Industrial Automation Magazine India

5G enables extensive and precise real-time monitoring of assets, vehicles and inventory

Published on : Friday 04-08-2023

Pankaj Srivastava, Contract Logistics & Cold Chain Expert.

The logistics and warehousing sector is greatly influenced by digital transformation. What are the factors driving this change?
A significant paradigm shift is currently taking place in the logistics and Warehousing industry, driven by the recent development of digital tools and technologies – cloud computing, big-data, drone, artificial intelligence (AI), machine learning (ML), etc. Businesses are adopting cutting-edge technologies to streamline their operations as they work to satisfy the rising demands of customers for quick, effective, and smooth supply chain operations. Here we will explore the major forces that have sparked this transformational process, the technological advancements that are revolutionising primary, secondary and last mile distribution and fulfilment centres today, the crucial role that automation and robotics has played in supporting these initiatives, and how intralogistics, warehousing, and shipping and distribution have been integrated seamlessly in the quest for improved performance. We also look at the crucial software platforms without mentioning any brand name that enable digital transformation and analyse how the latest 5G technology is transforming the logistics and warehousing industry.
 
Factors driving digital transformation in logistics and warehousing:
1. Rise in customer’s expectation: In this era of speed, scale and skill, customers now demand fastest delivery possible, on time deliveries, real-time visible tracking system, and personalised services. To cater to these expectations, logistics companies must embrace latest and futuristics digital technologies that enhance visibility, transparency, and responsiveness in their operations.
 
2. Growth of entrepreneurship, especially in the e-commerce domain: The exponential surge in e-commerce has dramatically escalated shipment volumes. Consequently, logistics providers are turning to digital solutions to optimise their processes and adeptly handle the heightened demand.
 
3. Big Data and Analytics: The abundance of data collected through sensors, camera, smart phone, TV, browsers, mobile apps is an opportunity for businesses to gain valuable insights into their operations, pinpoint inefficiencies, and make data-driven decisions to uplift their supply chain performance.
 
4. Predictive Analysis: With IoT devices, sensors and big data analysis are facilitating superior order management, inventory management and predictive maintenance.
 
5. Eliminating Capex through SaaS Model: Low operating cost of high end technology enabling logistics service providers to leverage Cloud Computing, cloud-based platforms to scale up the operation and offer cost-effective solutions to their customers and also to integrate and collaborate with their partner in the entire supply chain.
 
What are the technology trends that are revolutionising modern distribution and fulfillment centres?
1. Warehouse Automation: The integration of automation technologies and tools such as automated storage and retrieval systems (AS/RS), RFID, 5G, robotics, conveyor sorting system, etc., are streamlining warehouse operations, minimising human errors, and significantly enhancing overall efficiency.
 
2. Cold Chain Monitoring: Thanks to advancements in technology, real-time temperature monitoring of perishable and temperature-sensitive products is now achievable. This breakthrough has led to a substantial reduction in food waste while simultaneously extending the shelf life of fruits, vegetables, foods, medicines, vaccines, and other sensitive items. Taking it even further, cutting-edge technology now enables the mapping of entire warehouses without the need to physically inspect fruits and vegetables. Through this innovative approach, it becomes possible to determine whether a product is spoiled or nearing expiration, allowing for highly effective real-time decision-making.
 
3. Drones for Warehouse: In addition to use of drones for Last-Mile Deliveries, where security and licensing is still an issue, it is getting used freely within warehouse environments for various tasks (such as cycle count) specially in non-working hours to enhance the productivity significantly.
 
4. Artificial Intelligence (AI) and Machine Learning (ML): AI and ML algorithms are fundamentally changing how we work. They can significantly improve last-mile delivery, demand forecasting, route planning, and inventory management. AI is now not only enhancing the front end of the job but parallelly working in background and taking real time decisions to enhance and optimise your entire system so that efficiency, productivity, longevity (robots, machine, etc.), can increase at its best.
 
5. Augmented reality (AR): By giving workers access to information and instructions in real-time, AR is revolutionising order picking and training procedures. As a result, errors are decreased, and productivity is increased.
 
6. 3D Printing: Warehouses are utilising 3D printing infrastructure to produce a variety of goods locally, which will drastically lower the cost of logistics.
 
