With technological advances and the digitization of many processes, the delivery time of merchandise, maritime freight costs and even the emission of greenhouse gases can be reduced by up to 20%. According to a survey by logistics company MTM Logix, this result is possible to be obtained through advanced algorithms that optimize routes based on traffic, weather, among other variables. In addition, real-time tracking and predictive analytics can avoid delays and ensure efficient inventory management.
“Nowadays, the key disruptive technologies in freight and logistics include artificial intelligence (AI), internet of things (IoT), blockchain, autonomous vehicles, drones and robotic process automation (RPA). Using these tools can save significant time and costs. For example, route optimization can reduce fuel costs by up to 20%, while RPA can reduce operating costs by automating repetitive tasks. Predictive analytics, meanwhile, can reduce inventory costs by up to 30%,” says Mario Veraldo, CEO of MTM Logix.
Companies that use these technologies will come out ahead of their competitors. Those who fail to adapt will become less and less competitive due to higher costs and lower efficiency. The key point is not the technology itself, but whether it is being put into practice and how.
By creating enhanced visibility in global trade and reducing the inventory-to-sales ratio, technology can also significantly contribute to reducing gas emissions and optimizing resource utilization. Advanced forecasting tools can minimize overstocking, decreasing storage energy costs and also the waste from unused products. In addition, implementing AI-driven route optimisation technology can reduce fuel consumption by up to 20%, driving a drop in greenhouse gas emissions.
“As a result, technology contributes to more efficient supply chains and promotes sustainable practices,” says Veraldo.
It is important that everyone involved in the chain follows the market trends to avoid losses. When companies modernize, for example, but port systems do not keep pace, inefficiencies and bottlenecks are generated in the market. Among the solutions, in these cases, are digital supply chain control tower platforms, which fill gaps by integrating and simplifying the exchange of information between different systems.
“Our platform and control towers, for example, are very flexible and can generate insights with 50 submissions. A 5PL service, like ours, that manages the entire supply chain, with a solution that brings data and operational efficiency, reflects directly on cost savings, lower resource utilization and greater control. All of this helps to reduce companies’ total supply chain costs by 30%. The idea is to reinvent global logistics using a combination of AI, Machine Learning and Big Data”, concludes Veraldo.
MTM Logix collects unique customer data that is not consolidated anywhere else, fundamentally transforming their supply chains with process automation and data analytics. With this, MTM is able to prescribe any changes for better development, and in this way, these technological solutions translate into best practices and cost reduction.
