Supply Chain and Logistics Technology - Research Paper Example

Supply Chain and Logistics Technology Introduction In this article dubbed "Supply Chain and Logistics Technology: 8 Trends Taking Us Closer to Visibility," Bridget McCrea discusses the major global mobility and wireless trends that are assisting professionals in the supply chain and logistics industry to operate faster, smarter and more efficiently in a business environment that is all the time more competitive. After having assessed the effects of the mobile and wireless technology infiltration across several industries, the transport and logistics markets have stood out as sections that have regularly invested in solutions and equipment that have assisted in enhancing operations in an increasingly wireless world (McCrea, 2013). From equipping transport executives with highly computerized gadgets that track inventory, or depending on wireless instruments to check the temperature level of frozen items as they are being transported all through the supply chain, it is evidently clear that the supply chain industry has appreciated and understood the importance of wireless technology (Frost and Sullivan – wireless devices, 2009). Wireless technology is increasingly assisting the companies within the supply chain industry to operate faster, better, smarter and increasingly more efficiently in a competitive global industry. There are specific mobility and wireless trends happening within the supply chain industry, which can be beneficial to individuals engaged in the logistics and supply chain business. Wireless Technology Enhances Transparency and Efficiency In the supply chain and logistics management industry, participants are continuously under pressure to minimize expenses as a strategy of profit maximization. Logistics managers are therefore keen on cutting back on certain costs such as labor and fuel. A slight increase in these expenses beyond a company's projections may negatively affect the company's profitability, especially when multiplied across different stages in the supply chain. In this regard, organizations are continuously resulting in wireless software applications that offer to trace and tracking abilities that lead to greater transparency and efficacy, in an attempt of ensuring cost centers have been adequately managed. Wireless solutions are preferred to manual processes, which are still applied by some corporations in different parts of the world. Wireless solutions are preferred since they can provide proof of delivery of shipped goods, an aspect that enhances efficiency in the logistics business. Market Driving Forces With the knowledge of how effective and efficient wireless solutions can make the supply chain management industry, present day logistics corporations are exerting a lot of pressure on software developers and equipment manufacturers to develop more solutions and devices that are based on the wireless technology. The demand for improved and customized solutions has protracted out to the end of the supply chain, where software developers and equipment manufacturers are determined to accommodate the increased demand. It is expected in the future that more service providers will develop wireless versions that are both useful and appealing for the customers struggling to acquire visibility in all the stages of the whole supply chain process. Increased Shift from Manual-based Systems to Wireless Solutions Wireless solutions are influencing individuals with conventionally held beliefs and practices of wired channels of communication to abandon the traditional methods and instead adopt the new-fangled methods of wireless solutions. According to An and Lee (2015), since the wireless technology does not need intricate information technology systems or hard wiring, present day wireless solutions – most of which are executable using the cloud technology – are assisting many logistics companies to effect changes from using the traditional manual systems, where fax machines are common to highly computerized solutions almost in an instant. According to McCrea (2013), wireless technology has caused major transformations in the logistics and transport industry. For instance, transport truck companies have recently adopted the wireless technology where drivers are equipped with hand-held gadgets that capture data, track operations and give carriage evidence as well as delivery information instantaneously. In addition, computerized systems are now able to give information to the clients situated anywhere in the world about the status of their merchandise in the different supply chain stages. Through using GPS satellite enabled computer solutions, logistics companies as well as clients are now able to observe virtually the movements of their shipments. It, therefore, means that there are positive effects of the wireless technologies in the supply chain and logistics industry, although there is still a necessity to have it integrated into the supply systems faster than the current rate. The Emergence of the Smartphone Technologies Smartphone technologies are increasingly getting involved in the supply chain management industry. Although not fully integrated into the supply chain system as it should, smartphones, whether availed by the logistics corporations or brought in by employees on a bring your device method are increasingly getting involved in the supply chain and logistics operations today. Although the employees of the warehouses, delivery workers or even truck drivers do not manufacture sleek gadgets such as Ipads and Iphones in a way to endure the rough handling, the smartphone manufacturers are increasingly coming up with methods and strategies of providing protection to these devices. Currently, smartphones are being developed with waterproof technologies and certain protective enhancements aimed at preventing any physical damage to the smartphones (Wang & Xiang, 2012). Because smartphones have become an important part of today's business processes, it is expected that more solutions will be provided to integrate the usage of such devices in logistics and supply chain management. Wireless Technology is Instrumental in Creating a Cohesive Workforce Supply chain and logistics management have many sections, within and outside warehouses and offices where most transactions are carried out. The introduction of the wireless technology has had a positive effect on logistical operations through enhanced collaboration and communication capabilities. Wireless communication has brought cohesiveness and efficiency within the logistics industry, as truck operators receive instructions through a wireless dispatch communication center, without the need to go back to physical collect them from the stations. Wireless technology enhances mobility, which develops tighter communication within the supply chain between officers stationed in the offices, who are engaged in strategy making and the ones operating in other sections of the supply chain. Constant and unlimited communication between the different sections of the supply chain leads to enhanced customer service, with motivated employees committed to delivering