Chapter Four: supply chain m and logistics

scm and logistics

1. Chapter Four Enabling Technologies and Emerging Trends in logistics

2. Chapter Outline Introduction Technologies used to track and trace in logistics Logistics and the Internet Emerging and Growing Trends in logistics

3. Introduction Logistics involves managing the movement of resources. This not only includes products, but the movement and storage of materials, tools, equipment, services, people and information. It includes transportation, packaging, warehousing, materials handling and condition management. It involves both forward and reverse flow, as well as managing inventory and warehousing. Logistics tracking refers to the methods and systems used for tracking resources throughout their movement and storage. With logistics tracking you'll know where your products, materials, or other resources are physically located at any time, as well as what is scheduled.

4. Technologies used to track and trace in logistics Track and trace technologies come in many varieties: GPS tracking for real-time location monitoring RFID tracking (Radio Frequency Identification) for scanning and data collection Barcode Scanning, and Internet of Things (IoT) solutions

5. GPS tracking for real-time location monitoring Real-time monitoring and reporting are essential for ensuring efficiency, safety, and security in industrial environments. One of the key tools that have revolutionized this process is the use of GPS trackers. GPS trackers are devices that use the Global Positioning System to accurately determine the location of an object, person, or vehicle in real-time. In industrial environments, GPS trackers have become invaluable tools for monitoring and reporting the movement and location of assets, vehicles, and personnel.

6. RFID tracking for scanning and data collection Radio frequency identification (RFID) is a form of wireless communication that utilizes radio waves to identify and track objects. RFID tags used to track and monitor each object are either active, passive, or battery-assisted passive, which is a combination of the two technologies. Active tags have their own internal power source, usually a battery, and tend to be the most expensive. In passive RFID systems, the reader and reader antenna send a radio signal to activate and power on the tag, it then reflects energy back to the reader. Passive tags are typically the most economical. Battery-assisted tags use an integrated power source (usually a battery) to power on the chip when it is in the range of a reader

7. Barcode Scanning Barcode scanning technology is an essential part of modern businesses, providing accurate and speedy tracking of products and inventory. Barcode scanning, also known as point-of-sale (POS) scanning or barcode reading, is the process of electronically capturing information encoded in a bar code on an item or product. This information can then be used to track sales, manage inventory levels, and identify items for purchase. Barcodes are most commonly found on retail items but can also be found on documents and other identification cards.

8. Reliability, maintainability, and supportability in logistics In the logistics industry, the concepts of reliability, maintainability, and supportability are crucial for ensuring the smooth and efficient operation of supply chain activities. These three interrelated factors play a vital role in minimizing downtime, reducing costs, and enhancing the overall performance of logistics systems. Reliability in Logistics Reliability in logistics refers to the ability of a system, product, or service to perform its intended function without failure for a specified period under given operating conditions.

9. In the context of logistics, reliability is essential for: Ensuring the timely delivery of goods and services to customers. Minimizing disruptions and delays in the supply chain. Maintaining the integrity and quality of products during transportation and storage. Factors Affecting Reliability Several factors can impact the reliability of logistics operations, including: Equipment and infrastructure: The maintenance, and proper utilization of logistics equipment, such as vehicles, handling systems, .. Human factors: training and decision-making abilities of logistics personnel. Supply chain complexity: The interdependencies and potential vulnerabilities within the overall supply chain network. Cont...

10. Maintainability in Logistics Maintainability in logistics refers to the ease with which a system, product, or service can be repaired or restored to its operational condition when a failure occurs. Effective maintainability in logistics involves: Proactive and preventive maintenance programs to minimize breakdowns. Efficient repair and replacement procedures to minimize downtime. Accessibility and availability of spare parts and maintenance resources. Supportability in Logistics Supportability in logistics encompasses the resources, processes, and infrastructure required to sustain the operational readiness of logistics systems. Supportability includes: Availability of technical documentation, training, and support services for logistics personnel. Effective inventory management and supply chain of spare parts and consumables. Collaboration with suppliers, service providers, and other stakeholders to ensure seamless support. Cont...

11. The Relationship between Reliability, Maintainability, and Supportability Reliability, maintainability, and supportability are interdependent and mutually reinforcing in the context of logistics operations: Reliable logistics systems require effective maintenance and support to maintain their performance over time. Maintainable systems rely on the availability of supportive resources, such as spare parts and technical expertise. Supportable logistics operations depend on the underlying reliability and maintainability of the systems and infrastructure. Cont...

