Visibility solutions have gotten a lot of attention as the logistics sector continues to embrace technology. It’s simple to see why: these solutions allow companies to improve supply chain transparency, track loads in real time, and assure cargo security without having to adopt several technologies.
Improved visibility is becoming increasingly important both within and outside the sector. Companies expect their partners to be transparent, and end customers want to know when their products will arrive.
FreightWaves teamed up with Tive, a provider of real-time visibility, to investigate how different industry players have responded to the rising demand for visibility. Shippers, third-party logistics providers, consulting firms, freight brokers, carriers, freight forwarders, and technology suppliers were among those that responded to the survey. The complete survey results are available here.
Despite a growing desire for improved visibility across the industry, survey results show that shippers are more hesitant than their peers to implement visibility-related technical solutions. Only 37% of shippers questioned said they used in-transit visibility technologies. Other industries reported substantially greater adoption rates, with 57 percent of respondents utilizing in-transit visibility technologies.
The difference between shippers and other sector players is surprising, especially given that shippers have never been slow to adopt new technologies. Shippers may be hesitant to use a full-service visibility solution for a variety of reasons. Companies may be hesitant to accept technology that they see as a “fad,” or they may not have found a solution that they believe would perform better than their present, more traditional methods. Furthermore, some shippers may rely on their carriers and 3PL partners for visibility solutions rather of investing in their own.
All of these elements are most likely in play. Over the last few years, logistics providers have been increasingly relied upon to bear the weight of new technological breakthroughs, prompting shippers to outsource an increasing number of tasks. Despite this, more than half of the shippers polled said they rely on check calls to keep track of their shipments. Shippers continue to use check calls to undertake track-and-trace procedures in greater numbers than non-shippers.
Using old school visibility approaches will become less and less practicable as the supply chain becomes more complicated and technologically savvy. Shippers who refuse to adapt to new technology will see their profit margins shrink and their relationships suffer as a result. Real-time visibility solutions are swiftly shifting from the realm of luxuries to the realm of requirements.
Despite the slow adoption of visibility by shippers, expectations for visibility continue to rise. Visibility is clearly valued by both supply chain partners and end consumers. Its capacity to streamline operations, uncover inefficiencies, and boost accountability around everything from sustainability to on-time delivery is a big reason for this.
Shippers who are ready to investigate their visibility alternatives have the chance to try out new solutions while the market is still hot, allowing them to realize the benefits of these technologies almost immediately after implementation. Industry linkages should deepen, profit margins should widen, and efficiencies should rise for these businesses.
Several visibility options are currently available on the market, including easy-to-use suppliers like Tive. Change-averse shippers are likely to prefer simple solutions that do not necessitate extensive onboarding efforts. These types of solutions make it simple to benefit from innovative solutions without breaking the bank or wasting critical time due to post-adoption ambiguity.
To discover more about Tive’s real-time visibility solutions, click here.
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It has not been modified and does not represent Benzinga’s perspective./n
