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The iot-powered logistics industry: use cases, benefits and challenges.

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Amit Samsukha, Director & CTO at EmizenTech , is an eCommerce consultant, proficient at improvising IT infrastructure.

With the Internet of Things (IoT), the world is undergoing a technological revolution. One of the industries that IoT has influenced immensely is logistics, with the global IoT in logistics market size valued at $34 billion in 2019. Other estimates expect the industry will be valued at $63.7 billion by 2026 with a CAGR of about 12.4%.

In this article, I will look at the ways that IoT should continue to affect the logistics industry as well as the challenges and factors that could impact its continued growth.

Key Use Cases Of IoT-Enabled Logistics

In order to understand where IoT is heading for the logistics industry, let's first look at a few of its current applications:

1. Shipments Tracking And Monitoring

Wireless devices —such as radio-frequency identification (RFID) tags, eSIM and global positioning system (GPS) sensors—offer logistics companies the ability to track shipments' location and to monitor container temperature, relative humidity and other real-time conditions. With IoT technology, AI algorithms can process this data to assist route management and improve security, further predicting emerging issues, such as maintenance, to prevent problems.

2. Inventory Management

IoT technology can also be used to automate inventory management. For example, logistics companies can place RFID tags on items shelved in warehouses to track the products' location and inventory levels in real time. With the automatically obtained data on inventory levels from smart shelves and IoT sensors, companies can improve forecasting and optimize stock levels.

3. Fleet Management

IoT-enabled fleet management can offer real-time vehicle location, trailer or truck weight management, vehicle current status and speed. This way, businesses can optimize routes and scheduling, help diminish idling and improve fleet performance. These solutions can help reduce fuel costs and assist in monitoring drivers' for unsafe driving practices.

4. Predictive Maintenance

The data collected from IoT devices, like connected sensors, can help identify patterns, automatically predict the failures in equipment and schedule maintenance.

Current Challenges And Possible Resolutions

Even with these benefits, the adoption of IoT in the logistics industry faces several challenges. Let's look at a few of them and the possible resolutions to these obstacles:

1. Scalability

With the increasing usage of sensors and other connected devices in a system, the accumulated data would demand detailed analysis and processing. In the absence of scalable infrastructure, it may hamper data management. A scalable and flexible infrastructure that can handle surging data volume and adapt to changing system needs might help resolve this issue.

2. Security

IoT devices and networks are prone to cyberattacks, which can lead to the loss of data, among other issues. Through thorough security assessments and robust security measures, though, businesses should be able to protect their data and prevent unauthorized access.

3. Integration

With current logistics systems, IoT device or system integration may result in poor outcomes because of improper planning and prior testing. Before integrating IoT with existing logistics systems, proper planning and integration testing is essential for the system to perform seamlessly.

4. Staff Skills

As IoT implementation leads to various modifications in the system, employees may not find it easy to adapt to those complex changes. A skilled staff with technical knowledge is necessary to quickly adapt to the revamped workflow. For this reason, employee training is a must.

5. Data Quality

Data accumulated from IoT devices help make informed decisions and predictions, but invalid or inaccurate data can lead businesses to huge losses. Data-quality checks and validation processes can help ensure the gathered data is reliable and accurate.

Expected Forthcoming Developments That May Have Significant Impact

Finally, there are several technologies being developed in tandem with IoT technology that could impact their adoption. Let's look at five of them and how they could reshape the logistics industry:

1. 5G And Low-Latency Network

IoT devices require a strong internet connection. The deployment of low-latency 5G networks may improve the connectivity and speed of IoT devices, increasing reliability and efficiency.

2. Augmented Reality (AR)

With AR technology, IoT can provide real-time information and guidance to logistics workers, and this technology could result in reduced errors and improved inventory accuracy.

3. Autonomous Vehicles And Drones

Moreover, the invention of IoT-powered drones and autonomous vehicles can increase the speed and efficiency of logistics operations. If programmed correctly, these vehicles and drones may navigate to particular locations autonomously while avoiding obstacles and helping in decision-making based on accumulated real-time sensor data.

4. Blockchain

Blockchain technology can benefit the IoT-enabled logistics industry by creating a decentralized and secure ledger of every data point, such as inventory and shipping information, improving efficiency and transparency in logistics operations.

5. Smart Warehouse And Logistics Centers

IoT plays a vital role in automating warehouse operations and optimizing resources and space utilization. By using accumulated analytics data, smart warehouses and logistics centers can improve forecasting and inventory management.

Prospective Outlook

Based on the growth expected for IoT in the logistics industry, it will likely be crucial for every player in the space to follow these trends and adopt these technologies as a baseline for keeping up with the competition.

By understanding the current technologies, the challenges to adoption and future technological trends, leaders in the logistics industry should give themselves the ability to compete, and perhaps even the upper hand, in guiding their companies through the ever-changing technological climate.

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The International Journal of Logistics Management

ISSN : 0957-4093

Article publication date: 14 May 2018

Advances in technology enable companies to collect and analyse data, which were previously not accessible, to either enhance existing business processes or create new ones. The purpose of this paper is to document the role and impact of Big Data Analytics (BDA), and the Internet of Things (IoT), in supporting a large logistics firm’s strategy to improve driver safety, lower operating costs, and reduce the environmental impact of their vehicles.

Design/methodology/approach

A single case with embedded units intrinsic case study method was adopted for this research and data were collected from a “real-life” situation, to create new knowledge about this emerging phenomenon.

Truck telematics were utilised in order to better understand, and improve, driving behaviours. Remote control centres monitor live sensor data from the company’s fleet of vehicles, capturing the likes of speed, location, braking, and engine data, to inform future training programs. A combination of truck telematics and geo-information are being used to enable proactive alerts to be sent to drivers regarding possible upcoming hazards. Camera-based technologies have been adopted to improve driver safety, and fatigue management, capturing evidence of important driving events and storing data directly to the cloud, and BDA is also being used to improve truck routing, recommend optimal fuel purchasing times/locations, and to forecast predictive and proactive maintenance schedules.

Research limitations/implications

The type of data collected by Company A, and similar logistics companies, has the potential to greatly inform researchers investigating autonomous vehicles, smart cities, and the physical internet.

Practical implications

Eco-driving, a practice informed/improved by BDA at Company A, has been linked to reductions in fuel consumption and CO 2 emissions, which bring both economic and environmental benefits. Technologies similar to Truckcam are growing in popularity in some parts of the world, to the point where it is now common practice to use dashcam assess of accidents to establish liability. This has implications for logistics firms, in other parts of the world, where such practices might not yet be so commonplace, and for drivers and society more broadly.

Social implications

Improvements in utilisation and routing have the potential to reduce traffic congestion, which is responsible for losses in productivity, increases in fuel consumption, air pollution and noise, and can incite stress, aggression, anger and unsafe behaviours in drivers. Predictive analytics, which generate refuelling and maintenance schedules, have the potential to be adopted by all vehicle manufacturers, and could generate reductions in customer fuel costs, whilst improving the performance, efficiency, and life expectancy of future motor all vehicles. The high probability of occupations in the logistics industry being replaced by computer automation in the near future is also discussed.

Originality/value

The findings from this research serve as a valuable case example of a real-world deployment of BDA and IoT technologies in the logistics industry, and present implications for practitioners, researchers, and society more widely.

• Internet of Things
• Big Data Analytics

Hopkins, J. and Hawking, P. (2018), "Big Data Analytics and IoT in logistics: a case study", The International Journal of Logistics Management , Vol. 29 No. 2, pp. 575-591. https://doi.org/10.1108/IJLM-05-2017-0109

Emerald Publishing Limited

Copyright © 2018, Emerald Publishing Limited

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IoT in Logistics: What It Is, Applications, and Benefits

As the world becomes more interconnected, the logistics landscape is significantly transforming. Technology has become the backbone of supply chain management, propelling logistics companies into a new era of efficiency and connectivity.

Internet of Things (IoT) is a transformative force reshaping the fabric of logistics and transportation. IoT in logistics isn’t just a trend; it’s rapidly becoming a core component of modern supply chains, enhancing everything from fleet management to customer satisfaction.

In this guide, we will dig deep into the applications, benefits, and future trends of IoT in the logistics sector to ensure you understand how to leverage this technology for improved operational efficiency and customer satisfaction.

What is IoT in Logistics?

IoT in logistics , short for the Internet of Things, represents the integration of physical devices within the logistics and transportation industry network that communicate and exchange data without human intervention.

At its essence, IoT enables devices like sensors, vehicles, and equipment to connect and sync over the internet, creating a more dynamic, responsive, and interconnected logistics environment.

Here are the fundamental components of IoT:

• Sensors : These are the eyes and ears of IoT devices, collecting data such as location, temperature, or speed from the logistic environment.
• Connectivity : IoT devices cannot communicate without robust connections. Connectivity can range from cellular networks to Wi-Fi, enabling real-time data exchange across remote locations and even globally.
• Data Analytics : The data collected by IoT devices is vast. This data is transformed into actionable insights through predictive analytics systems and artificial intelligence , helping optimize routes and predict maintenance needs.

Applications of IoT in Logistics

IoT technology transforms the logistics process, advancing various aspects of operations with its innovative applications. Here are some key areas where IoT makes a significant impact:

• Real-Time Tracking : IoT enables logistics companies to track shipments and assets in real-time, providing up-to-the-minute location data. This capability enhances route management and improves delivery accuracy.
• Inventory Management : With IoT devices such as RFID tags and sensors, companies can automate inventory tracking and management. This technology ensures accurate stock levels and alerts when supplies are low.
• Vehicle Tracking : IoT solutions offer precise tracking of each vehicle in a logistics company by communicating with logistics managers and providing data on location, speed, and route efficiency.
• Predictive Maintenance : By analyzing vehicle data, IoT systems can predict when a vehicle might require maintenance before a breakdown occurs, thereby minimizing downtime.
• Driver Behavior Monitoring : IoT devices can monitor driving patterns and behaviors, providing feedback that can lead to safer driving practices and improved fuel efficiency.

Benefits of IoT in Logistics

Integrating the Internet of Things (IoT) in logistics unlocks numerous strategic advantages. It enhances every aspect of logistics, from real-time tracking to inventory management . Below, we break down the key benefits.

1. Improved Efficiency

IoT devices streamline operations across the supply chain, enabling logistics companies to monitor and manage assets precisely. Enhanced route and delivery process management ensures timely delivery and operational agility.

2. Reduced Operational Costs

With IoT technology, logistics firms significantly cut costs. Real-time data on fuel consumption and vehicle performance help reduce wastage and optimize resource utilization, lowering overall operating costs.

3. Enhanced Customer Satisfaction

IoT solutions boost customer satisfaction by providing transparency and faster service. Real-time location data and predictive analytics ensure customers receive their deliveries on time and in perfect condition, improving trust and reliability.

Challenges and Considerations in Implementing IoT

Let’s discuss the potential challenges and considerations in IoT:

• Integration Complexities: Integrating IoT into existing logistics systems can be daunting. Many logistics companies operate on legacy systems that need to be more readily compatible with the new wave of IoT technologies.
• Data Security Concerns: As IoT devices proliferate within the logistics industry, so too do the risks associated with data security . The vast amount of relevant data collected and transmitted across networks can attract cyber threats, potentially compromising sensitive information.
• Investment Costs: Implementing IoT solutions in logistics can be expensive, considering the need for purchasing hardware, upgrading software, and training staff. For many logistics companies, particularly small to medium-sized enterprises, these costs can be prohibitive.
• Remote Location Challenges: Implementing IoT in remote locations presents its own challenges, primarily related to connectivity issues. Logistics operations across distant and varied geographies need reliable communication systems to benefit from IoT technologies.