12. Electronic connectivity and software The logistics industry has undergone a digital transformation, driven by the increasing adoption of electronic connectivity and software solutions. These technological advancements have revolutionized the way logistics operations are planned, executed, and monitored, enabling greater efficiency, visibility, and decision-making capabilities across the supply chain. Electronic Connectivity Electronic connectivity refers to the integration of various systems, devices, and data sources within the logistics ecosystem.

13. This connectivity is facilitated by a range of technologies, including: Internet of Things (IoT): The deployment of sensors, RFID tags, and other connected devices Telematics: The integration of GPS, cellular, and other wireless technologies Electronic Data Interchange (EDI): The exchange of business documents, such as purchase orders, invoices, and shipping notifications, in a standardized electronic format Cloud Computing: The use of cloud-based platforms and applications enables the centralization and accessibility of logistics data Cont...

14. Logistics Software Solutions Logistics operations are supported by a wide range of software solutions, including: Transportation Management Systems (TMS): Warehouse Management Systems (WMS): Enterprise Resource Planning (ERP) Systems: Supply Chain Visibility and Analytics: Automation and Robotics: Cont...

15. Benefits of Electronic Connectivity and Software The integration of electronic connectivity and software solutions in logistics can deliver a range of benefits, including: Improved Visibility and Transparency: Enhanced data sharing and real-time tracking enable greater visibility and transparency throughout the supply chain, facilitating better decision-making and responsiveness. Enhanced Efficiency and Productivity: Automated processes, optimized routing, and intelligent scheduling can lead to significant improvements in operational efficiency and resource utilization.

16. Reduced Costs and Increased Profitability: Streamlined logistics operations, reduced errors, and better inventory management can result in cost savings and increased profitability. Enhanced Sustainability: The optimization of transportation routes, reduced waste, and better asset utilization can contribute to more sustainable logistics practices. Improved Customer Experience: Increased supply chain visibility, faster response times, and reliable delivery can enhance the overall customer experience and satisfaction. Cont...

17. Logistics and the Internet The growth of the internet and digital technologies has had a profound impact on the field of logistics over the past several decades. The internet has fundamentally transformed how logistics operations are planned, executed, and managed, enabling new levels of efficiency, visibility, and responsiveness across global supply chains. The Rise of E-commerce Supply Chain Visibility and Optimization Cloud-based Logistics Software The Internet of Things (IoT) in Logistics

18. Cont... The Rise of E-commerce One of the most significant ways the internet has influenced logistics is through the rise of e-commerce. The ability to buy and sell goods online has dramatically changed consumer shopping behaviors and expectations. This, in turn, has placed new demands on logistics providers to fulfill orders quickly, economically, and with high levels of customer satisfaction. E-commerce has fueled the growth of last-mile delivery, reverse logistics, and omnichannel fulfillment. Supply Chain Visibility and Optimization The internet and associated technologies like sensors, RFID, and GPS have greatly improved supply chain visibility. Logistics providers and shippers can now track shipments in real-time, monitor inventory levels, and optimize routing and transportation. This enhanced visibility enables better demand forecasting, inventory management, and overall supply chain performance.

19. Cloud-based Logistics Software The proliferation of cloud computing has transformed logistics management software. Cloud-based platforms provide logistics companies access to powerful analytics, planning, and execution tools without the need for large IT infrastructure investments. This has lowered barriers to entry and enabled more agile, collaborative logistics operations. The Internet of Things (IoT) in Logistics The emergence of the Internet of Things, wherein everyday objects are connected to the internet, is opening up new possibilities in logistics. IoT-enabled assets like trucks, warehouses, and containers provide real-time data streams that can be leveraged to improve maintenance, asset utilization, and supply chain coordination. Cont...

20. Emerging and Growing Trends in logistics In today’s globalised world, logistics has easily become the backbone of every economy and continues to do so. It is evident that the logistics industry has overcome the worst phases of the global pandemic and will continue to keep moving forward. Tied together with the continuous rapid advancement of technology, new business models are constantly emerging. These have influenced the way industry leaders conduct business and shape the market. To secure an advantage in an ever-competitive industry, businesses and leaders should stay abreast of major industry trends and tap onto them to gain business efficiency along the supply chain.

21. Green Logistics As environmental sustainability has become an increasingly pressing global concern, the logistics industry has faced growing pressure to reduce its environmental impact. The concept of "green logistics" has emerged as a strategic approach to make logistics operations more environmentally-friendly and sustainable. Sustainable Transport One of the core focus areas of green logistics is sustainable transportation. This includes optimizing vehicle routes, using more fuel-efficient vehicles, and exploring alternative fuel sources like electric, hybrid, or biofuel-powered trucks and ships. Logistics providers are also investing in intermodal transportation to shift freight from road to rail or water-based modes that have lower emissions.