How is robotics in general, AMRs/AGVs in particular, supporting these endeavours?
1. Robots in warehouse: Robotic technologies, such as autonomous mobile robots (AMRs) and automated guided vehicles (AGVs), are transforming warehouse operations by automating material handling tasks, improving picking efficiency, eliminating errors and maximising storage space.
 
2. Labour Shortages: In areas with persistent labor shortages, robotics can fill in the gaps and supplement the staff, ensuring smooth operations without sacrificing efficiency.
 
3. Safety and Reliability: Robots can perform repetitive and physically demanding operations expertly and precisely, reducing the danger of accidents and mistakes in the entire process.
 
Digital transformation of Intralogistics is incomplete without corresponding change in Warehousing as well as Shipping & Distribution. How are these segments performing together?
Digital transformation is an interconnected process that engulfs intralogistics, warehousing, and shipping and distribution. Progress in one area invariably influences the others, exemplified by the following:
1. Seamlessly Data Exchange: Digital transformation facilitates seamless data exchange between intralogistics, warehousing, and shipping and distribution, culminating in superior coordination and real-time decision-making.
 
2. Efficient Inventory Management: Integration of data across these segments ensures optimal inventory management, reducing stockouts, bullwhip effect and excess inventory while enhancing demand forecasting accuracy.
 
3. Real-time billing: Technology enables real-time billing through automated systems, online payment gateways, IoT integration, cloud-based solutions, mobile apps, data analytics, CRM integration, subscription billing, mobile POS systems, and real-time notifications. Real-time billing enhances customer convenience, offers accurate financial insights, reduces errors, and improves overall efficiency.
 
4. Enhanced Last-Mile Delivery: Digital technologies foster improved route optimization and real-time tracking, boosting the efficiency and reliability of last-mile deliveries.
 
What are the software platforms available that facilitate this transformation?
Warehouse Management Systems (WMS), Transportation Management Systems (TMS), Freight Management Systems (FMS) and Enterprise Resource Planning (ERP) Systems are key enablers of digital transformation. However, there are many processes, which used to happen manually due to many reasons, are now available through plugin or enhanced versions of above software to bring digital transformation into existing systems. Altogether, this is enabling and playing a pivotal role in optimising warehouse operations by efficiently managing inventory, order processing, workforce allocation, encompassing route planning, carrier selection, and freight tracking, leading to cost savings and improved delivery times including finance and providing a unified view of operations for informed decision-making.
 
Above software is further integrated with Supply Chain Visibility Platforms, which are offering real-time visibility into supply chain activities, enabling stakeholders to monitor shipments, identify bottlenecks, and proactively respond to disruptions. Atlast, but not least the Blockchain software is further bringing transparency, trust, reliability, and credibility in the entire supply chain.

How 5G is impacting the logistics and warehousing scenario given the importance of connectivity in IIoT based automation?
1. Enhanced Superior Connectivity: Leveraging 5G's high-speed and low-latency capabilities enables seamless connectivity between IoT devices, robotics, and other digital technologies, facilitating real-time data exchange and decision-making.
 
2. Improved Automation: Reliable and fast 5G connectivity empowers logistics companies to deploy more advanced automation technologies, such as real-time remote control of AGVs and drones, leading to heightened efficiency.
 
3. IoT-Based Monitoring: 5G enables extensive and precise real-time monitoring of assets, vehicles, and inventory, fostering superior asset tracking, predictive maintenance, and inventory management.
 
The rapid spread of digital technologies is causing a momentous transformation in the logistics and warehouse industry. Businesses are adopting a variety of cutting-edge technologies to cater to changing client expectations, expanding e-commerce, data-driven decision-making, and the unrelenting search for efficiency and optimisation. Distribution and fulfillment facilities are undergoing a change thanks to automation, AI, augmented reality, and robotics, including AMRs and AGVs. A successful digital transformation is dependent on smooth data communication between the intralogistics, warehouse, and shipping and distribution sectors. The logistics and warehousing sector is moving toward a more connected and effective future by embracing high efficient transformational software platforms with help of 5G technologies without any interruption of data communication.
 
(The views expressed in interviews are personal, not necessarily of the organisations represented)
 
Pankaj Srivastava, Contract Logistics & Cold Chain Expert, has over two decades of experience in managing the entire gamut of supply chain functions encompassing sourcing and procurement, logistics, transportation, warehouse, supplier/vendor relationship management and growth initiatives and expansion strategies.