The Future of IoT in Logistics

The Internet of Things (IoT) continues to evolve, bringing transformative changes to the logistics industry. As we look to the future, several emerging technologies and innovations are likely to shape the trajectory of IoT in logistics:

• 5G and Low-Latency Networks : The deployment of 5G technology is expected to significantly enhance IoT functionality in logistics by providing faster, more reliable internet connections. This will enable more efficient real-time data transmission.
• Augmented Reality (AR) : AR is set to play a pivotal role in the logistics sector, providing workers with real-time, on-the-job information through AR glasses or mobile devices.
• Autonomous Vehicles and Drones : IoT advancements are driving the increase in the use of drones and autonomous vehicles for delivery. These technologies will streamline delivery processes, especially in urban areas, reducing costs and improving delivery times.
• Blockchain Technology : Integrating blockchain with IoT could revolutionize data management in logistics by creating a more transparent, secure ledger for transactions and tracking.
• Smart Warehouses : IoT is expected to be increasingly used in developing smart warehouses that utilize data from IoT sensors to automate and optimize operations, from inventory placement to energy management.

Getting Started with IoT in Your Logistics Operations

Adopting IoT technology in logistics can seem daunting, but the right approach can significantly enhance efficiency and streamline operations.

Here’s a guide for logistics and supply chain professionals on how to get started with IoT technology effectively.

• Identify Key Areas : Identify areas within your operations where IoT can have the most immediate impact, such as inventory management or fleet management.
• Pilot Projects : Implement pilot projects that focus on these areas. This allows you to see the tangible benefits of IoT without overhauling your entire system.
• Expertise in Logistics : Partner with technology providers who have proven expertise in the logistics industry and understand the complexities of your specific logistics processes.
• Support and Scalability : Ensure that the partner offers robust support and scalable solutions that can grow with your business.
• Modular Systems : Invest in modular IoT solutions that can be easily expanded or modified as your business needs change.
• Integration Capabilities : Choose solutions that can seamlessly integrate with your existing IT infrastructure to avoid data silos.
• Comprehensive Strategy : Develop a comprehensive IoT strategy that includes objectives, expected outcomes, and metrics for success.
• Secure Data Practices : Implement robust data security practices, including encryption and secure data storage, to protect sensitive information collected through IoT devices.

In exploring the Internet of Things (IoT) in logistics, we’ve delved into how this transformative technology revolutionizes the logistics industry. From enhancing fleet management and inventory management to optimizing the entire supply chain process, IoT offers many benefits that streamline operations and boost efficiency.

The integration of IoT solutions allows logistics companies to collect data, monitor delivery processes, and maintain predictive maintenance with unprecedented accuracy and efficiency. As IoT continues to evolve, its role in the transportation and logistics industry becomes increasingly critical.

By understanding the potential and capabilities of IoT, as outlined in this article, you are now equipped to make informed decisions that can profoundly impact the efficiency and success of your logistics operations.

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IoT in Logistics: Transforming the Industry

In any discussion of the Internet of Things, logistics has to be named among the top industries that have adopted and widely applied this technology in everyday business activities. In this article, we’ll analyze the role of IoT supply chain and logistics solutions, the main benefits for companies of using them, and some of the challenges an enterprise can face as it implements these tools.

If you’re interested in learning more about how the Internet of Things can be used in other fields, you can read one of our previously published articles about IoT apps in various industries .

IoT logistics market

IoT applications in logistics are hardly new. Two (and even more) decades ago, logistics managers were actively using location management tools and other types of software for tracking deliveries. Of course, the apps used at that time were quite different from what we see now. Nevertheless, even with a minimal set of functions, such tools helped to facilitate tasks and workflow significantly for managers and truck drivers.

Today, when IoT applications for logistics have become an integral part of business processes in many countries, the market for IoT supply-chain software continues to expand. Among the factors that are boosting this growth are the rapid expansion of e-commerce as well as the need for highly organized transportation processes.

The market size in 2022 was $39.6 billion, but it is expected that by 2032 we will see a figure of  $114.7 billion .

According to the data revealed by experts, the global Internet of Things in the logistics market is predicted to show growth with a CAGR of around 11% between 2022 and 2032.

Logistics industry: Modern problems

For many years, the logistics industry remains to be one of the most actively growing industries. However, there are some barriers that prevent many logistics companies from their expansion and growth. These barriers are mainly related to the lack of software tools that could automate numerous time-consuming processes that currently have to be performed manually. As a result, logistics specialists lose a lot of time fulfilling monotonous repetitive paperwork tasks instead of devoting time to more creative and intellectual activities.

Nowadays, among the factors that prevent the industry from further development, we can name the lack of access to real-time data that can demonstrate the most relevant road conditions, low control over delivery processes, low transparency of supply chain stages, and inaccurate route planning.

IoT systems in logistics: benefits for businesses

Today many experts in logistics can’t imagine doing their work without various software tools and applications. This isn’t just a modern trend or a pure consequence of overall digitalization. 

 IoT software lets logistics managers make more conscious and efficient decisions in terms of goods arrivals and the process of deliveries. This makes it possible to significantly reduce the risks inherent in imprecise planning. With IoT software, developing the most suitable transportation routes given current road and weather conditions, as well as other factors, is significantly easier and faster in comparison to manual methods.

All in all, we can say that IoT tools provide the following benefits for logistics and supply chain management:

• Automation of planning
• Real-time tracking
• Enhanced reporting and documentation development
• Reduction of time and costs needed for route designing and delivery organization
• Mitigation of risks related to failed deliveries
• Streamlining of the entire supply chain process
• Improved inventory management
• More transparent processes

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Logistics connected ecosystem: Key components

When it comes to IoT in logistics, it is important to understand that such solutions allow us to unite into one system a wide row of objects and devices that traditionally have never been connected before. But together they offer us completely new opportunities related to their use. As a result, we can enjoy dozens of new benefits that can bring their fruits to all supply chain participants. Below you can find a list of components of this ecosystem and see how different aspects often the transportation industry are changed and enhanced thanks to the application of modern solutions.

• Communication . In the logistics industry, a communication system is typically aimed at ensuring a safe and reliable channel for establishing interaction between truck drivers and their managers. As a rule, such well-known devices as mobile phones and tablets are used for instant data exchange between drivers and those employees who usually work in offices.
• Geolocation monitoring.   GPS is one of the most well-known technologies for tracking location in real-time and today devices with special GPS modules are used to detect the location of trucks at any moment when this information is required. Thanks to having the most relevant data, managers have a more precise understanding of where the cargo is and when it can be delivered to the desired destination even when it is necessary to transport goods to remote locations.
• Cybersecurity . Protecting sensitive data is one of the most important issues that companies working in various industries have to consider. And the logistics industry is not an exception. To avoid serious financial losses and reputational damages, companies need to invest in tools and technologies that will enhance the security of their IoT systems.
• Supply chain tracking . Solutions enriched by IoT in logistics also include tools for tracking supply-chain processes and transportation stages in real-time. They help to facilitate all delivery processes and all other steps related to product manufacturing starting from raw material purchasing.

Use cases of IoT applications in logistics

Today IoT software can be used for solving a variety of tasks in the logistics and transportation industry. Below is a list of the most popular solutions widely applied across numerous companies all over the world.

Inventory tracking systems

These solutions created for the logistics industry are aimed at streamlining procedures related to re-stocking and distributing goods. Such software powered by the Internet of Things is built to gather and process data received from connected sensors placed on products. As a result, managers know that goods are safely stored and where they are located at any given moment.

With the help of solutions powered by IoT in logistics, managers have the possibility to faster and more easily track the levels of stocks. With the sensors and various smart devices that are intended for being placed on shelves, warehousing equipment, and vehicles, specialists who deal with different tasks related to supply chain stages, including sales, orders, and deliveries, can have the freshest data about the quantity or volumes of the chosen position. When a critical stock level is detected, IoT devices notify managers in real time so that they can react to this information in time and avoid situations that can lead to serious deterioration of the shopping experience for clients.

Moreover, IoT apps significantly improve warehouse management and asset tracking, thanks to minimizing the risk of human errors and reducing the time needed to find the location of different items.

Location management tools

In transport logistics, it is very important for managers to know the precise real-time location of each vehicle, get a full understanding of the current delivery status and be able to estimate when goods can be shipped. Location management tools serve exactly these needs. Such Internet of Things tools can be enriched with modern GPS modules intended for monitoring the location of a vehicle as well as detecting the speed at which drivers cover some particular distances. First of all, this parameter helps to evaluate the real situation on the road which is important for route management and better planning of all supply chain processes. Secondly, it shows whether drivers do not ignore the traffic rules and whether they can ensure the safe delivery of products.

Thanks to them, logistics companies can avoid time losses in the delivery process related to traffic conditions, improve the efficiency and accuracy of their fleet and goods tracking, as well as make sure that they are complying with obligations set down in their contracts with clients and shipping goods on time. If due to unpredicted factors transportation of goods is delayed and a driver doesn’t have the possibility to reach the destination at the agreed time, logistics managers will be timely informed about that (or they will be able to see it on their own in their apps) and they will have the possibility to warn a client or to elaborate a new solution.

Predictive analytics systems

To this group, we can add software platforms that collect data from various devices in real-time, process the received information and prepare reports and forecasts based on the latest updates. With these solutions, specialists can make more efficient decisions on deliveries and warehouse planning. Such systems can also be enriched with features for designing routes and notifying employees of changes in delivery conditions. Using predictive analytics tools powered by IoT in logistics, companies can determine the most appropriate modes of operation, the average time needed to get ready for a shipment, and many other organizational aspects.

Advanced analytics systems that can be built today allow managers to find any deviating trends and to have enough time to adequately react to them without serious losses for their companies and their clients. With such tools, logistics specialists can start working on developing new approaches or finding new solutions that will help to return to normalcy

Thanks to these possibilities, the quality of logistics processes and services can be greatly increased, as well as client loyalty and satisfaction. Together, all these outcomes result in growing profits for the logistics firms. Very often, such tools enriched with IoT in logistics and transportation are integrated with other business apps.

Fleet management tools

Solutions of this type are often integrated into more complex systems. As companies can operate a huge number of vehicles, it’s very important for them to accumulate a great deal of real-time information about the availability and state of each vehicle. Fleet management tools help companies better organize the entire workflow. 

Fleet management solutions have a lot in common with software products that are built for location tracking. However, they can be used not only for monitoring the exact real-time location of trucks but also for tracking their technical state. Special sensors and devices can be installed on trucks and can continuously estimate the chosen parameters. Based on these parameters, logistics specialists can receive regular reports on the state of vehicles and on recommended timeframes for tech maintenance services. The data from smart devices is sent to the defined servers where the company’s employees can get access to them.

Automated vehicles

It’s a bit too early to speak about the mass adoption of self-driving vehicles, however,  it’s expected that self-driving trucks will revolutionize the logistics industry in the future. Automated vehicles will help make deliveries more predictable and manageable as well as reduce the influence of human factors.

Smart trucks will be able to predict road and weather conditions, find the most appropriate routes and provide managers with real-time data for better planning of all the related processes.

Nevertheless, today, it is still too early to say that quite soon driverless cars will fully replace traditional cars due to a row of serious disadvantages that we can detect together with multiple benefits. The first disadvantage that companies can face is a very high purchase price of self-driving vehicles. The second one is related to the costs of maintenance services. Even the less significant mechanical issues can lead to very serious amounts that will have to be paid. Moreover, there can be some unpredictable road conditions and an automated vehicle won’t be able to react to them in a proper way due to the lack of the corresponding algorithm

Drone-based deliveries

The use of drones for deliveries looks very promising, especially for streamlining and automating goods transportation. At the moment the drone based delivery segment is being actively studied. Nevertheless, today is definitely not the best time to speak about the full-scale adoption or mass use of drones in the logistics and transportation industry when it comes to long distances and remote locations. Drones are good for in-house deliveries but with the growth of distances, it is not always reasonable and feasible to use drones. Moreover, many drones are simply not able to carry very heavy boxes and packages which also limits their use to some specific cases only.

