With advancements in new technology, the logistic industry is rapidly changing in many ways.
Initially, the development of e-commerce websites has enabled retailers to reduce their presence in customer facing stores on the high street in exchange for customer facing websites which are supported with behind-the-scenes warehousing to store and dispatch goods. Subsequently, the Logistics Industry has rapidly grown to accommodate many businesses so that goods can be delivered from morning to night, worldwide.
What used to be quite complex and required several businesses to carry out a single retail process, from warehousing, showcasing goods in retail shops, handling payments and delivery etc. has now become far more streamlined as the supply chain has shortened to just single companies in some cases. The likes of Amazon with their FBA Dropshipping programme, have demonstrated that within one single business from website to warehouse to delivery, the whole logistic industry process can be managed and achieved with ease.
Some areas where the logistic industry is changing
Additive Manufacturing: 3D Printing also known as Additive Manufacturing is changing the way in which companies produce products. Blueprint patterns can now be downloaded and individual parts are made to order onsite. The onus is no longer on the company providing the site and equipment to make the product, but instead on intellectual property to sell and re-produce an item. It is anticipated that warehouses which are currently used to store and distribute goods could in the future become print farms to dispatch blue prints in the future.
Artificial Intelligence and Robotics: Software to pick and pack goods has been used by warehouses for many years, however ‘route planning’ or ‘truckload planning software’ is taking warehouse product management to new levels by offering greater efficiency through using intelligent robots to pick and pack products. The robots use AI ‘Artificial Intelligence’ to find the most efficient delivery route and arrange for collection.
Supply Chain Visibility and Orchestration: The number one target for supply chain executives is ‘supply chain visibility’ by having clear visibility through the whole supply chain, executives can easily analyse where improvements could be made and respond to trends through supply and demand, subsequently this can lead to improved lead times on the dispatch of goods and cost reducing opportunities.
Autonomous Vehicles: Self-driving cars have been attracting publicity for some time now, sparking up new debates on how they will operate, how the software will work and where responsibility lies with manufacturers and owners. Amazon has just filed a patent for controlling self-driving delivery vehicle navigation that will switch from lane to lane depending on the time of day.
For more information with regards to insurance protection for the Logistic Industry, please contact our dedicated team. We cover many types of logistic industry business insurance including 3D printing insurance, warehouse and fulfilment insurance, intellectual property, online retail, plus many more.
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