excellent services. Wireless Technology has become Popular among Smaller Shippers Smaller companies have adapted to using the wireless technology and the results have been rather positive because of the improved communication channels, which has led to portability, enhanced communication sharing as well as connectivity. Various business analysts project these smaller companies developing a bigger interest in the wireless technology shortly especially the companies that does not have their investments tied to extensive wired technologies. Companies that have a lot invested into wired infrastructure may be a little hesitant in rolling out the wireless networks because of costs that are associated with investing in new communication (Wong & Karia, 2010). For the small and upcoming companies in the logistics and supply chain industry, it is much easier to invest in wireless solutions. Employee-Device Matchup Supply chain corporations, as well as those involved in logistics, have resulted to pairing up different applications and as well as mobile devices with individual employees in mind. Ruggedized accessories, computer tablets, and smartphones are not standardized, and neither is the workers appointed to use these gadgets every day. As such, both service providers and logistics companies have been aroused by this element, and as such, both units are investing their time to relate the appropriate devices with the right users. Companies engaged in the business need to realize that various devices do not have to work the same way with different users. It is, therefore, imperative to match the right device with a user who will be able to maximize its features in doing the job. Given this trend development, many device manufacturers are developing different customized devices with different specific applications that are divergent from the traditional methods of incorporating a particular application or technology into their working accessories and tools on the assembly line. Wireless Mobile Devices are Dependent on Available Information Vosiek et al. (2003) argues that the wireless devices and accessories are only as good as the data made available through them. In retrospect of how much ground has been gained concerning the supply chain visibility in the past three or so years, and what is expected soon, a significant portion of that growth is attributed to intense development and growth of mobile devices. However, those developments are sorely dependent on the information availed and fed into those devices. The writer noted that the best mobile devices could be made available. However, the information processed through these devices never change. Importance of Wireless Networks In the future, all the information analyzed in this article argues that flexibility and mobility will play a significant purpose in the supply chain management. Using wireless networks in communication and other aspects in the supply chain industry can generate extensive advantages in logistics as well as in the supply chain management and provide shippers and other stakeholders with the extra freedom to maximize their processes and make improvements to visibility. The traditional culture of supply chain management operations of sitting behind a desk for supply chain professionals is gradually changing, and the introduction of mobile gadgets and software applications has improved the operations greatly. Analysts argue that there is a great future in the field of wireless communication application devices. Everyday technological advancements will propel the industry forward, with improved devices being produced to support the logistics and supply chain business. Smarter devices are expected to be produced, with enhancements such as dust proof and customized enhancements that will add value to the logistics and supply chain industry. It is additionally expected that more business people within the supply chain industry will adopt the new methods of doing business, abandoning the traditional –paper centered – business processes. Similarly, more technology companies are expected to enter into the business and provide a wide variety of solutions to the supply chain business. Conclusion To remain competitive and on the advanced level of an intricate supply chain global industry, more corporations – both emerging and pioneers – are using modern technology into their supply chain and logistics processes in the present day. In the recent past, clients have become expectant and demanding, increasing their prospects for good quality service. Consequently, supply chain managers have acknowledged the advantages these new technologies bring with increased visibility and accountability, giving them the options of maintaining tight controls as well as staying ahead of the competition (Kärkkäinen & Holmström, 2002). The present day technology has wide-ranging capabilities, especially concerning maintaining an organization's production on track, repairing and anticipating errors as well as making adjustments that ensure a high-quality product. Wireless technologies make it possible to monitor multiple supply chain links simultaneously, with computerized systems for notification, which are important for they can send multiple messages to various entities through different media channels. In addition, automated tracking and shipping as well as electronic automatic invoicing are major elements of a contemporary logistics and supply chain framework, purposed to satisfy the clients. The increasing selection of supply chain-related features and applications for smartphones as well as other gadgets such as iphones and ipads are increasingly enhancing portability and mobility in the supply chain management industry. From cost reduction to enhanced visibility as well as improved client service, wireless technology is affording the supply chain management industry with numerous benefits across the globe. References An, M., & Lee, H. (2015). Design of the Integrated Logistics Information System Based on Cloud Computing. LNSE, 3(1), 31-34. Frost and Sullivan – wireless devices. (2009). Assembly Automation, 29(3). Kärkkäinen, M., & Holmström, J. (2002). Wireless product identification: enabler for handling efficiency, customisation and information sharing. Supply chain management: an International journal, 7(4), 242-252. McCrea, B. (2013). Supply Chain and Logistics Technology: 8 trends taking us closer to visibility - Article from Logistics Management. Logisticsmgmt.com. Retrieved 22 October 2015, retrieved from http://www.logisticsmgmt.com/article/supply_chain_and_logistics_technology_8_trends_taking_us_closer_to_visibility. Vossiek, M., Wiebking, L., Gulden, P., Wieghardt, J., Hoffmann, C., & Heide, P. (2003). Wireless local positioning. Microwave Magazine, IEEE, 4(4), 77-86. Wang, D., & Xiang, Z. (2012). The new landscape of travel: A comprehensive analysis of smartphone apps. Information and communication technologies in tourism, 2012, 308-319. Wong, C. Y., & Karia, N. (2010). Explaining the competitive advantage of logistics service providers: a resource-based view approach. International Journal of Production Economics, 128(1), 51-67. Read More