Building Resilient Supply Chains – Technology for Real-Time Transport Visibility and Agile Decision-Making

FAST Logistics Group, one of the leading logistics companies in the Philippines, underscores how technology and innovations boost supply chain resilience with real-time visibility and proactive decision-making in transportation and logistics.

Building resilient supply chains has become a paramount concern for supply chain managers, logistics professionals, and businesses worldwide. After all, it is crucial to mitigate disruptions, maintain business continuity, and adapt to evolving market conditions to meet the needs of customers and thrive in a competitive business environment.

Logistics operations should be agile, equipped with real-time transport visibility technology, and cognizant of other innovative transportation solutions to ensure that supply chains remain resilient in the face of unexpected challenges. Real-time transportation visibility thus becomes a necessity for businesses to generate actionable data, monitor shipments in transit, quickly respond to delays or disruptions, and provide accurate updates to their customers and partners.

With strategic planning and proactive decision-making using technology and innovative systems, companies can efficiently manage risks that could delay deliveries and disrupt the transportation process — one of the critical components of the supply chain.

Importance of Supply Chain Resilience

Supply chains play a crucial role in the success of any business. They are the network of organizations, people, activities, information, and resources involved in moving a product or service from supplier to customer. In other words, supply chains are responsible for getting products into the hands of consumers.

Global events such as natural disasters, extreme weather conditions, trade wars, and the Covid-19 pandemic have highlighted the fragility of traditional supply chain models. This has caused disruptions in production and distribution channels, significantly affecting the delivery of crucial goods and services. Traditional static planning methods or manual processes are no longer sufficient to effectively manage challenges, which calls for a more dynamic approach to supply chain management.

A resilient supply chain is characterized by its ability to endure disruptions and adapt to changing conditions without causing major negative impacts on the business. It involves having contingency plans in place and leveraging technology to increase visibility and agility. Building a resilient supply chain also ensures the following:

Continuity of Business Operations

Resilient supply chains are more capable of maintaining business continuity in the event of disruptions. This means that operations can continue and recover from unexpected challenges, and customers will still receive their orders on time.

Cost Efficiency

Supply chain disruptions can be costly, with the potential for lost sales, damaged reputation, and added expenses. Building a resilient supply chain is more cost-effective in the long run as it minimizes these risks and prevents potential losses during unexpected events. In essence, the upfront investment in supply chain resilience pays off by safeguarding against future disruptions and preserving the integrity and performance of the business.

Risk Management

Supply chain resilience also involves identifying potential risks on the road and implementing measures to mitigate them. By leveraging technology and innovative solutions, companies can proactively manage risks, address issues as they happen, and prevent disruptions in their logistics operations.

Customer Satisfaction

A resilient supply chain ensures that customer satisfaction is not compromised, even during challenging times. With real-time tracking capabilities into shipments, companies can provide accurate updates to customers about the location of their cargo or deliveries for increased transparency.

Competitive Advantage

Businesses with resilient supply chains can provide consistent service and meet customer demands, which, in turn, foster transparency and reliability. These create and build trust, loyalty, and retention among customers. It also empowers companies to maintain their customer base and improve their profitability.

Real-Time Transport Visibility Technology

Digital tools and systems that enable real-time transport visibility are becoming increasingly popular. These innovations provide companies with a comprehensive view of their transportation processes from planning to delivery. In particular, real-time transport visibility technology allows for the tracking and monitoring of shipments in transit and data-sharing, among others. Here are some of these top real time transportation visibility technologies and tools:

Artificial Intelligence

AI technology analyzes large amounts of real-time data generated throughout the transport processes, providing valuable insights and predictive analytics to business operations. This innovation allows companies to quickly identify potential risks and take preventive actions, enhancing service efficiency for customer demand. Generally, AI is used for route planning, predictive maintenance, and transportation optimization.

FAST uses AI-powered dashcams with machine learning technology across its extensive fleet to swiftly detect and address distracted driving, road hazards, and other risks in real-time. It is designed to comprehensively monitor and ensure the safety of driver, fleet, and products throughout the delivery process. FAST AI dashcam also captures and transmits live video footage to the FAST Command Center, allowing personnel to make real-time, data-driven decisions if needed.

Blockchain

Blockchain enhances visibility in the transport sector by enabling real-time asset tracking and precise operational planning. Its decentralized nature promotes transparency and deters fraud. Blockchain-based smart contracts streamline the exchange and settlement of goods and integrate documents involved in transport and logistics processes. Additionally, companies utilize blockchain’s decentralized and tamper-proof ledger to securely track the movement of goods, ensuring authenticity and compliance.

Cloud Computing

Cloud-based transport visibility platforms enable businesses to access real-time information on shipments anytime and anywhere through a web or mobile interface, reducing blind spots in the supply chain. This is especially beneficial for remote monitoring and decision-making, leading to significant improvement in operational efficiency.

GPS Tracking

Global Positioning System (GPS) tracking technology enables real-time monitoring of vehicles, drivers, and shipments, providing accurate information on their location and estimated arrival time of arrival. With GPS technology, companies have full visibility over their fleet, drivers, and shipment. It also ensures that businesses can track drivers’ locations in case of emergencies.

