techwatch
Three technologies that will
change the logistics game
WHAT TECHNOLOGIES WILL HAVE THE BIGGEST IMPACT ON
logistics and supply chain management in the coming year? A panel
of information technology experts offered their thoughts on that
question at eyefortransport’s 13th annual Logistics CIO and Supply
Chain Technology Forum in Chicago this past April. The experts
agreed that three technologies in particular bear watching: mobile
computing, analytics software, and social media.
Mobile computing devices, whether in the form of smart phones or
tablet computers, could have a more far-reaching impact on logistics
than anyone ever imagined, according to the panelists. The appeal of
these devices lies largely in their flexibility. With a tablet or smart
phone in hand, managers no longer need to return to their desks to
obtain essential operating data; they can pull up
the information wherever they are—whether in the
warehouse or on the road. That’s a powerful draw,
noted Mark Ohlund, vice president of technology
strategy for PLS Logistics Services. “We want
[access to] information anytime we want it.”
As for which of these devices—tablet or smart
phone—is better suited to distribution operations,
Ohlund said the jury’s still out. But at the very least,
he expects all trucking companies, even the small-
est ones, to equip their drivers with smart
phones—if not smart phones with global position-
ing systems (GPS)—in the future.
One panelist went so far as to suggest that the
end of the personal computer era may be upon us.
The computing power of cell phones will soon
equal or exceed that of desktop computers, said Brent Baker, chief
information officer of STI Delivers. Microsoft Windows 7 may be the
last operating system IT managers have to roll out for corporate use,
he added.
Another development that could change the logistics game is the
emergence of analytics software, applications that sift through mountains of data to identify subtle patterns, anomalies, and associations
that can provide new insight into operations. “As firms get better at
collecting data, they use the data more for analysis,” said Michael
Watson, ILOG supply chain solutions leader at IBM. (ILOG is a software company owned by IBM.)
While there are many different types of analytics software, Watson
said two are particularly relevant to logistics operations: “prescrip-
tive” and “predictive” analytics. Prescriptive analytics tell a manager
what’s going on in his supply chain now, Watson
explained. The manager can then use that infor-
mation to take any actions needed to keep the
operation running smoothly.