The retail industry could become the first to start using such solutions as a standard delivery method. It is also forecasted that drones will make it possible to reduce operational costs and staff while increasing the quality of services and customer satisfaction. But with the growing interest in the application of drones from the side of companies working in many industries, including logistics, we can make an assumption that in the future, the situation will change.

Real-life examples of IoT in the logistics industry

Speaking about various IoT solutions built for the logistics sector, it will be interesting to have a look at some examples of such systems that are already being used by companies today.

DHL is a well-known logistics company that has become one of the pioneers in embracing the capabilities of IoT sensors and devices for the optimization of their operations. IoT devices are applied by the company to track the real-time location of its deliveries to enhance routes and reduce fuel consumption by analyzing weather conditions, traffic situations, and other factors. It helps to decrease operating costs and to achieve higher customer satisfaction. Another thing to mention is that IoT sensors used by DHL can also monitor the temperature and humidity of the environment where freight is kept which is also important for providing high-quality transportation and logistics services.

Another logistics company to mention in this context is Maersk. It is open to innovations and is continuously looking for ways to modernize its services and approaches to deliveries. It relies on data gathered by IoT devices for enhancing vessel operations and ensuring cargo visibility. Among other applications of IoT by Maersk, it’s worth mentioning quality assurance and predictive maintenance across the entire supply chain.

IoT in logistics: Implementation challenges

Though already today we can see real-life applications of IoT by numerous logistics companies all over the world, we can’t say that their implementation is absolutely pitfall-free. That’s why, if you are considering some variation of integrating such a solution within your business processes, you should bear those potential problems in mind so as to address them properly.

So, what concerns should you pay attention to?

• Data security . Before fully relying on IoT in logistics, you should make sure the architecture is secure. Vulnerabilities related to data storage and processing, possible leaks, and hacker attacks can lead to serious financial and reputational losses.
• Connectivity problems . As you will understand, the proper functioning of IoT solutions and real-time data exchange fully depend on the stability of the internet connection. Given the fact that delivery routes often pass through zones with poor signal coverage, it can be a serious problem. Nevertheless, these days, internet coverage is becoming wider and it is reasonable to expect that the influence of this negative factor on the efficiency of IoT devices and software will decline. 
• High implementation costs . Although one goal of using IoT apps is to reduce operational costs, initially, it requires serious investments that can become a challenge, especially for new firms just starting their business journey.
• Required skills. When you launch a new software product enriched by IoT in logistics, all your employees should learn how to use it correctly. This may require some effort and time.

Nevertheless, the benefits of using IoT systems in logistics look significantly weightier than all the related challenges. 

At Cogniteq, we have solid expertise in developing IoT solutions for companies working in various industries, logistics being one of those. Thanks to a deep understanding of all the business processes within the industry, we build solutions that bring real value to companies and their customers. If you want to know more about our experience and services, please contact us via our site, and our best experts will reach out to you as soon as possible

Future trends for IoT in the logistics sector

The tech progress allows developers to deliver more and more advanced solutions. Given the achievements in the tech industry, it will be sensible to presuppose that IoT systems in transportation and logistics will be further modernized and enriched with new features.  

• Integration of AI tools . AI and IoT can greatly support the capabilities of each other. While IoT sensors can gather a lot of valuable data, AI can be used for its deep analysis, pattern detection, and accurate predictions. It is expected that artificial intelligence tools will be widely used to make IoT systems for the logistics sector much more powerful.
• Blockchain implementation.  One of the greatest concerns related to the applications of IoT in logistics is the security of the gathered data. And this concern can be addressed by sending this data to an immutable blockchain ledger where each transaction will be recorded and verified.
• Focus on sustainability . The transportation and logistics industry is often blamed for its huge impact on the environment and is said to be responsible for around 11% of global CO2 emissions. Smart devices enriched with IoT sensors are able to help companies to track their emissions from each vehicle and facility. Based on this data, it will be possible to develop an efficient strategy for emission reduction.

How does IoT work in logistics? 

IoT-powered solutions help managers to make more accurate and well-informed decisions, especially when it comes to delivery process and route planning. Thanks to devices powered by IoT in logistics, logistics specialists can always track weather and road conditions in order to precisely calculate the time when a truck driver will be able to reach the destination.

How to use IoT to improve logistics processes?

IoT solutions provide a wide range of benefits to logistics companies, including but not limited to, real-time fleet monitoring, planning automation, more efficient supply chain management, lower operating costs, enhanced reporting, reduced risks related to delivery process planning, more transparent business processes, higher quality of services, and client satisfaction.

How is IoT transforming logistics?

IoT in logistics helps to automate a lot of processes related to fleet management, delivery organization, and route planning. With the opportunity to have the most relevant real-time data ensured by the Internet of Things, logistics managers can always adjust routes and timely notify clients about any possible issues that can influence the time when their goods can be delivered.

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IoT in Supply Chain: Benefits, Challenges, and Use Cases

Dealing with suppliers, customers, logistics, and inventory isn’t easy. The global supply chain management market expands at 9.4% each year as businesses try to keep up with this growth by adopting innovations. And in this case, IoT in supply chain management is taking center stage.

The Internet of Things (IoT) is a solution capable of automating supply chain processes, offering better visibility and control, optimizing inventory, and enabling predictive maintenance. When implemented through the right tools, like WebbyLab’s 2Smart Standalone platform, IoT can make everything run smoothly. Want to leverage this tech for your operations? Read our expert post.

In this article, WebbyLab will explain the role of IoT in supply chain management, covering the benefits, challenges, and real-world examples that demonstrate this technology ’s tangible impact . Count on our four-year experience in the Internet of Things to drive your business into supply chain excellence.

Using 2Smart Standalone to monitor IoT devices within the supply chain.

The State of IoT in Supply Chain Management

The Internet of Things is really catching on to the supply chain industry . Future Market Insights predicts that by 2033, the market for this tech in the sector will surge from $12.4 billion in 2023 to $41.8 billion. The same study outlines the following factors of such rapid growth:

• The increased demand for supply chain transparency and traceability.
• The desire to enhance operational efficiency and lower expenses.
• The opportunity for real-time, remote monitoring and tracking of products throughout the supply chain.
• The goal to streamline inventory management and reduce stockouts.
• The prospect of minimizing risks associated with product damage or spoilage.
• The need for real-time data to make informed decisions and keep up with quality standards.
• The opportunity to simplify logistics and select more efficient transportation routes.

Tightly connected to logistics, the supply chain industry is fueling the latter’s growth through the adoption of IoT. IoT devices are being installed in the logistics systems to track deliveries and exchange information in real time. Consequently, the global spending on IoT solutions in logistics is poised to soar from $39.6 billion in 2022 to $114.7 billion by 2032.

The Role of IoT in Supply Chain and Logistics

Imagine you’re running the supply chain where your staff knows where your goods are, what condition they’re in, and where they are heading — all of this in real time. That happens when you merge the Internet of Things and supply chain processes. Here’s how it works:

• The IoT supply chain starts with the manufacturer or producer, who requires process automation, remote monitoring, and production optimization.
• The IoT sensors placed throughout the supply chain collect real-time data on the location, condition, and movement of goods.
• The gathered data moves through a communication network to the centralized IoT supply management platform.
• Then, there’s data aggregation, where incoming information from various sensors is compiled into a single dataset.
• The organized data is then cataloged into a structured repository of information.
• After that, the data is analyzed and used to optimize various supply chain aspects, including warehouse management, logistics, or demand forecasting.

The process of IoT data collection throughout the supply chain.

Here’s a list, though not exhaustive, of operations that IoT supply chain logistics can optimize:

• Tracking and monitoring assets
• Managing inventory
• Predicting maintenance needs
• Enhancing visibility in the supply chain
• Monitoring temperature and environmental conditions
• Observing and managing the condition of goods
• Optimizing routes
• Automating warehouse processes
• Managing suppliers and vendors
• Using analytics for supply chain improvement
• Managing risks and resilience
• Forecasting demand
• Ensuring compliance and regulatory reporting
• Managing the cold chain
• Enhancing customer experience and transparency

Owing to the straightforward IoT supply chain management process, supply chain operators can check where the products are in real time, whether in a warehouse or waiting on a store shelf. They can also monitor the temperature, lighting, humidity, and other parameters to maintain specific storage conditions. Finally, they can estimate arrival times more accurately and trigger post-delivery administrative tasks like payment or quality control.

Benefits of IoT in Supply Chain

Leveraging IoT in supply chain management is highly promising, given the plethora of advantages this tech brings. Let’s look at some of them:

Enhanced Visibility and Tracking

The Internet of Things is the eyes and the ears of the entire supply chain. It helps monitor the product’s location, movement, and condition, as well as inventory levels and internal policy compliance. This end-to-end tracking contributes to a smooth flow of operations.

Improved Efficiency and Productivity

Using IoT in supply chain means dealing with a lot of data that can be analyzed to introduce operational improvements. Beyond that, supply chain operators benefit from the automation of certain processes, like inventory management, shipment tracking, predictive maintenance, and more.

Optimized Inventory Management

The Internet of Things lets supply chain operators monitor inventory levels in real time. It helps them handle their goods more precisely, preventing overstocking or stockouts and ensuring they always have the right products available at the right time.

Enhanced Demand Forecasting

IoT is how businesses gather and study real-time data, ultimately making more informed predictions about future demand. As a result, supply chain operators adjust their production and distribution strategies following the needs of consumers.

Reduced Costs and Risks

Cost efficiency is another benefit of leveraging IoT in supply chain management. The Internet of Things lets businesses optimize delivery routes, predict maintenance needs, avoid overstocking, dodge product damage or spoilage, and reduce manual labor — factors that make the supply chain more sustainable and less risky.

Most Used IoT Devices in Supply Chain Management

Integrating the Internet of Things in supply chain processes involves using specific devices. Here are the most common ones:

• RFID tags and readers. Radio-frequency identification tags and readers that use electromagnetic fields identify and track products throughout the supply chain automatically and wirelessly.
• GPS trackers. These devices leverage the global positioning system and let supply chain operators receive the precise location data for shipments in transit.
• Sensors. These tiny devices help gather data on various parameters like temperature, humidity, pressure, vibration, movement, and so on.
• Actuators. Actuators trigger specific actions following the data received from sensors. For example, they can automatically adjust warehouse temperature when conditions become excessively hot or cold.
• Smart shelves. These shelves leverage IoT technology to monitor inventory levels in real time.
• Robotic pickers. These devices, equipped with sensors and actuators, automate the picking and packing processes in warehouses.
• Wearables. The latest wearable IoT trends , like smart glasses and wristbands, allow supply chain workers to access inventory and shipping data hands-free.
• Drones. These devices are used for aerial surveillance and delivery.

Challenges of IoT in Supply Chain

While leveraging IoT in supply chain is highly beneficial, it poses certain difficulties. Let’s look at these potential hurdles in greater detail:

Data Security and Privacy

Devices and sensors collect a lot of IoT logistics and supply chain data, which has to be thoroughly protected. Creating a secure and compliant IoT architecture is no small feat. Therefore, businesses may require an expert team capable of introducing robust security measures.

Integration and Interoperability

The IoT devices and sensors used throughout the supply chain often come from manufacturers. This poses a challenge in integration and interoperability. Yet, leveraging universal communication protocols might help create a cohesive supply chain system.

Scalability and Complexity

As supply chain operations expand, the IoT system’s scalability becomes a concern. Scaling up to meet the growing demands requires careful planning in order to deal with the complexity of adding more devices and data sources.

Lack of Standards and Regulations

Another challenge that supply chain operators may face is the absence of standardized protocols and regulations for IoT devices. It’s essential to follow the relevant industry regulations and collaborate with a legal team to ensure the system’s compliance.

