CeMAT Insider

5 logistics trends for 2016

Posted by CeMAT Team on 22-Jan-2016 09:40:39

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Logistics is on the move; new technology and the advent of big data and mobile applications are changing the face of eCommerce fulfilment.

We’ve put together 5 logistics trends that will help your business ensure supply chain management in 2016 is fast and efficient. 

 

1. Same-day delivery for small eCommerce transactions

Once touted impossible to fulfil and too expensive for businesses to offer on a large scale, same-day delivery is proving to be one of the biggest trends for 2016.

Improvements to eCommerce and increasing buyer power have set the bar for same-day delivery or alternatively, express delivery options.

Competitive delivery has become one of the driving factors as to whether or not a consumer will commit to the purchase, and it has been known for a few years that unsuitable delivery options are a big cause of the dreaded abandoned cart.

 

 

2. Amazon to lead the charge with drone delivery

Amazon has once again led the charge with innovative delivery options by revealing how the Prime Air will deliver packages within a very small window.

Amazon plans to deploy an army of drones that will be able to deliver packages within as little a timeframe as 30 minutes. Amazon intends to limit the drones to a 10 mile radius and they will only be able to handle a payload of 2.2kg.

Drone delivery may be accessible to online eCommerce giants like Amazon, but it was reported late last year that Australia Post won’t be able to deliver mail or parcels by drone for another 10 years.

 

3. The application of big data for efficient supply chain management

Analysing and interpreting data in real-time can assist enterprises with assessing ways of delivering better services for their customers, and the supply chain is no exception to this trend. In short, big data can improve supply chain design and management by reducing costs and delivery times.

Although it is not a new idea for 2016, retailers that are able to capture and analyse transactional transportation management data in collaboration with any third-party providers will see great savings moving into the future.

It will be especially important for logistics managers to truly weigh up the benefits of leveraging supply chain information against the ability to implement improvements to their logistics strategy.

 

 

4. Flexible and cloud based warehouse management

The cloud has proven to be one of the most innovate tools for business processes, as it provides anywhere-anytime access to important data. On-premises applications are more commonly being replaced by cloud applications, providing businesses with a more efficient and cheaper alternative.

Cloud based services will help improve inventory management, mobile sales and mobile field services moving into the future. Further, the integration of mobile devices that can talk to any device, allow staff to collect, analyse and report information simply by using their mobile phones.

Wearables will also begin to improve warehousing, sales and mobile services.

 

 

5. Real-time inventory management

The future of purchasing is set to drastically change with the advent of mobile technology. Customers will soon be able to pick up an item and walk out of the store with no direct transaction taking place, as the price of the item will be automatically charged to their card via real-time inventory management.

This technology will start to be implemented as large retailers innovate their mobile point of sale systems, beacons and sensors, so that customers can experience a more modern purchasing transaction.

  

Are there any other trends you think will innovate logistics in 2016? Let us know in the comments below.

 

 

Topics: Supply Chain Management, Logistics