16 Ingenious Innovations in Logistics Industry

Published on 08th January 2022

Ever wondered why “logistics” pops up in every business meeting?


Logistics is one of the essential segments in any industry. The better it is, the better productivity there is. In a world of never-ending needs, it is not too late to implement new technologies. New technologies fill the gaps left out by older ones. So, the logistics industry should embrace innovations to compete with the needs of the age.


Read on to learn more about 16 ingenious innovations in the logistics industry:


  1. Artificial Intelligence (AI)
  2. Augmented Reality (AR)
  3. Automation Potential
  4. Autonomous Vehicles
  5. Big Data Analytics
  6. Blockchain Technology
  7. Cloud Computing
  8. Computer Vision
  9. Crowd Shipping Technology
  10. Elastic Logistics
  11. Geolocation Technologies
  12. Internet of Things (IoT)
  13. Last-mile Delivery
  14. On-demand Warehousing
  15. Robotics and Drones
  16. Warehouse Management System (WMS)


1) Artificial Intelligence (AI)

Artificial Intelligence or AI is genuinely everywhere. It is no longer a thing of science fiction of the past but a reality. In a highly dynamic industry like logistics, AI is more of a necessity than an innovation. We live in a world where driverless cars are no longer a dream. AI made this happen. However, these AI-powered cars are just a drop in the ocean of AI’s capabilities.


AI combined with Machine Language (ML) allows logistics companies to be proactive in dealing with demand and supply variations.


Next, AI brings intelligence to handle information overload in the logistics sector. Furthermore, Artificial Intelligence is paving the way for delivery automation. 


Finally, with superior supply chain process handling, AI helps logistics managers to plan efficiently. And, AI-based forecasting solutions allow companies to minimize their operational costs. 


2) Augmented Reality (AR)

Augmented Reality is a mixture of virtual and real worlds capable of simulating real-world scenarios with extreme precision. 


AR is beneficial in cargo loading, last-mile delivery, optimizing traffic, and assembling products.


AI facilitates easier international trading as it can effortlessly navigate regulations and other complexities of global operations.


Another promising aspect of Augmented Reality is enhanced customer service. Customers can scan parcels and estimate their sizes and weight with AR. In addition, AR matches the results with the right kind of parcel box provided by their logistics provider.


Pretty awesome, right?

3) Automation Potential

Logistics involves many monotonous, time-consuming tasks that don’t use human ingenuity. Automation will reduce manual labor, free up time for the employees to do more productive work, and significantly cut costs.


This technological innovation makes everything smoother for logistics companies. The power of automation can eliminate the errors caused by human fatigue and carelessness.


Furthermore, we can enhance the efficiency of the logistics processes by decreasing the errors and time required for tasks.


If your company is looking to implement logistics automation, we highly recommend giving it a try!

4) Autonomous Vehicles

This is a significant logistics innovation that is in its natal phase. As the name suggests, autonomous vehicles are vehicles capable of operating independently.


Autonomous vehicles reduce transportation costs, optimize freight shipping, and enhance product delivery.


Autonomous vehicles could work 24 hours a day and boost productivity. Moreover, automation can nullify human errors, improving safety and traffic. Also, autonomous vehicles achieve better route optimization by combining with AI.


Autonomous Mobile Robots (AMRs) help sort goods, improve visibility and optimize warehouse productivity.


Lastly, autonomous vehicles are the best fit for last-mile delivery services as they can work anytime and anywhere without fatigue or strain. 


Can’t wait for the future where autonomous vehicles become normal, right?


5) Big Data Analytics

Big Data refers to the aggregation of data obtained from monitoring factors such as weather, position, traffic, etc., that determine a logistics operation. 


Big Data Analytics significantly improves warehouse productivity and performance and optimizes logistical resources.


Logistics companies can use Big Data to decide the best delivery routes and achieve better fleet management.


Furthermore, Big Data Analytics helps optimize supplier pricing, generate risk management reports, and identify anomalies using market data.


Finally, Big Data aids in predictive analytics in the logistics industry. Using Big Data Analytics, companies can substantially optimize their business operations.


So, use Big Data effectively and boost business performance and productivity.


6) Blockchain Technology

Blockchain technology helps decentralize the logistics industry and thus eliminates the need for third parties to verify the transactions. The decentralized, distributed model in logistics eases the intricacies present in global trade.


Blockchain technology improves the transparency and traceability of supply chains. As a result, logistics operations have become faster and more efficient. And, thanks to decentralization, logistics is becoming more intelligent through “Smart Contracts” that automate commercial processes.


Blockchain technology is spreading fast through all industries, and logistics is one of the forerunners of a decentralized future. Implement this innovation before your competitors catch up!


7) Cloud Computing

Cloud Computing helps businesses access, modify, administer, use, and exchange data from different locations. Specific logistics software facilitates cloud computing.


Cloud computing can significantly make your business global. Also, it allows you to minimize IT infrastructure expenses.