Internet of Things 

Internet of Things (IoT) technology utilizes sensors and tracking devices to monitor the movement, location, temperature, and other critical data points of shipments. This enables companies to have real-time visibility into their supply chain operations and make proactive decisions over potential damage to products such as spoilage. Traffic congestion systems equipped with IoT devices also predict and redirect vehicles to faster alternate routes, hastening deliveries and reducing road congestion.

Transport Management Systems

A Transport Management System (TMS) serves as the all-in-one logistics platform to manage the movement of goods within the supply chain, from warehouses to end customers. It automates and streamlines every stage of the transportation process including planning, execution, control, monitoring, and analysis. Real-time tracking of drivers and shipment is a common feature of TMS, allowing supply chain managers to quickly identify and address potential issues before they escalate.

FAST has developed its own Transport Management System, a set of software solutions designed to streamline and optimize all processes involved in transportation operations. This helps enhance route efficiency and provides delivery drivers with real-time updates about hazards and other crucial information while on the road. TMS also provides shipment status and meticulous documentation of proof of delivery.

Benefits of Real-Time Transport Data in Supply Chains

Real-time transport visibility technology offers a comprehensive view of the supply chain’s transportation network, enabling managers to track shipments, monitor conditions, and anticipate potential disruptions. Here are other advantages of these digital tools and systems:

Enhanced Safety and Security

Leveraging technology allows companies to have real-time, up-to-the-minute information about the location and status of shipments. This level of transparency and visibility elevates the security of valuable cargo and empowers companies to promptly identify any unauthorized access or suspicious activities, which is crucial in safeguarding high-value goods and products. Comprehensive monitoring of vehicle drivers and immediate identification of street dangers are also important in preventing road accidents and enhancing the supply chain’s integrity.

FAST, a one-stop solution provider for comprehensive logistics and distribution services, offers multi-modal transport solutions covering land, sea, and air transportation. It also offers freight forwarding and cross-dock service across major cities to help companies achieve network efficiencies and lower delivery costs.

Faster Deliveries

Visibility in transportation is crucial in reducing downtime, which in turn results in lower costs and increased overall efficiency. By having real-time data and insights into the location and status of shipments, businesses can anticipate potential delays and address issues proactively. Increased visibility allows for better coordination and planning, minimizing disruptions and ensuring smoother operations. 

Improved Communication

Real-time visibility facilitates better communication between all stakeholders involved in the supply chain, from suppliers to customers. Open communication and timely information sharing help build trust and collaboration, as everyone has a clear understanding of the current status and any potential issues that may arise. This interconnectedness fosters a stronger, more reliable relationship among all parties, ultimately leading to better service and satisfaction for end customers.

Route and Shipment Plan Optimization

Advanced algorithms and software solutions are frequently utilized to analyze shipment allocation variables, aiding in the creation of cost-effective load plans and optimizing routes. This results in seamless, reliable service that enhances customer satisfaction and ensures compliance with delivery schedules.

FAST’s Transport Management System includes the TMS AI Planner, featuring advanced AI algorithms to optimize shipment allocation, route planning, and delivery schedules. With real-time updates on traffic conditions and delivery windows, customers can ensure smooth operations and achieve significant cost savings.

Proactive Problem Solving

With real-time data at their fingertips, logistics professionals can identify potential delays well in advance, allowing them to take proactive measures to mitigate these issues. For example, they can quickly reroute shipments if there is road congestion to avoid bottlenecks and ensure timely deliveries. Additionally, real-time data empowers them to monitor various factors such as weather conditions, transportation schedules, and inventory levels. 

More Sustainable Operations

Optimized transportation modes and routes, along with efficient resource utilization, contribute significantly to reducing carbon emissions and minimizing environmental impact. By implementing these strategies, companies can ensure that their logistics and supply chain processes are more environmentally friendly. This commitment to sustainability not only benefits the planet by mitigating the effects of climate change and conserving natural resources but also enhances the company’s reputation.

Proactive Decision-Making in Transport Operations

Consumer expectations for fast and efficient delivery have increased significantly. Companies are challenged to improve their processes to ensure that products are available when and where customers want them. Hence, building resilient supply chains is no longer optional; it is a business imperative.

By harnessing technology for real-time transport visibility and proactive decision-making, supply chain managers and logistics professionals can effectively manage business disruptions and risks, optimize operations, and achieve a competitive advantage. This empowers them to seize emerging opportunities and enter new markets for growth. 

Technology takes supply chain management to the next level. With the integration of digital tools, companies enhance the safety and security of drivers and cargo, ensure faster deliveries, improve communication among stakeholders, optimize route and shipment plans, proactive address issues, and make transport operations more sustainable. As transport innovations continue to evolve, businesses should embrace these innovative systems to boost their supply chain resiliency.

With over 50 years of industry leadership, FAST Logistics Group provides a comprehensive range of logistics and distribution solutions to various clients. Connect with our Solutions Expert or visit http://linktr.ee/fastlogisticsph