As Geoffrey Moore has said “Without big data, you are blind and deaf and in the middle of a freeway”. While the need of big data has been felt primarily in the technology world, transportation and logistics have not remained untouched by its influence. Big data analytics can lend methodical insights about routes, travel time taken, weather conditions, distance covered and pricing. It allows the shipping companies to optimize on time and expenses incurred.
With the use of data analytics, freight forwarders can get access to accurate data. In fact, it has a profound effect on the overall functioning of logistics and transportation companies. It allows professionals to deliver products on time as per customers’ expectations. Moreover, it assists department heads in understanding the market and making better decisions. With this kind of information at hand, you will be able to predict the future business condition, the segment of potential customers that are most profitable, and sales prospects.
The increasing use of big data analytics throughout the globe has shown a considerable increase in the efficient functioning of the transportation industry. Use of big data analytics by freight forwarders and logistics companies, in US, UK and Canada has assisted countries in attaining high volume work, great speed in managing tasks, and high-quality information.
Considering the importance of information , Peter Sondergaard has stated that “Information is the oil of the 21st century, and analytics is the combustion engine”.
Following are other necessities and factors of importance.
Big data storage is expensive, especially if one is storing it in local and on-premise servers. As cloud computing is becoming an important step in managing information, its use with data analytics reduces business operation costs. If the data is stored manually, it will involve a lot of labor, stationery, and many other costs. On the other hand, cloud-based data analytics can store a huge amount of data online.
An ideal combination of in-memory analytics and new sources of data identification leads companies to make impactful decisions. It allows keeping track of the information, which is readily available as needed.
Another benefit of big data analytics is that it helps in identifying information immediately for better customer satisfaction. It will enable them to develop new products and services as per the customer’s needs and from the gaps identified.
A warehouse is a crucial link between a supplier and the customer. Without proper insights, the warehouse can be overstocked or under stalked, leading to huge losses. Warehouses need to predict demand for their storage as well as have a real time visibility into the supply chain, so that they could efficiently utilize and maximize revenues from the limited amount of storage space.
With the use of high-end technology, you can reduce fuel consumption, optimize routes, better warehousing, and effective business management. Today, technology has advanced to such a level that imagining any business process without it is impossible. Technologies like wearables, RFIID, IoT and barcodes coupled with video analytics, and geo-spatial analytics are transforming the way warehouses are functioning today.
One of the key challenges in the transportation industry is in meeting delivery deadlines.
With an increase in freight transport needs, transportation companies are yearning for solutions to handle supply chain and logistics functions successfully and deliver in time always.
The smart technology of big data analytics has resulted in the efficient functioning of shipping companies. Reducing overall costs, optimizing fuel consumption and managing information have helped in managing consumer expectations and have improved overall customer experiences. Not just this, big data analytics improves vehicle safety too. The data sensors in swift vehicles offer instantaneous information about their functional performance. This involves providing exact data on vehicle travel speed, the amount of time spent on the journey, and its proper usage.
Also, sensors check the equipment’s condition and the whole engine. Such an analysis may highlight errors leading to appropriate arrangements for maintenance. By giving exact information related to possible weather conditions, traffic jams, and road situations, big data aids in sustaining higher safety measures. As the information on delivery address is added and details of the fueling stations are included, the big data analytical system increases efficiency.