22. Warehouse and Facility Management Logistics operations rely on warehouse and distribution center facilities that consume significant amounts of energy and generate waste. Green logistics emphasizes reducing the environmental footprint of these facilities through measures like renewable energy generation, energy-efficient lighting and HVAC systems, and sustainable waste management programs. Reverse Logistics and Circular Economy Another key aspect of green logistics is reverse logistics - the process of recovering, reusing, or recycling products and materials at the end of their lifecycle. This supports the transition towards a more circular economy, where waste is minimized, and products are kept in use for as long as possible. Cont...

23. Collaborative Logistics The coordination and collaboration of logistics activities across supply chain partners can lead to environmental benefits. Initiatives like joint delivery, shared warehousing, and collaborative transportation planning can reduce empty miles, optimize asset utilization, and minimize the collective carbon footprint. Cont...

24. Packaging and reverse logistics Packaging and reverse logistics are two essential components of modern logistics operations. Packaging plays a crucial role in protecting products during transportation and storage, while reverse logistics focuses on the efficient management of product returns and end-of-life recovery. Packaging serves several critical functions in logistics: Protection: Packaging safeguards products from damage, deterioration, and contamination during handling, transportation, and storage. Containment: Packaging provides a means to bundle, group, and contain products, facilitating efficient handling and distribution. Identification: Packaging includes labels, barcodes, and other identification markers to enable tracking and traceability. Promotion: Packaging can contribute to the overall branding and marketing of products, enhancing their appeal to consumers

25. Global Logistics Concerns As supply chains have become increasingly globalized, logistics operations have grown in complexity and scale. This has introduced a range of challenges and concerns that logistics providers must navigate to ensure the smooth flow of goods worldwide. Geopolitical Risks Customs and Regulations Infrastructure Limitations Currency Fluctuations

26. Outsourcing and Third-Party Logistics (3PLs) In recent decades, the logistics industry has witnessed a significant shift towards outsourcing logistics functions to third-party service providers, commonly known as Third-Party Logistics (3PLs) companies. This trend has transformed the way organizations manage their supply chains and logistics operations. The Rise of 3PLs The growth of 3PLs can be attributed to several factors, including the increasing complexity of global supply chains, the need for specialized expertise, and the desire to focus on core business activities. 3PLs offer a wide range of services, such as transportation, warehousing, inventory management, customs brokerage, and reverse logistics, among others.

27. Benefits of Outsourcing Logistics By outsourcing logistics to 3PLs, organizations can benefit from several advantages, Cost Savings: 3PLs can leverage economies of scale and efficient operations to reduce logistics costs for their clients. Improved Efficiency: 3PLs have specialized expertise and technologies that can optimize logistics processes and enhance overall supply chain performance. Flexibility and Scalability: 3PLs can easily adapt to changing business needs, allowing organizations to quickly scale their logistics operations up or down as required. Access to Technology and Expertise: 3PLs invest in the latest logistics technologies and maintain a skilled workforce, which can be difficult and costly for organizations to develop in-house. Cont...

28. Selecting and Managing 3PLs When outsourcing logistics to a 3PL, organizations must carefully evaluate potential service providers based on factors such as service capabilities, industry expertise, financial stability, and cultural fit. Effective management of the 3PL relationship is also crucial, including setting clear performance expectations, monitoring key metrics, and maintaining open communication. Cont...

29. Logistics in Service Industries While logistics is typically associated with the movement and management of physical goods, the principles and practices of logistics also play a critical role in the delivery of services. Service industries, such as healthcare, financial services, and information technology, have unique logistics challenges that require specialized approaches. In service industries, the "products" are intangible, often consisting of information, processes, and customer experiences.

30. Current and Future Logistics Research Needs The logistics industry is constantly evolving, driven by technological advancements, changing customer demands, and global economic and environmental factors. As the field of logistics continues to grow in complexity, researchers are identifying key areas that require further exploration and development to address the industry's pressing challenges and shape its future direction. Current Research Needs Sustainability and Environmental Impact Digitalization and Automation Supply Chain Resilience. Last-Mile Logistics Workforce Transformation Future Research Directions Autonomous Logistics Predictive and Prescriptive Analytics Ethical and Responsible Logistics

31. The End