Real-World Examples of Using IoT in Supply Chain and Logistics

It’s always best to learn from the real-world leaders who implemented the Internet of Things into their supply chains. Take inspiration from the following IoT in supply chain examples :

• Walmart . Walmart uses IoT to monitor temperature, energy use, and other environmental conditions during the storage of fresh produce. They automatically adjust their HVAC systems to ensure the highest quality standards for the stored food.
• Amazon . In 2022, Amazon has invested $1 billion into warehouse robotics. The company decided to leverage this tech to reduce manual labor and offer faster delivery times.
• Maersk . This shipping company uses IoT to track containers in real-time. Being responsible for 18% of global container trade, Maersk has invested in the Internet of Things to improve visibility, safety, and cost efficiency in its sea freight operations.
• Smart parking in Amsterdam . The city of Amsterdam has introduced an IoT-based smart parking system that allows drivers to track parking space occupancy.

Webbylab Experience in IoT-Based Supply Chain Management

WebbyLab has a profound background in IoT development and consulting, spanning over four years. During this time, our team has completed over ten projects and created three IoT products of our own. Our expertise allows us to deliver a range of services that can streamline your IoT supply chain management :

• Providing consultancy services for the implementation of IoT solutions.
• Expertly selecting the necessary hardware to address specific tasks.
• Building integrations with hardware or creating custom software tailored for supply chain analytics and tracking solutions.
• Developing analytical software or recommending ready-made tools.

We’re also proud to introduce our own product, 2Smart Standalone — a versatile platform for monitoring and automation. It can serve as a solution for accelerated launches or act as a proof of concept before jumping into the development of customized solutions. 

Additionally, our platform seamlessly integrates with devices and gateways from Teltonika , offering ready-made solutions for the supply chain industry. For example, their EYE Sensor can connect to 2Smart Standalone and track air temperature, humidity, and other parameters to ensure the safety of products during transportation. Besides that, WebbyLab can develop Teltonika or other manufacturer-based solutions, as well as customized ones for specific supply chain links or entire supply chains with diverse hardware needs.

 Using Teltonika devices and the 2Smart platform for supply chain automation.

At WebbyLab, we’re committed to understanding our clients’ businesses thoroughly. We go above and beyond, even in areas outside our typical scope, to deliver a fully operational product. To witness this dedication firsthand, explore our top IoT case studies .

Optimize Your Supply Chain with WebbyLab

The Internet of Things is a transformative force behind the supply chain industry. It offers unprecedented visibility and efficiency, benefiting everyone involved in the supply chain processes.

If you aim to integrate IoT in supply chain management , count on WebbyLab as your trusted partner. With our profound background and successful IoT solutions, we’re here to help. All you need to do is just reach out to our team for a consultation.

Learn more about how we engage and what our experts can do for your business

Written by:

Kostiantyn Oliynyk

Head of IoT at Webbylab

With a robust academic background in Telecommunication Systems Engineering, I apply my knowledge to lead innovations in the IoT domain. Starting as the first team member in the newly formed IoT department at WebbyLab, I've spearheaded its growth, fostering the expansion into embedded and hardware development alongside our core software projects. My dedication lies in pushing the boundaries of IoT technology, fostering a culture of innovation and excellence that profoundly impacts our clients' operational success.

The application of IoT in logistics comprises devices like RFID tags, GPS trackers, sensors, and smart shelves. These solutions help increase visibility, simplify inventory management, and automate processes.

In the food supply chain, the Internet of Things finds applications during transportation and storage. This tech ensures the freshness and quality of goods through real-time data on temperature, humidity, and other factors.

IoT has a positive impact on the supply chain operations. It provides real-time insights into the location, movement, and condition of goods, enhancing overall operational efficiency, reducing costs, and minimizing risks.

The usage of IoT in the logistics industry is projected to expand over the years. The expenditures on the Internet of Things solutions are steadily growing, highlighting the increased demand for advanced technologies in the logistics sector.

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Perspectives on the Application of Internet of Things in Logistics

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• First Online: 16 April 2020
• Cite this conference paper

• Ícaro Romolo Sousa Agostino 8 ,
• Charles Ristow 8 ,
• Enzo Morosini Frazzon 8 &
• Carlos Manuel Taboada Rodriguez 8  

Part of the book series: Lecture Notes in Logistics ((LNLO))

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• International Conference on Dynamics in Logistics

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Platforms based on IoT (Internet of Things) technologies can connect sensors and devices along the supply chains of production and logistics systems, as well as end-users of products, enabling efficient and customized solutions. This paper aims to present perspectives for the application of IoT technologies in logistics, covering theoretical and practical aspects. A Systematic Literature Review was carried out to identify the main characteristics of the research area, providing an updated bibliographic portfolio of studies related to the theme and grouping the theoretical studies and the practical perspectives analyzed. As results, the bibliometric analysis showed the continuous growth of the research area and the most important scientific journals that publish content related to IoT technologies in logistics. In the content analysis, the perspectives are grouped into: (i) conceptual propositions and requirements, (ii) new methods and models to support decision making, (iii) development of technology-based approaches and (iv) empirical studies. As a conclusion, the article presents the description of directions for future researches.

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Acknowledgements

This study was financed in part by the Coordenação de Aperfeiçoamento de Pessoal de Nível Superior - Brasil (CAPES) - under reference number 99999.006033/2015-06, in the scope of the BRAGECRIM program.

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Agostino, Í.R.S., Ristow, C., Frazzon, E.M., Taboada Rodriguez, C.M. (2020). Perspectives on the Application of Internet of Things in Logistics. In: Freitag, M., Haasis, HD., Kotzab, H., Pannek, J. (eds) Dynamics in Logistics. LDIC 2020. Lecture Notes in Logistics. Springer, Cham. https://doi.org/10.1007/978-3-030-44783-0_37

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IoT Supply Chain: Real-life Use Cases & Challenges

27 mins | March 28, 2022

Empower your business with IoT expertise or free consultation

Internet of Things (or just IoT for short) is a trending technology that is more and more broadly adopted by different industries: military, retail, construction, real estate, energy, etc. 

Internet of Things has already changed a lot in our lives. For example, everybody uses a fitness bracelet or cars with GPS navigation applications daily. But IoT influences a lot more areas of human existence, including all stages of complex supply chain management. By leveraging IoT technology on different stages of the supply chain, companies get enormous advantages. However, IoT still has a huge potential which we expect to see in the future. To illustrate what that means, let’s refer to the history: 

In the 1980s, the world saw the first commercially available mobile phone that weighed 790 g, offered 30 minutes of talk time, and had a price of 4000$. It wasn’t very popular, but this phone demonstrated the feasibility of such an idea as a portable communication device for everyone.

In 2007 at the convention in San Francisco, the public saw the first iPhone. The iPhone was powered by another awesome technology: a multi-touch screen, that became a sensation compared to widely used push-button phones. The iPhone revolutionized the phone market and changed the way we interact with phones. 

Nowadays, almost everybody has one or more smartphones that have become a part of our daily lives. We truly believe that IoT is a technology that will revolutionize the way we interact with all devices! In the article, we explain the impact of IoT on the supply chain and familiarize you with real-life cases of leveraging IoT in inventory, logistics, manufacturing, IoT in Banking , and more.

Enjoy reading! 

What is IoT (in short)

The Internet of Things (IoT) is very similar to the usual Internet that presents a network of connected computers. The difference is that IoT connects physical devices (so-called “things”) over the Internet. The devices range from gadgets in the ordinary household (kitchen appliances, thermostats, smart scale, light switches) to sophisticated things such as autonomous cars, industrial equipment, or smart cities. These things collect the data from the environment and transfer it to the cloud where the system accumulates the data and performs further filtering and analysis. The system can analyze different types of data, like geolocation, the temperature, the pressure, the state of something (like on/off), the air humidity, etc. 

And here we come to the driving force of IoT popularity: the data .

The data is the cornerstone of any complex IoT system, while the volume of data within one IoT system is enormous. The number of connected devices exceeded 10 billion in 2019 and it is expected to reach the 30 billion mark by 2025! The volume of information the Internet of Things generates every year is even more impressive!

According to Statista , the data volume of Internet of Things connections worldwide reached 13.6 zettabytes in 2021. If you would like to know how big this number is, ask yourself what size the storage capacity of your computer is. Maybe, 2 – 4 terabytes – it would be great. One zettabyte contains 1 000 000 000 terabytes which is a hundred million times bigger than the memory of your computer! 

But what to do with all that data? And how can the data be helpful in supply chain management? 

It’s good to understand the term “supply chain” to answer these questions. 

What is the supply chain? 

The supply chain comprises all activities of different organizations required to convert raw materials to finished goods or services and deliver them to the final consumer. 

A simplified model of supply chain management contains 6 stages: 

• Raw material supplier. 

Raw material suppliers gather natural resources or other raw materials and ship them to the next stage of the supply chain. Examples of raw materials are iron, beef, cotton, wool, barley, etc. 

• Manufacturer.

Manufacturers are the next stage in the supply chain. They convert raw materials and natural resources into goods.

• Warehousing. 

Warehouses are organizations that are legally allowed to store goods. Goods can include both raw materials and finished goods. So warehouses are useful across all the supply chain.

• Distributor. 

Distributors deliver goods from manufacturers to the next stage of the supply chain. 

At that stage, retailers sell finished goods transferred by the distributors to the final customers. 

• Final customer

Customers are people who buy final goods from retailers and use them for their purposes. 

Supply chain management includes all these stages. Every stage may be supplemented and examined deeper, but that is not the topic of our discussion. The information in the model above is enough to describe the benefits that the Internet of Things brings to supply chain management. 

How is IoT changing the supply chain? 

  raw material supplier.

This stage features one of the lowest levels of implementation of Internet of Things solutions. The future of IoT at that stage has a direct connection with the development of robots and the widespread use of robots in the gathering of natural resources. Nevertheless, some raw material suppliers have already benefited from the Internet of Things supply chain. 

 For example, on farms, IoT provides all kinds of data with the help of a network of connected sensors. IoT devices can gather information like soil moisture, chemical application, dam levels, and livestock health. The data allows farmers to maintain optimal conditions on their farms. 

• Internet of Things and Big Data Synergy
• IoT Ecosystem: Top 7 Components (+ Bonus)
• Internet of Things (IoT) update management – Complete Guide
• What is IoT Architecture | 4 stages of IoT Architecture
• Impact of Internet of Things(IoT) on the Business & Economy – 2024 Trends

Manufacturer 

IoT supply chain allows manufacturers to reach maximum production efficiency as well as brings other benefits. The data that the IoT system generates can help to answer some big questions:

 How to improve operational efficiency?

• How to reduce downtime in manufacturing 
• How to increase asset utilization 
• How to implement green strategies in your production process 

According to the report from Morgan Stanley company, by implementing Internet of Things technology some manufacturers got answers to all questions above and managed to improve their operational efficiency. ‍

IoT systems allow shifting away from logging the data manually or using traditional devices and provide more precision and timely data from sensors in manufacturing.

Continuous monitoring allows manufacturers to track hangtime in assembly and manufacturing operations in real-time. That helps to identify bottlenecks in the production process and make necessary adjustments. Furthermore, sensors can help to detect resource leaks , for example, by identifying broken machines with a very high level of energy consumption and either replacing or fixing them.

The Internet of Things also opens the way for proactive maintenance by tracking the machines’ health and notifying operators when maintenance is needed. Timely maintenance reduces downtime because workers can handle breakdowns or other maintenance issues before the machine actually breaks down. Predictive analytics allows forecasting system failures and machine breakdowns, hence saving a lot of money . 

Unfortunately, the manufacturing process is accompanied by environmental pollution. That leads to climate change and deterioration of living conditions. With an IoT supply chain it’s possible to Integrate green strategies , like controlling the level of water use, creating less production waste, and implementing renewables. Using IoT in the supply chain, machine learning, and big data methods make it possible to track pollution from all sources all over the Earth – tracking pollution within one organization is a much easier task.  

