A new report finds within a decade, value capture and creation will steer the payments industry as innovative start-ups unbundle the existing logistics supply chain, focusing on certain aspects of it and breaking down the value chain.
Using novel business models that are app- or marketplace-based with online brokerage services and aggregated end-to-end visibility across the supply chain, these firms will displace some of the more established market participants.
Frost & Sullivan’s Future of Logistics notes instant and same-day delivery solutions are now key service differentiators. Firms must rethink their strategies and devise more agile models that leverage economies of scale and still meet consumer demands. The analysis explores the impact of technological intrusion on logistics. It clusters emerging market scenarios by technology, business and market, covering innovations, new business models, and emerging routes and regions that are expected to create a multitude of opportunities.
F&S says technology and convergence are creating on-demand, real-time and last-mile delivery solutions. Major disruption will include:
• A new era of freight brokerage services controlled using smart devices
• Integration of Internet of Things (IoT), low-cost sensors, wearables, and cognitive tools, resulting in the sensorisation of the supply chain
• Appification to create new service interfaces in logistics; mobile transportation management systems (TMS) and warehouse systems
will be created through web service application program interfaces (APIs) and cloud computing
• Autonomous systems such as driverless trucks and drone deliveries, and robotics warehouses that leverage human robotic collaboration and augmented reality to enable hands-free/vision picking technology
• Big Data or Data 2.0 to support anticipatory delivery using predictive analytics
Firms must now look at which part of the logistics stack they can address to potentially create value for end users by aggregating and offering current services through more efficient means. Eventually, technologies such as Blockchain will transform the industry, creating a single ledger for all logistics participants with automated agreements, payments and contracts at every stage, thereby substantially reducing payment costs and widening customer reach.
For a complete archive of more than 70,000 articles published since 1995 search the CardFlash.com library