Furthermore, processes like fleet management, order management, etc., become more efficient with cloud computing.


8) Computer Vision

Computer vision is a field of Artificial Intelligence that makes computers “see” the world around them.


Computers can interpret digital images and media to derive meaningful information using computer vision.


Computer vision can replace traditional barcode scanners to get a more efficient billing setup. 


Computer vision will be a hyper-productive catalyst in an industry like logistics, where bills increase with each passing hour.


9) Crowd Shipping Technology

Crowd shipping technology, also known as crowdsourced delivery, assists in delivering a large number of goods faster. 


Crowd shipping technology uses a network of local couriers to enable last-mile delivery to customers.


Crowdsourced delivery is most prevalent in digital platforms as it makes it easier for both online brands and customers.


It mostly comes with a tracking option, allowing customers to view order status.


So, make sure you connect with local couriers to grow your business. 


10) Elastic Logistics

Elastic logistics refers to the flexibility in the entire supply chain to adapt to the fluctuations in supply and demand.


A new market trend may change the demand for your products. According to the need, you might have to either upscale or downscale supply chain operations.


Elastic logistics solves the problems of overstocking, smaller warehouse space, and underutilization of containers and vessels.


Don’t you agree that elastic logistics can help us build a sustainable future?


11) Geolocation Technologies

The next one on the list is a tech innovation familiar worldwide.


Geolocation technologies allow companies and customers to know the location of the products and track orders.


Knowing the delivery progress satisfies customers and results in fewer customer care queries.


A better customer experience isn’t the only benefit. A logistics company can better optimize its supply chain with the real-time status of its products in transit. 


Lastly, knowledge of inventory levels across various fulfillment centers allows companies to achieve an ideal product allocation strategy.


If you haven’t already implemented this incredible innovation, it’s never too late to start.


12) Internet of Things (IoT)

Internet of Things refers to the objects capable of monitoring, controlling, and transferring data through the Internet.


The Internet of Things considerably enhances supply chain transparency by enabling communication between departments. 


IoT is a game-changer for logistics management as it improves the efficiency and real-time monitoring of goods, resulting in better fleet management.


Furthermore, with the emergence of the Radio Frequency Identification (RFID) system, you can track and monitor all the objects connected directly to the Internet.


Hence, integrating IoT into logistics is crucial for supply chain companies to compete better. 


So, implement this fantastic technology to improve your logistics services.


13) Last-mile Delivery

Who doesn’t like a doorstep delivery service? The last step of a supply chain, where the products reach the customer’s doorstep from the nearest delivery hub, used to be inefficient. But not anymore.


By implementing last-mile delivery, you can elevate the customer experience. The sooner customers receive packages, the happier they are.


Last-mile delivery is a great innovation to enhance customer satisfaction. However, it can be costly. Use effective shipping strategies to minimize additional expenses. 


The customer is the king. So, if you haven’t adopted last-mile delivery yet, do it soon. Remember, a loyal customer is a happy customer. And happy customers receive their orders without delay!


14) On-demand Warehousing

We live in an era where we do everything with the touch of a finger. In this fast-paced world, one should be ready for quick adaptations. Similarly, the logistics industry requires faster implementations.


A warehouse is an irremovable element of any logistics operation. But let’s be more practical. Not everyone can afford to invest in a full-fledged warehouse. On-demand warehousing is tailor-made for people with temporary needs.


On-demand warehousing allows companies that need storage to connect with other companies with excess storage capacity. Its fast and flexible nature provides an affordable fulfillment solution to companies in need of storage.


Super cool, right?


15) Robotics and Drones

Robotics can help warehouse automation and enhance pickup, delivery, and distribution processes.


Robots are already familiar with the logistics industry. With the aid of logistics software, companies can implement them in their business processes.


Drones are a great addition to logistics providers as they can reach anywhere. Logistics companies can use them alongside traditional transportation methods to get the best results.


Drones are instrumental in reaching remote locations and improving customer satisfaction. After all, who doesn’t like to see their packages delivered by a cute little drone?


So, make sure you add these electrical beings to your team!


16) Warehouse Management System (WMS)

A warehouse is a place where lots of processes take place. So how do you keep an eye on all these processes? 


That’s where a warehouse management system comes in.


Keeping track of the logistical details such as receiving, shipping, tracking, storing inventory, planning the workload, and monitoring the status of goods in transport are crucial in supply chain management. 


A warehouse management system helps in accomplishing all these tasks with remarkable smoothness. Implementing a WMS can improve supply chain efficiency and transparency in logistics operations.


Have you considered a WMS for your business?


Wrapping Up

Logistics is a vital component of every business. Better means of transportation have made companies indeed global. To list each one of countless major innovations is challenging. However, a few other innovations are worth mentioning, such as reverse logistics, green logistics, and 3P integration.


Due to these innovations, customers are no longer limited only to the main trends. They can choose their personalized products! With these innovations, logistics companies can step up their businesses and enhance the world’s progress.

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