When the world is upended by a global pandemic, or another unexpected disruption, it stresses the importance of having an efficient transportation and logistics (T&L) sector and ensuring the supply chain always runs smoothly.
The Impact of Disruptions on the Supply Chain
Since the onset of the coronavirus pandemic1:
Nearly 75% of companies have reported supply chain disruptions in some capacity due to COVID-19.
16% say they’ve lowered revenue targets by an average of 5.6% to compensate.
Over 44% of companies did not have a contingency plan in place in case of supply chain interruptions originating in China.
More than 53% are having difficulty getting updated supply chain information from China.
At the U.S. Port of Los Angeles, supply chain operations have dropped by 20%.2 International demand for cargo tonne kilometers (CTKs is a unit of measurement which represents the transport of one tonne of cargo over a distance of one kilometer) has slumped 9.1%.3 Goods are taking 8 to 10 days longer to reach port than before the pandemic hit.4
The widespread effects of the global disruption have been felt throughout the T&L industry:
Global manufacturing is expected to shrink 5% within the first six months of 2020, with supply chain disruptions negatively impacting the automotive (13% drop), textiles (8%) and electronics (7%) industries the most.5 In Canada, the top concerns are the procurement of medical and healthcare goods and the stability of the food supply chain.6
5 Critical Needs and Mobile Solutions for T&L, During and After COVID-19
Another lesson of COVID-19 is that when things are disrupted, it’s always a smart move to go back to the basics.
For the T&L and supply chain industries, 55% of organizations say they use, or have plans to adopt, mobile technology to increase efficiency, sales and customer satisfaction7 to ensure critical needs are met.
How Mobile and IoT Management Helps the Supply Chain Win From End-to-End
In Seven Strategies to Strengthen Your Business-Critical Mobile Operations to Weather COVID-19 and Beyond, it’s mentioned that having full visibility into your supply chain is crucial. This is especially true if your business provides emergency services.
It’s a potential revenue stream too, as consumers may be willing to pay 2% to 10% more for products from companies that provide greater supply chain transparency.8
Here are some ways a full suite of integrated mobile solutions delivers end-to-end insight into your T&L and supply chain initiatives:
Digital documentation: 55% of supply chain organizations use pen-and-paper manual processes to manage their logistics.9 Using apps to digitize pen-and-paper processes helps to streamline data entry and delivery, and reduce errors.
Asset monitoring: Your workers, the cargo they’re transporting and the mobile devices they use, are constantly on the move. Visibility into where these assets are and what they’re doing can improve your operations.
Eliminate downtime: Mobile T&L workers require a functional device for optimal efficiency. Remote diagnostic and troubleshooting support provides anytime, anywhere assistance to resolve device problems without having to ship it back to HQ.
Business intelligence: Penalties from late or incomplete deliveries could cost suppliers $5 billion USD per year.10 Analytics on app, data, network and device usage helps you pinpoint and act upon any issues with the performance of your mobile deployments.
Tracking-and-tracing: Suppliers need real-time insight into things like environmental changes to containers and the engine status of trucks on the road. Taking control of your IoT devices reduces downtime and improves operational visibility.
Regulatory compliance: For a highly regulated industry such as T&L, an Enterprise Management Solution (EMM) like SOTI MobiControl ensures things like the quality of shipping documents, custom regulations and other requirements in specific settings are met.
Driver safety: Drivers must keep their eyes on the road. Distracted driving policies let you lockdown devices or apps based on vehicle speed. You can also limit the functionality of devices on the road and restore it once the device has reached its destination.
See How SOTI Can Help Your T&L and Supply Chain Operations
Check out our customer stories for T&L businesses just like yours. Read about the mobility challenges they faced and the solutions SOTI delivered.
You can also:
Download the Managing Mobility in Transportation and Logistics Brochure
Read our whitepaper: How EMM is Transforming and Empowering Transportation and Logistics
- Watch our VP of Product Strategy Shash Anand’s YouTube interview with Supply Chain Now Radio
Let’s Talk About Your T&L and Supply Chain Mobility
Contact us anytime with your questions about our products and services. Learn about the benefits and value they’ll bring to your supply chain operations. You can also request a product demo or give the SOTI ONE Platform a try with a free, no-obligation 30-day trial.
- Institute for Supply Chain Management, COVID-19 Survey: Impacts on Global Supply Chains
- E&T, Supply Chain Issues in a World of COVID-19
- IATA, Air Cargo Demand Slumps
- Supply Chain Digital, Supply Chain Risk Management – COVID-19
- Baker McKenzie, Global Supply Chains Under Huge Pressure as COVID-19 Creates ‘Manufacturing Deserts’
- CBC, Pandemic ‘Poses Particular Challenges’ For Food Processing Plants
- Modern Materials Handling, 2020 Warehouse/DC Equipment Survey: Making the Right Moves to Offset Pressures
- Harvard Business Review, What Supply Chain Transparency Really Means
- Freight Waves, Survey Finds Manual Processes Still Dominate E-Commerce Logistics
- McKinsey, Deliver on Time or Pay the Fine: Speed and Precision as the New Supply Chain Drivers