Cisco, IBM and Intel have produced a report that predicts massive growth in the logistics IoT market.
The tech giants estimate that the worldwide shipping industry deploying sensors will grow at a CAGR of 35.5 per cent through to 2022.
North America will lead the charge, followed by Asia, with companies installing sensors and internet-connected devices to shipments to track them and ensure quality.
The analysis emerges from broader predictions which suggest that sensors and other remote devices are going to become dramatically more ubiquitous over the following decade. Experts predict that the world may contain more than 100 trillion sensors by 2030, tracking everything from trailer temperatures to warehouse availability.
IoT in logistics is a critical component of the expected fourth industrial revolution. The idea here is to replace manual inventory management with automated digital tools that will take over much of the work. Companies will rely on computers to provide them with shipping volume estimates and tell them where goods are at any point in the supply chain. It’ll be easy to get fast LTL freight shipping quotes, instead of having to go through the slower and more cumbersome channels in the system today.
The internet of things works by connecting everyday objects to the internet, networking them together to achieve system intelligence. Sensors feed information into the network, while actuators allow people to take control of various features remotely. The primary changes over the next couple of years will be the use of sensors to feed data to head offices about the state of the supplies chains in real-time. Actuators and servos will increase as the decade wears on, providing operators with the ability to take physical actions remotely – a significant breakthrough.
In the ultimate scenario, IoT will allow logistics firms to automate their operations fully. Warehouses will use robots to pack items. And autonomous trucks will deliver them to their destinations. The hope is that it will reduce costs and improve transparency across the system. Companies could manage their operations remotely, instead of having vast numbers of people on the ground.
According to data from 2018, 25 per cent of operators are already using IoT-related technologies in their enterprises. They’re using these stems for things like route optimization and demand sensing. In the future, however, they will use more sophisticated sensors for things like monitoring temperatures on perishable goods and measuring the flow of products through factories and warehouses. Eventually, IoT technologies will allow firms to track employee performance and get a better handle on stock levels in their warehouse.
What’s exciting about IoT technologies in logistics is that many of them are ready to go right now. Companies don’t have to wait. Today, we’re very much in the fit-out stage, similar to where broadband was in the year 2000. It’s going to take around ten years for it to happen, but happen it will.
IoT will make logistics operations more biological. Companies will have sensors telling them what’s happening out there. And they’ll also have motor neurons in the form of remotely-activated servos and motors, allowing them to make real changes on the ground.
