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  May 13th, 2021 | Written by

What’s In the Future for the Logistics Industry?

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  • Advancements in technology will undoubtedly change how logistics companies operate.
  • One of the most significant problems for logistics companies is ensuring they meet customer delivery expectations.

Without a doubt, technology has significantly turned the world into an online village. With just one click of a button, it is possible to shop for anything online and have it delivered to your doorstep.

While goods still need to be moved the same distance to reach a consumer, the logistics industry can benefit from adopting new-age logistics technology. From late to missed deliveries and even damaged goods on transit, numerous problems in the logistics industry continue to affect the delivery of goods negatively.

With technology, it is possible to streamline the delivery of goods. Technology adaptation in logistics can guarantee faster delivery processes, better handling of goods on transit, and reduced cost of operations for logistics companies.

Challenges facing the logistic industry that can be solved with technology

Planning logistics. Whether local or international, shipping can be time-consuming and comes with an increased risk of damage to goods. Many challenges affect the logistics industries. By analyzing these challenges, it is possible to determine which processes are worth automating.

A shift in customer desires

Every day, the demand for goods and services changes with top companies willing to pay top dollar for these numbers. Shifting customer desires influenced by reliable products recommendations affect the types of products on demand and the number of orders on these goods. Having this information can help companies reduce waste and dead stock. These changes can take place quickly, making it almost impossible to predict change in patterns.

Analytical technology can make it easier for a company to analyze trends and possible changes even before they happen.

Timely deliveries

One of the most significant problems for logistics companies is ensuring they meet customer delivery expectations. Natural factors, as well as management issues, influence how fast goods get to a consumer. Timelines are essential, especially for time-sensitive goods like perishable products. Technology can make it easier to speed up delivery queueing, thus ensuring timely deliveries for all orders based on time of ordering.


While on transit, the safety of goods and products has always been a great source of concern for the logistics industry. However, security issues in warehousing can also have a negative impact on delivery. Loss or damage of goods leads to lost sales or higher refund rates. With adaptations of logistics technology, goods tracking while on transit and in the warehouse can significantly enhance security and reduce revenue loss.

Poor infrastructure

While it is easy for logistics companies to invest in bigger shipping containers, ensuring the goods get to the recipient in good shape is still a tall order, especially in developing nations where suitable infrastructure is not always available.

Future Trends in the Logistics Industry

As the logistics industry continues to grapple with the issues above, the only way to overcome them is by focusing on adapting trends set to shape the industry in the future. Adaptation of technology is the only way to address the issues affecting the industry by automating most of the processes for better service delivery.

Some of the trends expected to take place in the logistics industry include:

Increased Adoption of Transportation Management System (TMS)

While transport management systems are not new in the logistics industry, they are used mainly by big logistics companies because of the high cost of setting up. However, with the wider availability of cloud-based management solutions, TMS and SaaS applications are slowly becoming more common even in small and medium-size logistics companies. This way, they even the playing field so that small companies can compete for a larger market share.

Availability of Autonomous Vehicles and Drones

As technology giants like Apple and Google play with the idea of developing self-driven cars, Amazon hopes to use drones to deliver product orders to their customers. Tens of logistics companies hope to be the first to use technologically advanced delivery systems.

Autonomous vehicle and drone technology will streamline the delivery process while minimizing human contact with products. The use of self-driven vehicles is expected to help in cutting fuel costs while reducing labor costs.

Growth in the adaptation of Internet of Things (IoT)

Smart devices that use IoT are becoming increasingly common in most households, and now this technology can be used in the logistics industry. The Internet of things can make warehouse management and stock management more manageable. With the Internet of Things, it is easier for a company to know when they are running low on stock and the best time to replenish.

IoT can also be used to track goods on transit without necessarily having to be there during the loading process. It also makes it possible to know and when the goods reach the consumer in real-time. This can go a long way in reducing over or under-ordering or manufacturing.

Tracking using E-logging gadgets

While drone technology may change how goods are delivered, not everything can be delivered using a drone. Therefore, there will still be a need for truck delivery vehicles. The use of E-logging gadgets can improve accuracy and shipping time while improving security by logging the delivery routes.


Advancements in technology will undoubtedly change how logistics companies operate while giving room for better competition, even for smaller companies. While it may affect the human component of the business, the improved accuracy, faster delivery and better handling of goods will be an added benefit to the consumer and the industry.