Distributors 

Distributors are responsible for goods transportation. With IoT, they can offer real-time data on product locations and provide accurate time of goods delivery. By getting real-time information from carriers, airlines , border crossing stations, port authorities , meteorological satellites , and usual satellites, distributors can see the whole delivery route and optimize it taking into account real-time data from different sources. 

Furthermore, the IoT system will immediately notify all interested parties if shipment delays or some changes in routing occurs. IoT supply chain gives full control throughout the route. 

IoT sensors like Radio Frequency Identification tags get instant access to the content of any parcel and its storage conditions during transportation. That allows distributors to effortlessly track every single item, stay sure that none of the parcels will be lost, and bring more transparency to the whole delivery process. 

IoT supply chain also brings benefits to a low temperature-controlled supply chain which is also called a cold chain. The cold chain relates to the transportation of perishable goods like food, fish, meat, flowers, or pharmaceutical products – all types of goods that are vulnerable to environmental conditions. With IoT sensors, any deviation from recommended conditions of storage is immediately detected, and an IoT system notifies distributors. IoT solves a big challenge for cold chains, saving money, goods, and public health. 

Retailer 

IoT sensors speed up the process of loading and unloading goods because RFID tags keep all necessary information about the content of any parcel so that a retailer and any third party have accurate information about every parcel in the delivery. 

 IoT supply chain opens the way for new shopping technology without scanners, lines, and checkouts. Instead, you just take a good you want to buy, the IoT system identifies your choice and automatically adds the product to your chart. After you finish shopping and leave the shop, an IoT system withdraws the final cost of goods from your account. There is at least one example of such a type of store – you can explore it further in the article in the abstract about real-life use cases. 

Why is IoT important in supply chain management?

The importance of the Internet of Things is hard to overestimate because it transforms supply chain management in several ways: 

• Maximizes the effectiveness: By leveraging the Internet of Things in the supply chain manufacturers improve their operational efficiency, reduce downtime, and decrease resource leaks. Besides that manufacturers benefit from proactive maintenance of machines, hence reducing potential losses because of unexpected breakdowns.
• Helps to integrate green strategies: Using IoT in the supply chain, machine learning, and big data methods allows controlling the level of water use, production waste, and environmental pollution
• Provides real-time data on product locations : Distributors get the option to track products location in real-time and calculate the accurate time of goods delivery. All interested parties can be immediately alerted if the shipment delays or if some changes in routing occurs.
• Simplifies the cold chain management : With IoT sensors, any deviation from recommended conditions of storage for perishable goods is immediately detected, and an IoT system notifies distributors.
• Makes inventory tracking system more accurate :  Thanks to IoT sensors warehouses can easily track and analyze inventory positions, stock levels, and goods that enter and leave the warehouse in real-time.
• Increases picking performance: The combination of IoT technology and smart glasses provides seamless workflow and performance that is impossible to achieve otherwise.
• Brings automation to warehouses: Autonomous Mobile Robots (AMR), artificial intelligence, and IoT make it possible to build a fully automated system that will transport goods within the warehouse without any human participation. 
• Speed up the process of loading and unloading goods: Thanks to RFID tags you get instant access to the content of any parcel. 
• Opens the way to new shopping technology: You just take a good you want to buy, the IoT system identifies your choice and automatically adds the product to your chart, then withdraws the final cost of goods from your account after you finish shopping. 

We consider the ways how the Internet of Things is changing the supply chain . Let’s get acquainted with real-life examples of how IoT has already changed some businesses and become a part of sophisticated and complex systems. 

Real-life use cases of IoT in Supply chain 

A great example of how a raw material supplier can benefit from IoT implementation is the Aker company. Aker enables proactive deep real-time crop observation to mitigate yield loss . Using drones, the network of 3d video sensors, big data methods, and machine learning, the IoT system allows farmers to identify crop damage from insects, disease, and other factors and make necessary decisions quickly. 

2. DHL Logistics

DHL and its partner developed a bespoke, low-profile sensor to track roller cages throughout and between DHL facilities. Sensors feature minimum power consumption and a battery that has enough charge for 15 years. The data from sensors is used by operators via a cloud-based management portal to reduce shrinkage . 

 Using another IoT initiative, DHL benefits from 40% energy cost savings . Leveraging smart heating, ventilation, and air-conditioning the system makes real-time set-point adjustments based on anticipated weather conditions, building occupancy, and business activity, and maintains facility temperatures within a preferred operating range.

  3. Amazon warehousing 

Amazon is the world’s largest online retailer. Since 2012 Amazon has used robots in warehouses that carry shelves with products from worker to worker, scan barcodes and move packages. Nowadays, more than 200 000 robots are working inside Amazon’s warehouse. These robots work with hundreds of thousands of people and send goods all over the globe. You can see how utterly amazing it looks on youtube !

4. Volvo tracking 

Volvo is a Swedish automotive manufacturer that has put IoT sensors in more than 350 thousand trucks. These sensors monitor conditions and send data for troubleshooting and analysis. Using IoT and artificial intelligence, Volvo Trucks reduce diagnostic time by 70% and truck repair time by 25%. Though, the biggest benefit is improved uptime. With more effective and proactive maintenance Volvo maximizes vehicles’ time on the road and minimizes the costs of service disruptions. 

5. Maersk logistics company 

Maersk is the Danish shipping company responsible for 18% of container trade in the world. The company built the Remote Container Management (RCM) system that monitors the storage conditions in 300 000 refrigerated containers. Thanks to accurate temperature and humidity control RCM provides optimal shipping conditions and reduces the chances for goods to become spoiled .  Furthermore, full visibility into container conditions allows Maersk to reduce the cost and time spent on container inspection upon arrival because inspection organizations gain access to the data that containers have been kept in good conditions.

6. Amazon go store 

Amazon Go store is a store of the next generation that became possible thanks to IoT technology. The store doesn’t have lines and checkouts, customers enter the store by using a special app on their smartphones, then take the products they want and leave. 

The network of sensors and cameras tracks all your actions and goods you take, automatically adds products you took to your chart, calculates the final cost of goods, and then withdraws money from the bank account that is linked to the app on your phone. 

The benefits are evident – less waiting time in lines, a fewer number of workers, fewer cases of stealing, and more satisfied and happy customers. You can see how amazing it looks on YouTube . 

The Internet of Things brings new challenges to supply chain

All that sounds impressive and promising. However, the IoT supply chain still hides a lot of challenges, like: 

1. Poor security of IoT devices

The number of IoT-based DDoS attacks is growing. The reason is the poor security of devices connected to the IoT system, which leads to misuse of the Internet of Things technology. 

2. Low privacy level 

IoT devices may collect and transfer sensitive information about their owners. IoT systems must provide security of data transfer and prevents unauthorized connections outside the system

3. Energy consumption 

IoT devices are electronic devices that are expected to work continually for a long time. It’s especially crucial in industrial IoT systems that count thousands of little IoT devices. The maintenance of such a large IoT system can be a very time and cost-consuming task if the battery life of all IoT devices is not huge. That is why low energy consumption, low energy communication within a system, and long battery life are major issues to solve. 

4. Talent shortage 

There is a severe shortage of specialists that can build IoT systems, maintain them, and analyze the data from IoT devices. The educational system didn’t have enough time to adjust to new technological trends, which leads to the lack of people who can work with IoT technology. 

5. A large volume of information

Any IoT system generates a large volume of data that should be transferred, stored, and processed. The traditional methods for these processes are not very useful when it comes to the transfer and storage of millions of terabytes of data. To solve this challenge IoT systems have to use LPWA technology, NoSQL solutions, and highly scalable cloud services. 

Do you plan to develop an IoT project? 

We can help you! 

If you want to explore more possibilities of the Internet of Things , implement IoT technology, or get a comprehensive consultation about how to build an IoT system, the SumatoSoft team can help you. 

 With 9 years of experience on the global market and dozens of developed IoT projects, we know a lot of hidden hazards in IoT software development and develop the software in the right way. 

 The range of our services covers the whole development process ranging from the discovery phase to the programming and testing stages.

For the past few years, IoT devices and the data they collect have become proven drivers of higher efficiency and better service quality for the logistics industry and the supply chain. A simplified supply chain model comprises activities of 5 types of organizations: raw material suppliers, manufacturers, warehouses, distributors, and retailers. Almost all stages of the supply chain have already benefited from IoT leverage. 

IoT supply chain brings numerous benefits, like maximizing the effectiveness of manufacturers, providing real-time location of the products, simplifying the cold chain management, automating the warehouses, and much more. 

However, there are still a lot of challenges the IoT supply chain is supposed to solve. The major challenge is data security and privacy because a lot of IoT devices manufacturers disregard even the basic security requirements for IoT systems. 

The Internet of Things is a very powerful technology, and we believe that the benefits IoT will bring to the supply chain make the world a better place to live! 

Let’s start

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Top 8 Trends in IoT Development for 2024 [Updated]

Internet of Things (IoT) Infrastructure: 9 Factors to Consider

Meet the Leaders: Best IoT Development Companies in 2024

Role of IoT in Transportation and Logistics: Benefits, Use Cases

13 jan 2023.

Internet-of-Things (IoT) has seen tremendous success in the transportation industry. The integration of tracking devices & sensors is transforming the way logistics and transportation companies operate. It helps them to map the most efficient routes and maximize fuel usage, and logistics companies track and trace their shipments in real time.

In this article, we’ll explore the use cases of how IoT helps the industry, potential drivers, benefits & more.

Key Contents

• IoT in logistics and transportation: Key drivers
• The benefits of IoT in transportation & logistics
• IoT use cases in transportation & logistics
• Rishabh’s IoT Experience in the Transportation and Logistics Industry

IoT In Logistics and Transportation: Key Drivers

It wouldn’t surprise you to learn that the logistics & transportation industry has been using connected ecosystems since the emergence of the “Internet of Things.” The reason being connected ecosystems make it possible to track delivery vehicles and monitor the delivery process. It is while helping to ensure timely shipment to remote locations.

Some Statistics:

• According to Allied Market Research IoT in Transportation Market to Reach $495.57 Bn, Globally, by 2030 at 19.9% CAGR
• Mordor Intelligence suggests that the North America region is expected to dominate the IoT in the transportation market. It is due to the strong presence of manufacturing and transportation and logistics industries with several technological advancements in the region. Also, government initiatives and regulations in various end-user industries are expected to further support the market growth in the region.

While the movement of goods from one point to another was the only goal of transportation & logistics companies then. However, increased competition and rising customer expectations have compelled the industry to focus on smart fleet management, real-time inventory tracking, faster deliveries, and flawless customer service.

Listed below are some of the key drivers of IoT for the logistics & transportation industry;

• Visibility across transportation processes
• Operational performance measurement
• Reducing downtime
• Decreasing operating costs
• Road traffic optimization

The Benefits of IoT in Transportation

Being an essential part of modern-day fleet operations, IoT in logistics enables organizations to address some of their biggest challenges. And, if channeled correctly, it would reap the listed below benefits.

