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Technology Barrier
The transportation and logistics (TL) sector in India is very uniquely placed for a
growth trajectory that will take it to the next level in terms of service delivery,
predictability and sophistication. Quoting the definition of supply chain as stated
in Professor David Simchi MIT article supply chain management is primarily
concerned with the efficient integration of suppliers, factories, warehouses and
stores so that merchandise is produced and distributed in right quantities, to the
right location and at the right time. A successful supply chain function in any
industry depends on two critical aspects ability to plan and ability to execute
the plan. Logistic as a sector is the execution engine of the supply chain function.
TL in India is one of the core industries which is aiding the growth of several key
sectors retail, infrastructure, manufacturing, utilities, urban development to
name a few.
While the sector enjoys tremendous growth in terms of investment on the
movable asset logistics as a function is just about being re-looked as a part of
the overall corporate strategy. Aspects of measuring customer experience,
delivering a flaw less transition across multi modal modes of delivery, integrating
disparate systems are gaining more focus. Logistic operations are the single
most important function which being reviewed by every player in the industry
who believes in creating a world class supply chain function. The agility of this
industrys operation can only be achieved by using technology, thus making it
the most eminent answer to the problem being faced by the industry.
Unfortunately among the overall spend on technology, the logistics function does
not get the fair share despite its importance.
We are making a conscious choice of not using information technology as a basis
of the discussion, but just technology. TL as an industry has been the proponent
of several technologies in the space of mobility, convergence and cross
platforms. Technology needs of the logistic function require to be addressed in a
holistic manner at three different stages: