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High Tech Logistic Companies Race to Minimize Empty Loads

The Importance of the Logistics Industry

Logistics is a very important industry in this day and age and there are a number of logistics companies fighting it out for a major share in this ever growing industry. With people able to connect each other even when they are physically far away with the internet, people tend to send gifts and goods to each other consistently as well. While they can connect online, they can’t send each other anything online. It’s here that transportation and logistics companies come into the picture and arrange for the transportation of the goods to people who are miles away even though they look very close over the internet. 

The market for logistic companies is huge and this is why a number of logistics and transportation companies are looking to get a hold of this market. This means that the competition is tough and the logistic company which combines quality service with proper use of technology might gain the needed edge over the rest to dominate the market for a number of years. 

How Technology Has Changed the Game?

Till a few years back, experience was the most important factor in the efficient operation of logistic companies. One needed to have the experience of loading containers, of maintaining vehicles and of knowing the routes through which packages can be delivered to ensure efficient operation. However, technology has changed the game drastically. While there is nothing more valuable than experience, the experience of employees alone isn’t enough to cut down costs and ensure that the customers get great service. Technology has brought improvement in every field of transportation and logistics. The improvements are in the fields of:

Load Management

Till a decade or two ago, experienced individuals who had seen the loading of containers for a number of years were necessary to properly load containers. However, with load management software, there is no need for any experienced individual to be on hand. All one needs to do is to basically enter the weight and size of the items to be loaded and the software would then decide the best place for each load to be placed so that it stays safe and so that the space in the container is used efficiently as well. According to estimates, the software usually saves 10-20% more space than the designs of an experienced employee while the load management is done in such a manner that the chances of the items getting damaged during transportation go down by around 5-10% as well. This means that the company saves a lot more space and can thus accommodate more goods. This translates into more revenue for the same operational cost. This also means that the chances of goods reaching their destination safely move up and thus, company avoids expenditure due to damage to goods during transportation. And companies which use technology to achieve this would basically be able to invest more in their business and thus, establish themselves quicker and gain an edge over their competitors. 

Route Management

You needed a person who has travelled the world and knows of most routes to decide the best route through which items could be delivered a few years back. However, with exact maps available and with software programs that can calculate the best routes to deliver the packages safely and quickly, it is easy to see how technology has changed the game completely. Even an experienced individual won’t be able to analyze the different routes present and also see which route would be safest and which route would get the package delivered in the shortest time possible. Technology not only ensures that logistic companies can provide realistic timelines but also ensures that logistic companies save costs by taking routes that utilizes the least amount of fuel. 

Customer Service

With tracking systems available, it’s easy for logistic companies to actually provide up-to date information to customers about the place where the package is and the timeline in which the package would reach the desired destination. People normally want updates and get happy when the company provides the information promptly and then promises a timeline which it adheres to. This is what customer Service is all about.

Who’s winning the Race of Using Technology to their Benefit?

The answer to this question is to simply look at the companies which are dominating the logistic market right now. Companies like have got a stronghold on the market these days and this is an indication that these companies are using technology brightly and are saving on operational costs and are using those savings to invest more in their business! And it’s this investment that is helping them gain a bigger share in the market!

 

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