• Smart Management of vehicles, warehouses, and other assets: Helps streamline the storage of goods and Management of inventory levels. Radio frequency identification tags (RFID) and sensors allow fleet owners & managers to keep constant track of the stock levels & inventory items. And it eventually helps prevent losses, minimize handling errors, easily locate things, and ensure safe storage while reducing labor costs.
• Improved Driver Safety: Cameras equipped with the power of Artificial Intelligence can capture data and trigger audible notifications for truck drivers. These alerts are triggered for activities that include mobile phone use, speeding, seatbelt violations, tailgating and more.
• 360-degree Supply Chain Visibility : Constant monitoring and Management of delivery is a daunting task for the staff of transportation companies. By combining GPS sensors and Bluetooth low-energy (BLE) beacons, deliveries can be tracked remotely, enabling seamless collaboration between drivers and dispatchers. Logistics businesses can extend their services on a global scale with trucks, trailers, and ships carrying freight across international boundaries. It further reduces the risk of theft & cargo damage.
• Cost Reduction: Telematics solutions offer performance insights that enable fleet operators to optimize fuel usage with efficient routing & improved driver behavior. It allows them to cut the associated costs with manual administrative tasks and extend vehicle lifespan with timely & effective maintenance scheduling.
• Optimum Resource Utilization : The application of IoT in the transportation industry creates transparency and accountability among fleet drivers and managers. Based on the records & reports generated, fleet managers can precisely track driver activities, productivity, and fuel consumption parameters for the used vehicle. It would allow fleet managers to allocate work without risk of delays or violations.
• Enhanced Operational Efficiency: Helps eliminate paperwork and automate processes for both drivers and dispatchers. This enables freight management companies to respond to real-time issues, make informed decisions and facilitate on-time deliveries.
• Adherence to Regulatory Compliance: Fleet management systems with IoT capabilities can support managing regulatory compliance. The data captured from vehicle & driver tracking with parameters including hours of service, records of duty status, accurate fuel tax reporting, and driver vehicle inspection reports can be shared directly with the relevant authorities.
• Enhanced Customer Experience : On-time deliveries are a top priority for supply chain management and fleet handling companies. IoT sensors & tracking devices make it possible to stay on top of the assets & inventory in transit. Companies can provide accurate customer updates regarding delivery dates and times while ensuring early shipment and customer satisfaction.

Wish to Simplify Operations with IoT?

We can help you develop custom fleet management solutions with IoT capabilities that maximize efficiency.

IoT Use Cases in Transportation & Logistics

As mentioned above, the use of IoT technology significantly impacts the connected ecosystem for the transportation sector. Listed below are some of the applications of how IoT is driving transformation across transportation supply chain processes, policies & procedures:

• Telematics for Fleet Management: Telematics helps retain & manage data from the sensors embedded in trucks – from driver behavior to vehicle performance. By processing & analyzing this information using predictive analytics, fleet management companies can optimize their maintenance schedules and improve the quality & service life of their fleet vehicles. The use of telematics also helps reduce the wear and tear of vehicles and increases fuel efficiency by tracking all the parameters that impact cargo delivery.
• Inventory and Warehouse Management: An IoT-enabled warehouse management system is designed to help you optimize limited storage space and quickly locate goods. RFID tags instantly send information to the database when a product leaves the shelf. And the smart sensors installed in the warehouse automatically create purchase orders when the stock levels are low.
• Supply Chain Optimization: IoT technology enables seamless data exchange via tracking devices and computer systems. With easy access to actionable information about the import and export processes, managers can easily track the location of goods in transit and immediately verify product details as soon as they arrive at the destination. IoT technology also enables predictive analysis for product loss, thefts or delays.
• GPS Fleet Tracking: Vehicle tracking systems help freight management companies to stay on top of their trucks and trailers, monitor driver behavior, and track idling time; distance traveled & fuel usage. They can use IoT-powered functionality to schedule trips, rest breaks for drivers, and automate alerts for speeding, accelerating & breaking violations.
• Predictive Maintenance & Breakdown Prevention: IoT-based predictive maintenance solutions in logistics industry are highly beneficial when it comes to finding and fixing bottlenecks to avert asset downtime and failure. Instead of being dependent on scheduled inspections, the transportation and logistics industries can leverage IoT technologies for performance analysis and predict patterns related to frequent repairs and engine failures. Notifications alert fleet managers of the probability of being prepared for unexpected breakdowns. This solution allow you to create effective repair and maintenance schedules, identify defects before they become costly and catastrophic, and improve decision-making.
• Delivery Tracking: Tracking a product right from when it arrives at the warehouse until it reaches the customer’s doorstep is a big challenge for logistics managers. By coupling IoT technology with GPS sensors and RFID tags, you can track any product with complete transparency, reduce the onus on your staff and enhance customer satisfaction with instant updates on every movement till the product is delivered without any hassles.
• Route Optimization & Location Tracking: Supply chain managers can track vehicle movement with location management solutions. Further, with geofencing & GPS tracking technologies, they can track; 1) routes taken by drivers, and 2) get updates on unforeseen events or unexpected anomalies. These features can significantly improve the Management of delivery schedules and ensure timely cargo deliveries.
• Toll and Ticketing: Traditional toll systems are prone to manual errors and have become inefficient at tackling the recent increase in vehicles on busy highways. Automated tools are equipped with RFID tags and IoT connectivity to detect vehicles from a distance and lift the barriers.

Rishabh's IoT Experience in the Transportation and Logistics Industry

IoT is widely used in the transportation & logistics sector to minimize risks & costs while maximizing productivity & profits. We have experience providing custom software solutions to the logistics & SCM industry . We combine it with our Internet of Things development services to deliver technology solutions that meet the modern-day supply chain & logistics requirements.

If you have an IoT app idea to monitor and control your fleet vehicles remotely, our consultants and developers can help you build a custom solution. We use advanced connectivity technologies, IoT platforms, sensors, and supportive development frameworks & languages to successfully implement a connected ecosystem that drives the effective transformation of transportation processes.

Here’s how we helped a client leverage IoT capabilities to ensure compliance with fleet management regulations with live tracking of cargo & commercial drivers.

Case Study: ELD Fleet Management Mobile App Development

One of our clients – a US-based fleet management company- wanted to develop an Electronic Logging Device (ELD) mobile app with IoT capabilities. It would help them; 1) adhere to stringent compliance requirements rolled out by the Federal Motor Carrier Safety Administration (FMCSA), 2) get visibility on their cargo & commercial drivers.

We developed a mobile app that interacts with IoT sensors installed on the vehicle to send the required data on driver & vehicle performance. It eliminated their paper records with digital Records of Hours of Service (HOS) and Duty Status (RODS) for all commercial drivers.

It resulted in the following:

• 100% automation of the driver vehicle inspection reporting
• 2x increase in driver & fleet efficiency
• 62% increase in fleet profitability

Final Words

IoT in the transport and logistics industry has revolutionized the sector by making real-time data available. And, when used effectively to drive decisions, businesses are witnessing productivity increase, improvements in resource management, cost reductions and safety improvements.

If you are looking to hire an experienced IoT development partner , Rishabh Software has the required talent and knowledge to help you transform your software application idea into reality.

Seek an IoT-based Transport Management Software?

We can help. Our team can create a custom IoT software application and integrate the required capabilities to support your operations.

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Big Data Analytics and IoT in logistics: a case study

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Introduction and motivation

Back in 2013, DHL prophesied that Big Data would improve logistics operational efficiency and customer experience, and create useful new business models, adding, “Big Data has much to offer the world of logistics. Sophisticated data analytics can consolidate this traditionally fragmented sector, and these new capabilities put logistics providers in pole position as search engines in the physical world” (Jeske et al. , 2013, p. 1). However, the following year, Accenture (2014) conducted a web-based survey of 1,014 supply chain professionals, and concluded that the “actual use of Big Data Analytics (BDA) is limited” (p. 7). They found that, despite the acknowledged benefits of BDA, most companies experienced difficulties in adopting it, and were also worried about the level of investment required, security risks, and the lack of available business cases for analytics (Accenture, 2014).

More recently, a KPMG (2017) report described a number of emerging case examples that reveal how logistics operations are utilising real-life Big Data solutions to reduce delivery delays through the availability of GPS, traffic, and weather data. However, academic examples describing “real-life” cases of BDA utilisation in the logistics industry are limited, and when Wang et al. (2016, p. 107) conducted a systematic review of Big Data business analytics literature with a logistics and supply chain management context, a “gap between academic theory and supply chain practices” was confirmed.

Similarly, the Internet of Things (IoT) has also been predicted to play an important role in the future of the logistics industry, as an increasing number of objects start to carry bar codes, RFID tags, and sensors, generating geospatial data that enable accurate, real-time, tracking of physical objects across an entire supply chain (Atzori et al. , 2010; Da et al. , 2014; Razzaq Malik et al. , 2017; Swaminathan, 2012).

The motivation for undertaking this programme of research was, therefore, to gain a better understanding of how BDA and IoT are being utilised in today’s logistics industry. It strives to present an interesting new case example, to benefit industry practitioners and academic researchers alike, which contributes towards a closing of the gap between theory and supply chain practices.

Research objectives and questions

The objective of the research is to collect data from a “real-life” situation and create...

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IoT for Logistics Automation: Business Case

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Logistics Tech After COVID: Main Drivers

Due to technological progress and current challenges, including high customer demands and the outbreak of COVID-19, today’s logistics and transportation industry experienced a rapid transformation.

Before you dive deeper into reading about IoT trends for logistics, take a look at our recent case: IoT -powered Logistics and Accounting Automation System.

The coronavirus outbreak caused the leading industrial countries to shut down, thus throwing the global economy into an unprecedented crisis. In addition, measures taken to combat the coronavirus, such as social distancing, have greatly challenged the viability of many companies. For logistics, all this was a major blow that forced the industry to rethink its business and transform its operations.

To meet the new challenges and stay afloat, the transportation industry strives to embrace logistics innovations that provide:

• More visibility across transportation processes;
• Measurement of operational performances ;
• Reduction of downtime ;
• Decrease operating costs;
• Optimization of road traffic.

IoT, with its ability to connect devices, is the right key for effectively transforming logistics processes.

The Internet of Things in Transportation ranks high among all logistics tech trends, according to Gartner .

“We are seeing more supply chain practitioners exploring the potential of IoT,” says Christian Titze , research vice president at Gartner. “Areas that IoT might have a profound impact on are enhanced logistics management, improved customer service, and improved supply availability.”

The Internet of Things (IoT), which we discussed in our previous article , primarily refers to the network of interrelated computing objects, devices, and sensors that interact and exchange huge data sets over the Internet. 

Technology is about the creation, interaction, aggregation, and analysis of data acquired from real-world objects with the help of sensors. Therefore, the value created by the IoT is governed by the flow of information through a system. 

IoT technology enhances and innovates the logistics domain: inventory tracking, environment sensing, fleet management, or route optimization.

According to the Boston Consulting Group, cited by Deloitte, “Companies will be spending around 310 billion USD a year on the Internet of Things, with much of this spent in the manufacturing, energy, and transportation industries.”

Read more about IoT solutions in times of COVID-19 .

Applications and Use Cases of the Internet of Things in Transportation and Logistics

As in its nature, the logistics and transportation industry is about delivering goods from one point to another. Its services can be split into two major groups – the “supply” and “demand” – with IoT technology finding its use in both.

The supply category refers to warehouses, where goods are stored and forwarded, the transport network, and the vehicles/crafts that are used for goods delivery from suppliers to warehouses or directly to customers.

IoT Applications and Use Cases of Logistics Supply

Here are the 3 most common and most cost-effective use cases in logistics:

• Location management;
• Inventory or asset tracking;
• Route optimization.

IoT-Powered Location Management

A major benefit of the Internet of Things in Transportation is the enhancement of overall visibility of goods movement. A transport, be it a motor vehicle, ship, or train wagon, is embedded with sensors that send real-time data about the transportation process to the main network system.

Thus, an IoT system can track the location of shipments down to the individual units and alert the users in case of unexpected events, like a jam on the road or the location or status of the vehicle used for transportation.

According to a Cisco study, 26% of companies surveyed say they have achieved success with their IoT initiatives .

IoT Location Management: Case Study

Softengi has developed an IoT-powered system for a logistics company specializing in rail transportation. The system provides remote tracking of the transported goods’ location in rail wagons equipped with IoT sensors sharing the data with the IoT platform. The same platform can also monitor traffic units by providing information on how much fuel the vehicle consumes, whether it has exceeded the speed limit, and even controlling the tire pressure.

IoT Inventory/Asset Tracking

IoT-driven inventory/assets management is the most widespread application of the Internet of Things in Transportation and Logistics. This application allows to track inventory assets remotely, monitor their status, and learn about all the changes timely. Additionally, embedded in vehicles’ fill level sensors help to avoid transport underload and overload.

