Logistics trends for 2024

Despite the recent disruption of the COVID-19 pandemic, the industry hasn’t lost pace – in fact, quite the opposite. To adapt to new challenges, supply chain operations have accelerated their efforts to embrace automation, AI, data analytics, machine learning, Internet of Things (IoT) and blockchain technology.

In this week’s blog, we’re exploring the challenges expected over the next 12 months, and the ways in which your business can combat them using the solutions of 2024.

Labour shortages

One of the critical challenges facing the logistics and 3PL industry is a persistent global labour shortage. This scarcity significantly impacts the costs of goods, production and delivery. In response, manufacturers and logistics providers are turning to automation to optimise their operations.

Warehousing processes are undergoing a transformation, with machines taking on responsibilities such as picking and packaging products. The transportation sector is not far behind, particularly in Europe, where experiments with automated vehicles are underway. The introduction of driverless HGVs, often operating in two-truck units, highlights the industry’s innovative approach to overcoming labour shortages.

AI

It’s been impossible to avoid the international dialog surrounding artificial intelligence (AI); the new technology is set to transform almost every sector – not least is logistics. AI-powered software engines can process vast datasets, surpassing the capabilities of traditional machine learning. These engines can analyse an almost infinitely complex set of variables, learning and adapting to the nuances of a company’s supply chain over time. The impact this technology will have on efficiency and decision-making in the logistics sector will be colossal.

Breaking down data silos

A supply chain data silo is a pocket of your supply chain created when companies rely on various in-house systems, making specific information difficult to access. When it is concealed within a silo, bottlenecks in the supply chain are created, thereby impeding data analytics from creating usable information for future business operations. This, in turn, makes it difficult for executives to manage processes and make better-informed business decisions.

More and more companies are tearing down their silos because they can no longer afford the effort or the associated hassle. Industry leaders are moving their supply chain workflows to collaborative network platforms that transcend silos, enabling both data sharing and true data transfer across departments and organisations.

Sustainability

As we approach 2024, sustainability is once again a focal point in the journey to decarbonise the transport and logistics sector. New reporting and disclosure requirements are set to roll out in the European Union, with other jurisdictions poised to follow suit. The International Maritime Organisation is also intensifying efforts to address greenhouse gas emissions in shipping.

The urgency of addressing climate change is underscored by predictions from the European Environment Agency, estimating that logistics could contribute up to 40% of global carbon dioxide emissions by 2050 without effective intervention. Businesses that understand the financial benefits of being environmentally responsible are implementing data-driven technologies to reduce emissions and opting for sustainable packaging choices where possible.

TrackTrans

The logistics and transportation industries are in a constant state of evolution, driven by technological advancements and the imperative to adapt to a changing world. In this landscape of rapid transformation, one aspect stands out – automation is set to define the industry over the coming years.

Don’t miss the opportunity to stay ahead of the curve. Embrace the future of logistics with TrackTrans Transport Management System (TMS), Warehouse Management System (WMS) and Electronic Proof of Delivery (ePOD) today and ensure your business is on the road to success!