Big data analytics and its impact on improving freight visibility.
In recent years, big data analytics have become an integral part of logistics operations. Businesses across the world are incorporating big data analytics to upgrade their supply chain management and to improve overall operational efficiency. recent research, cross-border trade represents 20% of global e-commerce and is growing at a 2x rate than domestic e-commerce.
As per statistics, supply chain big data analytics will grow at a CAGR of 17.47% in the next few years and will reach a revenue of over 13 billion US$ by the year 2028.
The inclusion of big data analytics (such as GPS tracking, RFID code sensors, etc.) for supply chain management offers various incredible benefits for businesses. It provides valuable insights into changing customer behavior, product manufacturing, real-time tracking and much more and helps businesses to make informed data-driven decisions for reducing costs and improving business profitability.
What is big data analytics?
Big data analytics is examining and analyzing large and complex datasets to uncover valuable insights, patterns, trends, and information that can make informed decisions, solve problems, and gain a competitive advantage. Big data analytics work way better than traditional data handling systems. It helps businesses to overcome various logistical challenges and create a positive impact on overall supply chain management.
Role of big data analytics in enhancing freight visibility
Fright visibility refers to the ability of businesses to locate their freight at various stages of transport, which involves tracking a good from point of origin to delivery at the destination. Fright visibility is one of the crucial aspects of efficient supply chain management. In the following ways, big data analytics helps enhance freight visibility and improves overall supply chain efficiency.
Things that we need to work on to improve this record even further are –
Real-time tracking of shipping goods
This is the first and most important benefit of big data analytics that helps to improve freight visibility. Big data analytics involves the use of various advanced technologies such as GPS tracking, Internet of things (IoT), RFID bar codes etc. These advanced technologies help in providing real-time tracking of shipped goods. This helps businesses to keep track of shipping goods at various locations and allows them to act promptly if any disruption arises. Thus, big data analytics help in avoiding delays in product delivery and improve customer satisfaction.
Predictive analytics
Big data analytics also help in predicting product demand and allow businesses to act according to changing requirements. Starting from changing customer behavior to maintaining good product quality, businesses can leverage the benefits of big data analytics at various levels and can maintain a smooth flow of the supply chain despite fluctuating product demand and changing customer needs.
Route optimization
Big data analytics can also help in route optimization for delivering goods and works great in delivering goods on time. By considering factors like traffic patterns, weather conditions, and road closures, companies can choose the most efficient routes for the delivery of their goods. The optimized route not only helps in reducing fuel and overall transportation costs, but it improves overall customer satisfaction as well.
Smart warehouse or inventory management
Smart inventory or warehouse management is one of the crucial aspects of supply chain management. Big data analytics enables businesses to maintain optimal inventory levels and helps reduce the likelihood of stockouts or excess inventory by providing real-time feedback. Furthermore, big data analytics help a lot in the management of various temperature-sensitive products like medication and frozen foods. Big data analytics facilitates real-time alerts, when temperature fluctuates and allows businesses to take corrective action promptly. This way, it helps in keeping temperature-sensitive products safe and secure.
Risk management
Finally, big data analytics can play a vital role in risk management for logistics operations, it can help in identifying potential security risks or vulnerabilities in the supply chain. By analyzing various data sources, companies can implement measures to protect their shipments from various damages and can save themselves from economic losses and inconvenience.
Conclusion
In conclusion, big data analytics is one of the essential aspects of improving supply management. From improving freight visibility to risk management, it works great at various levels and acts as a key component to enhance customer satisfaction. If you want to stay ahead of the curve and gain a competitive advantage for your business, then it is high time you incorporate big data analytics in your supply chain management.