IoT Inventory Management: Case Study

DHL actively uses logistics tech innovations and implements an IoT transportation application in its business operations. Among various IoT-powered solutions used by DHL is IoT Inventory Management. The IoT system tracks container movement, monitoring container location and the carried goods’ condition. Additionally, sensors on goods items transmit data on location, condition (e.g., temperature), enabling visibility into inventory levels and enhancing inventory management.

IoT Route Optimization

By providing real-time monitoring of companies’ daily operations and taking into account such factors, for example, varying restrictions, policies, and drivers’ experience, IoT logistics systems allow optimizing traffic routes.

IoT Route Optimization: Case Study

UPS widely uses IoT technology for its logistics business in its operations. IoT Route Optimization is one of the most efficiently used applications. UPS embraces IoT analytical systems to improve its trucking routes. By tracking its vehicles, packages, and driver patterns, UPS has saved over $4oo million a year, claims Cisco .

“If we are detail-oriented, we save one mile per driver daily. In the course of a year, all drivers in the U.S. can save UPS $50 million”, says Juan Perez, a chief information and engineering officer at UPS.

IoT Applications and Use Cases of Logistics Demand

Logistics Demand refers to constantly growing customer expectations. Both enterprises and individuals expect to get products faster, more flexibly, and – in the case of consumers – at a low or no delivery cost.

“Manufacturing is becoming more and more customized, which is good for customers but hard work for the logistics industry. Add it all up and the sector is under acute and growing pressure to deliver a better service at an ever lower cost.” PWC

IoT Logistics applications have proved to be the most effective solution in the demand category of the Transportation and Logistics industry, providing faster time-to-market, reduced defect rates, and customized delivery.

IoT Environment Monitoring

IoT logistics systems monitor the temperature at which an item is maintained, adjusting it when needed. This particular application is very useful for pharmaceutical products and perishable goods. IoT-driven sensors gain environmental data, such as temperature, pressure, light exposure, humidity, etc., allowing them to monitor and control the environmental conditions remotely.

IoT Environment Monitoring: Business Case

International Airline Group, IAG Cargo , which specializes in freight transportation, applies an IoT-powered system that can transmit real-time data on a wide specter of parameters covering from light to precise temperature and humidity readings, providing IAG Cargo users with end-to-end monitoring.

“We can communicate a variety of data and information about where the cargo is and its surrounding conditions… The other exciting benefits that we offer include temperature and light monitoring. It’s not just the data, but the processes we’ve developed to respond to alerts and quickly set response protocols in motion.” – Randy Gould, Cargo Signal’s Global Director

IoT Predictive Analytics

Capable of gaining various real-time metrics, IoT logistics systems can analyze obtained data and make predictions. For instance, based on a constant flow of real-time information, the system can optimize routes, plan smarter deliveries, identify defects before something goes wrong, and predict inefficient equipment usage, and even accidents.

Read more about IoT Analytics .

IoT Predictive Analytics: Business Case

Launching IoT-enabled software based on IoT predictive analytics technology allows G.E. Transportation , which provides rail services, to maximize train lengths, enhance train maintenance, and reduce fuel consumption.

IoT Threat Prevention

According to  CargoNet , the US and Canada saw 554 cargo thefts with an average loss of nearly $207,000 per shipment in 2016.

With the help of IoT technology, logistics companies can successfully prevent losses, reduce fraud, and lower damage rates. In particular, IoT sensors can detect unauthorized container opening or any technical problems with a transport unit that is to be immediately fixed.

IoT Threat Prevention: Business Case

Intel employs its Connected Logistics Platform, where a large amount of data gathered from IoT sensors can be analyzed to prevent cargo losses as products move through a supply chain.

“Thanks to data accessibility, shippers and carriers will be able to establish a more reliable supply chain network by having deeper visibility and information on shipments.” Chet Hullum, GM for Industrial Solutions at Intel

Logistics Innovation Trends: Uberization

One of the main trends that now dominate the logistics software market is Uberization. This concept refers to a business model based on mobile technologies, allowing users to get a needed service via their phones easily.

“Uberisation gains a lot of traction, recently. As customers are become more sophisticated, willing to get fasted and better delivery, logistics companies have to cope with high demands and offer advanced services. Uber for Heavy Equipment is a new cutting-edge trend, that makes transportation of heavy machinery more flexible.” Serhii Chernyshov, Head of IoT Delivery at Softengi

Uber for Heavy Equipment is a mobile platform that is used by logistics companies to offer their clients and customers a convenient way to find, select, and book a suitable transportation service for heavy equipment via an easy-to-use mobile application.

IoT technology, in its turn, can track a vehicle or transport equipment, showing its movement in an IoT mobile application. Additionally, an IoT system can prevent vehicle overload, as well as measure the capacity of a transport unit and automatically evaluate whether the items to be transported fit in a chosen transport unit.

Read more about IoT for business.

The application of digital initiatives plays an important role in the highly competitive logistics industry. Internet of Things technology improves efficiency and transparency over the transportation cycle, keeping operations running smoothly and seamlessly. Advanced fleet management, inventory tracking, environmental monitoring, and threat prevention are the most efficient IoT solutions in Logistics Tech.

Moreover, today, the logistics industry experiences a widespread trend toward the urbanization of transportation services. “Uber for Heavy Equipment” allows to arrange transportation of heavy machinery easily and, with an IoT system, track transportation cycles in real-time.

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Integrated logistics and eco-responsibility: how IoT is shaping the future of freight transport

In a world where the ecological emergency is becoming ever more pressing, innovation in logistics and freight transport has never been so crucial. Today, the Internet of Things (IoT) is emerging as an essential linchpin in revolutionizing these sectors, combining integrated logistics and eco-responsibility. But how precisely is the IoT shaping the future of freight transport? It’s no longer a question of possibility, but of implementation. With its potential to optimize the green supply chain and significantly reduce carbon footprints through intelligent transportation, the IoT makes it possible to envisage logistics management that is not only more efficient, but fundamentally sustainable. In this article, we explore the impact of IoT on sustainable logistics, its benefits for logistics innovation and how it contributes to greater energy efficiency and lower emissions in the sector, laying the foundations for a future where eco-responsibility and efficiency coexist harmoniously in logistics and freight transport.

To remember 💡

• The IoT is revolutionizing logistics and freight transport to make them more eco-responsible.
• Real-time monitoring and IoT identification optimize the supply chain, improving efficiency and responsiveness.
• The IoT contributes to eco-responsible logistics by reducing carbon footprints and energy consumption.
• IoT sensors and geolocation technology improve route optimization and emissions management.
• The IoT promotes a circular economy, optimizing the use of resources and reducing waste.
• Logistics companies using the IoT are aligning themselves with sustainable development objectives, reinforcing their social responsibility.

Integrating IoT into supply chain management

The Internet of Things (IoT) is revolutionizing supply chain management by seamlessly integrating its various links, from production to delivery. This integration enables unprecedented communication and collaboration between the various players and elements in the chain. Logistics optimization, at the heart of this revolution, relies on IoT sensors, RFID technologies and advanced data platforms, orchestrating precise, highly responsive logistics.

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Connectivity and data analysis

The integration of IoT technologies also translates into improved connectivity, thanks to the use of networks such as Bluetooth Low Energy (BLE ) and cellular connectivity. These technologies facilitate the collection of complex, voluminous data. Data platforms, in turn, harness this information to provide advanced analytics, guiding strategic and operational decisions towards a Logistics 4.0 model .

Real-time optimization

The real-time visibility offered by the IoT opens the door to continuous logistics optimization. Sensors can instantly report any incident or deviation from the planned schedule, enabling rapid reaction. What’s more, this granularity of information helps optimize delivery routes, effectively manage returns and continuously improve logistics processes.

The integration of IoT into supply chain management therefore represents a major transformation. By fostering a connected, responsive supply chain, IoT technology not only improves efficiency and responsiveness, it also lays the foundations for sustainable, eco-responsible logistics. This technological shift towards a green supply chain prepares the sector to meet current and future challenges, highlighting the vital importance of innovation in the quest for integrated, environmentally-friendly logistics.

The IoT benefits of eco-responsibility

The adoption of IoT in logistics and freight transport is not just about improving efficiency and traceability. It’s also a gateway to more eco-responsible operations, with a direct impact on reducing carbon footprints and energy consumption. Thanks to IoT solutions, companies can now achieve substantial energy savings and minimize their environmental impact.

Eco-efficient sensors and emissions management

Eco-efficient sensors , integrated into vehicles and equipment, play a crucial role in monitoring energy consumption and CO2 emissions. Combined with emissions management software, they enable precise analysis of the ecological footprint of logistics activities. This encourages the adoption of corrective measures, such as modifying routes to avoid traffic jams and reduce the distance travelled, or implementing an eco-friendly fleet favoring less polluting or electric vehicles.

Route optimization and green energy

IoT geolocation and data analysis contribute to significant optimization of delivery routes, enabling not only greater efficiency but also lower fuel consumption and greenhouse gas emissions. Adding green energy to the equation, through the use of electric or rechargeable hybrid vehicles, propels this approach towards low-carbon logistics.

Resource optimization and sustainable management

By enabling better resource management, the IoT also improves the eco-responsibility of logistics. Optimized warehouse utilization, waste reduction through more precise inventory management, and the minimization of empty runs all contribute to a more sustainable operation. These efforts have a knock-on effect on the circular economy, reducing pressure on natural resources and encouraging the reuse of goods.

The integration of IoT into logistics practices is therefore inextricably linked to progress towards greater eco-responsibility in the sector. Not only does it help reconcile performance and sustainability, it also paves the way for constant innovation aimed at further reducing the ecological footprint of transport and logistics activities. By opting for the IoT, companies are embarking on the path to a clean, intelligent and environmentally-friendly logistics of the future , in line with global sustainable development goals.

Case study: improving environmental performance with IoT

The theory behind the integration of IoT in logistics and transport is undeniably promising, but it’s through real-life case studies that its true impact comes into its own. These real-life applications show how IoT not only optimizes logistics operations, but also makes them more eco-responsible.

Responsible innovation and high-performance logistics

These case studies highlight the positive implications of IoT on the environment, and underscore its potential as a tool for achieving truly sustainable logistics. The quantifiable impact of these innovations on environmental performance is inspiring a growing number of companies to adopt efficient logistics strategies , paving the way for a greener industry. Such initiatives confirm that technological innovation, when taken responsibly, can be a powerful vector for positive change.

IoT’s alignment with the principles of eco-responsibility confirms its place as a cornerstone of the logistics of the future . By implementing these technologies, companies can not only expect to improve their operational efficiency, they can also play a key role in the transition to a more sustainable economy.

The impact of IoT on delivery efficiency and sustainability

The integration of the Internet of Things (IoT) into logistics represents a decisive turning point for the efficiency and sustainability of deliveries. This technology is not just a driver of innovation; it is a vector of profound transformation towards greener, more resilient logistics. Let’s take a closer look at the potential impact of IoT on this green revolution in logistics.

Increasing operational efficiency while preserving the environment

The IoT enables delivery routes to be optimized, considerably reducing the distances covered and hence the consumption of fossil fuels. This operational efficiency goes hand in hand with a significant reduction in pollutant emissions, contributing directly to sustainable development objectives. The IoT’s ability to promote economical driving and prevent heavy maintenance through preventive interventions also contributes to this virtuous dynamic.

Impetus for a circular economy

As well as reducing carbon footprints, IoT is stimulating the adoption of circular economy practices. By optimizing the use of resources and reducing waste, IoT technology encourages companies to rethink the way they produce and consume. The precise data provided by the IoT makes it possible to better adjust production to demand, minimizing surpluses and promoting the reuse of end-of-life products.

Towards sustainable last-mile deliveries

The impact of the IoT extends to last-mile delivery, which is often criticized for its inefficiency and ecological footprint. By using connected, intelligent vehicles and optimized route planning, it is possible to reduce the number of empty trips and increase the success rate of deliveries on the first attempt. These improvements reduce urban congestion and cut delivery-related pollution, illustrating how IoT is helping to make cities more liveable.

