaction standards.
• Embrace these innovations to stay competitive and
  enhance your operations.

3
Traditional Logistics Supply Chain Practices

• Manual Tracking
• Handwritten logs used for monitoring inventory,
  order statuses, and transportation routes.
• Frequent manual updates required for accuracy.
• Paper-Based Processes
• Physical documents used for purchase orders,
  shipping manifests, inventory lists, and
  invoices.
• Records managed and retrieved manually from
  physical files.

4
Common Challenges with Traditional Practices

• Inefficiencies and High Costs
• Time-consuming manual data entry and
  record-keeping.
• Increased risk of errors and slower operations.
• Greater need for personnel and physical storage,
  leading to higher operational costs.
• Lack of Real-Time Visibility
• Difficulty accessing up-to-date information on
  inventory and shipments.
• Delays in data availability impede quick
  responses to supply chain changes.

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Role of Technology in Logistics

• Tracking GPS and RFID offer real-time shipment
  location and status updates, enhancing visibility
  and accuracy.
• Inventory Management Advanced software tracks
  stock levels, forecasts demand, and automates
  stock control.
• Automation Automated systems handle tasks like
  sorting and packing, speeding up operations and
  minimizing human error.

6
Technologies Transforming Logistics Supply
Chain Management

• Internet of Things (IoT)
• Tracking Shipments Sensors provide real-time
  location condition updates.
• Monitoring Inventory Offers real-time updates on
  stock levels and locations.
• Enhancing Visibility Improves overall supply
  chain transparency.
• Artificial Intelligence (AI) and Machine Learning
  (ML)
• Predicting Demand Analyzes data to forecast
  future needs.
• Optimizing Routes Enhances delivery efficiency
  and reduces costs.
• Automating Tasks Streamlines routine processes
  like data entry and order processing.

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Benefits of Using Technology in Logistics
Improved Efficiency Streamlines processes, reducing time for inventory management and order processing. Minimizes errors, leading to smoother and quicker operations. Cost Savings Reduces labor expenses and manual handling costs through automation. Data-driven insights optimize resource allocation and fleet management. Enhanced Accuracy Provides accurate, real-time data for better inventory management shipment tracking. Reduces mistakes from manual processes, improving overall reliability. Better Customer Service Offers real-time tracking expedited delivery, enhancing customer experience. Optimized routing efficient systems lead to faster deliveries and higher satisfaction.
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• As we have read in the slides, technology is
  significantly reshaping logistics and supply
  chain management by enhancing efficiency,
  accuracy, and customer satisfaction. The adoption
  of modern tools such as IoT, AI, blockchain,
  robotics, and big data analytics addresses the
  inefficiencies of traditional practices, offering
  substantial benefits including cost reductions
  and improved service delivery.
• To gain a complete perspective on this
  transformation, we will next explore the
  challenges of integrating these technologies,
  review real-world case studies, and examine
  emerging trends that will shape the future of
  logistics.
• Ready to dive in!

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Reasons for Integration

• Improved Accuracy Reduces manual data entry
  errors for more reliable inventory and shipment
  information.
• Increased Speed Accelerates order fulfillment
  and tracking, enabling faster decision-making and
  responses.
• Enhanced Customer Satisfaction Real-time updates
  and efficient service boost reliability and
  customer communication.