Tech Trends to Expect in the Logistics Industry in 2022

Tech Trends to Expect in the Logistics Industry in 2022

December 13, 2021

As 2021 comes to an end, it’s time to start thinking about the industry trends for the upcoming year. Market trends and technology are ever-changing. It is paramount for transportation and logistics companies to stay in the know in 2022. RoadSync has identified five trends that logistics companies can expect to see in the new year. Get in front of the trends so your company can smoothly adapt to these changes.

Digitization of Logistics

Logistics is the most crucial part of a supply chain. The digitization of the logistics process provides more transparency in the supply chain and dispatch process, bettering supply chain management. Integrating the supply chain with digital products can boost the speed, mobility, and flexibility of logistics operations. As a result, there is greater customer satisfaction and increased revenue. Digitization in the logistics industry has reduced the need for paper, making processes more time and cost-efficient.

 

Artificial Intelligence Applications

Artificial intelligence (AI) plays a significant role in the transportation and logistics industry and it will continue in 2022. AI promotes increased productivity and accuracy that eases the management process and reduces costs and errors. In warehouse management, AI simplifies the planning process by speeding up analysis time and making demand predictions easier. It helps logistics companies optimize the use of their warehouses by identifying the low-demand products from high-demand goods. In 2022, the logistics industry will continue to see innovation and development in AI, making it an essential part of the industry.

 

Cloud-Based Systems and SaaS

Cloud-based systems are one of the biggest trends in the logistics industry. Cloud-based systems open up more opportunities for logistics companies by forcing SaaS. They help companies attain greater profits and returns than the traditional systems while reducing costs and increasing efficiency. Cloud-based systems have the versatility of pay-per-use software that allows logistics companies to remain ahead of the fast-paced, ever-changing industry.

Cloud-based services are one of the most significant developments in the industry. According to Intellias, 50% of logistics providers are already tapping into cloud-based logistics and 20% are preparing to transition their current solutions to a cloud-based system.

 

Blockchain Technology Integration 

Blockchain will continue to be an important tech trend in logistics. Blockchain is a distributed encrypted database model. It allows the storage and transfer of information and maintains the records of transactions across several interlinked computers. The logistics industry can integrate all the components into a single platform by using blockchain technology.  It enhances visibility amongst logistics providers, carriers, shippers, and others using the same platforms to process payments and invoice customers. In 2022, expect continued investments in blockchain technologies across the logistics industry as the technology continues to be more accessible and widespread.

 

The Increased Demand for Third-Party Logistics 

As a result of the rise of e-commerce, increasing demand for 3PL services can be expected in 2022. 3PL companies that provide warehouses in various locations will be in higher demand. 3PL-based technologies offer advantages like cost-effective, faster, and more responsive models. They allow supply chain managers to integrate multiple management systems via API, which reduces the limitations of in-house technology solutions.

 

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