Discover the case of our customer SEV and the city of Montpellier, with whom we have set up a green, sustainable last-mile logistics system, for quality service and a breathable, peaceful urban landscape.

Strengthening corporate social responsibility (CSR)

The adoption of IoT in logistics strategies reinforces corporate social responsibility. By demonstrating a concrete commitment to sustainability, companies can not only comply with environmental regulations, but also meet growing consumer expectations for environmentally-friendly products and services. The IoT therefore offers an opportunity for significant market differentiation, strengthening brand image and customer loyalty.

The integration of IoT in logistics and freight transport is therefore a powerful lever for reconciling operational efficiency and ecological commitment. It is a perfect illustration of how technology can be put to work for a more sustainable future, underlining the essential interconnection between technological innovation, environmental performance and societal responsibility.

Conclusion: towards a sustainable logistics of the future thanks to IoT

The advance of the Internet of Things (IoT) in logistics and freight transport is not just a question of optimizing operations; it’s a veritable revolution towards more eco-responsible and efficient management. The IoT is proving to be an essential catalyst in meeting the contemporary challenges of sustainability, energy efficiency and emissions reduction. Thanks to its ability to integrate and streamline logistics processes, while promoting better resource management, this technology is paving the way towards integrated, eco-responsible logistics, in line with the aspirations of our modern societies.

The adoption of IoT solutions in logistics promotes a green supply chain, where route optimization, waste reduction and energy efficiency go hand in hand with enhanced operational performance. The case studies and analyses presented highlight the tangible impact of IoT, not only in terms of economic gains but also for its leading role in the sector’s ecological transition .

Now, as we move into the future, the ecological imperative is becoming ever more pressing. Business leaders, quality, innovation and fleet managers are encouraged to see IoT not as an option, but as a strategic necessity for the logistics of the future . It is through technological innovation and a strong commitment to eco-responsibility that we will be able to build transport and logistics systems that are not only more efficient, but also in harmony with our environment.

Green initiatives, responsible innovation and strategic partnerships will be the pillars of a sustainable logistics industry; IoT is the keystone. It’s time to embrace this technology, rise to the challenges and fully commit to intelligent, environmentally-friendly logistics. The future of logistics and transport via the IoT is promising; it is essential for a sustainable and prosperous future.

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Enhancing iot connectivity and security in the supply chain and logistics industry.

Photo: iStock.com/ Jae Young Ju

The integration of IoT (Internet of Things) technology into the supply chain and logistics industry provides several benefits, but also presents an array of challenges. IoT technology has transformed supply chain management by enabling real-time tracking, predictive maintenance and inventory optimization. Real-time tracking allows businesses to monitor shipments throughout their journey, providing valuable data for damage detection, route optimization and delivery time estimation.

Key to this transformation is the concept of being able to provide an "end-to-end, full stack IoT service," which refers to a comprehensive approach that integrates hardware and software management and monitoring with connectivity services and secure elements such as the eSIM or iUICC. This also includes data collection at the device level for analytics, and user interfaces across the supply chain. This “one-stop shop,” provided by a reliable partner, becomes essential for the scalability and adoption of IoT solutions.  With this approach, logistics companies can gain real-time visibility, optimize operations, and make data-driven decisions throughout their processes. However, along with these advancements come security challenges.

IoT Connectivity Challenges

Managing diverse IoT devices across different platforms poses significant challenges. The complexity of ensuring seamless connectivity and interoperability remains a constant problem in logistics and supply chain operations. This challenge is compounded by the rapid growth of connected devices globally, with more than 5,000 new devices coming online every minute.

With this in mind, companies are increasingly adopting a full-stack IoT approach, integrating IoT technologies comprehensively, from device management to data analytics. However, integrating IT technologies into existing infrastructures continues to be hindered by disparate standards and technologies.  Logistics companies must navigate compatibility issues across different applications and environments, requiring strategic planning, and scalable approaches to IoT deployment .   This unified strategy not only enhances operational efficiency; it also supports sustainability efforts by optimizing resource utilization and reducing environmental impact.

Enhancing IoT Security

The rise of connected devices also increases vulnerabilities to cyber threats and data breaches. Implementing robust security measures is essential to safeguard sensitive data, and maintain operational integrity. Data breaches not only compromise privacy, but also pose operational risks and undermine consumer trust.

Moving from basic identifiers to unique digital identities, adopting Identity of Things (IDoT) technology ensures the authenticity of data, and strengthens trust in IoT ecosystems. Implementing technologies such as embedded SIM (eSIM) and integrated SIM (iUICC) can be instrumental in this process. These technologies provide a secure root of trust by offering robust access control, enhanced data integrity and reduced vulnerabilities, while addressing privacy concerns.

To mitigate risks, organizations must implement comprehensive security protocols such as encryption, authentication mechanisms, and regular software updates. Additionally, adopting a defense-in-depth strategy, which includes network segmentation and continuous monitoring, can ensure end-to-end security across IoT deployments .

Ensuring compliance with regulatory standards is key in the introduction of both eSIM and iUICC. As this is critical for the scalability and interoperability of IoT networks in supporting personalization and accountability, having a strengthened level of IoT security will lead to enhanced traceability, and the capacity for more advanced predictive analytics.

Streamlining IoT Management

Innovations in IoT device management are crucial for overcoming operational complexities. Solutions that streamline device provisioning, management and updates enhance efficiency and reduce the overhead costs associated with maintaining large-scale IoT deployments. Solar powered trackers are efficient, sustainable hardware and are self-managed, allowing industries to leverage IoT’s real-time alert capabilities for predictive maintenance. Specifically, enhanced container tracking solutions have brought significant improvements to logistics management.

With ongoing challenges such as operational inefficiencies, excessive standstill times, late arrivals, and damages to temperature-sensitive cargo, a logistics company can implement solar-powered GPS tracking devices and a centralized telematics platform to achieve real-time visibility and control over its container fleet. These devices can provide short-cycled movement tracking and 24/7 monitoring, allowing for immediate action when there is an exception, and also allowing for optimization of asset allocation.

By monitoring equipment conditions, and predicting maintenance needs, IoT systems notify personnel in advance of equipment breakdown, enabling proactive repairs that can reduce facility downtime by up to 15%. Early detection and intervention extend equipment lifespans by addressing issues before they escalate , eliminating the need for frequent, costly inspections.

Real-world examples illustrate how companies have successfully integrated IoT in order to improve supply chain efficiency, and mitigate operational risks. These IoT applications generate substantial savings by improving operational efficiency on two fronts. First, they facilitate quick responses to potential issues, and allow for preemptive maintenance, thus averting emergencies and expensive downtimes. Second, they eliminate the need for regular in-person monitoring, optimizing resource allocation, and reducing operational costs over time.

IoT's Role in Supply Chain Efficiency

Leveraging IoT connectivity optimizes logistical processes, leading to improved efficiency, reduced costs, and enhanced customer satisfaction. Real-time data insights enable proactive decision-making and responsiveness to market demands. Retail leaders such as Walmart, Amazon, and Kroger utilize IoT sensors in smart shelf systems to monitor inventory levels. Innovations such as Amazon Go’s cashierless stores further demonstrate IoT’s ability to enable sensors and cameras to track items, streamline checkout, and improve overall customer experience .

Logistics management benefits enormously from seamless, secure, end-to-end transfer of data from the manufacturer’s warehouse to the customer. The ideal is a unified virtual network that operates like a wireless extension of the manufacturer’s corporate network, with seamless connectivity across different environments, such as the ability to switch from terrestrial cellular to satellite during sea transport. Tracking millions of assets daily, IoT devices monitor parameters such as temperature and vibration, ensuring goods remain in optimal condition, and in compliance with health and safety regulations. 

In addition to optimizing logistics, IoT can significantly enhance sustainability. Solar-powered IoT devices can be reused, have low battery waste, and contribute to the longevity of the products they track. Increased awareness of the location and condition of trucks, containers, and other assets enables companies to reduce the number of these items needed. Precise information allows for route optimization, leading to fewer trucks on the road, reducing fuel consumption and lowering carbon emissions. 

Hardware leasing is also highly relevant in this context. Leasing is beneficial for reuse, repair, and recycling, extending the lifespan of products and reducing waste, especially in the case of batteries. Arguably, all uses of IoT have a positive impact on sustainability, especially in logistics.

Future Outlook : Trends and Innovations in IoT

Emerging technologies such as satellite IoT connectivity are transforming supply chain logistics. These advances promise enhanced global coverage and connectivity resilience, which is critical for expanding end-to-end, full stack IoT's reach in remote and challenging environments.

In industries such as maritime shipping and remote mining operations, where reliable communications are essential, satellite IoT ensures continuous data transmission. This resilience is particularly valuable during natural disasters or infrastructure failures that may disrupt networks, ensuring uninterrupted supply chain operations. Real-time asset tracking and predictive analytics enable overall efficiency.

Additionally, IoT-driven environmental monitoring ensures compliance with strict regulatory requirements and maintains product quality during transportation and storage.

Embracing end-to-end, full stack IoT technology is pivotal for the future of supply chain and logistics management. By prioritizing IoT security and connectivity, and using certified and approved devices, industry leaders can gain new efficiencies and competitive advantages. The imperative is clear: integrate end-to-end, full stack IoT solutions strategically in order to navigate challenges effectively, and realize sustainable growth in the digital era.

Sharath Muddaiah is the head of portfolio strategy for IoT Solutions at Giesecke+Devrient (G+D) .

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The Most Impactful IoT Case Studies of the Decade

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• Key Takeaways

Global IoT market is projected to reach $1.5 trillion by 2024. Source: Gartner

IoT adoption in manufacturing has increased by 30% in the past year. Source: Statista

85% of retailers have reported increased sales after implementing IoT solutions. Source: SEMrush

IoT is reshaping industries with real-world applications and significant market growth.

The future of IoT promises enhanced efficiency, improved customer experiences, and a more connected world.

In the last ten years, IoT ( Internet of Things ) tech has changed many industries a lot. It made businesses work smarter and connect better. From hospitals to farms, IoT helps things run smoother and use data better. Looking at the best IoT stories of the decade, we see how they changed industries and made a more connected and efficient world.

Introduction to IoT Case Studies 

In the past decade, many businesses have started using IoT (Internet of Things) to work smarter and better. These stories, called IoT case studies, show how connected devices and smart technology are changing industries like healthcare, manufacturing, transportation, and cities. They prove that IoT isn’t just a fancy word but a real game-changer that’s making things easier and more efficient for companies and communities everywhere.

• Overview of IoT Case Studies:

IoT case studies show how IoT is used in healthcare, manufacturing, transport, and cities. They use devices that talk to each other, analyze data, and do tasks automatically to solve big problems. For instance, they help monitor patients from afar in healthcare, predict when machines need fixing in factories, and manage energy better in cities. These studies help other companies see how they can use IoT to be more innovative.

• Significance of IoT Case Studies:
• IoT case studies provide tangible evidence of the benefits and ROI of IoT adoption.
• They inspire confidence among decision-makers by showcasing successful implementations and best practices.
• Case studies foster knowledge sharing and collaboration within industries, accelerating digital transformation .
• They validate the potential of IoT to drive meaningful change, improve efficiency, and create value for stakeholders.

Healthcare Industry:

The healthcare sector has seen a significant transformation due to the integration of IoT technologies, particularly in the areas of remote patient monitoring and real-time health data analysis .

• Pfizer’s IoT Healthcare Solutions:

Remote Patient Monitoring:

• Pfizer has developed IoT-enabled devices for remote patient monitoring, allowing healthcare providers to track patients’ vital signs and health metrics in real time.
• These devices include wearable sensors, smart medical devices, and remote monitoring systems that provide continuous data on patients’ conditions outside traditional clinical settings.
• The ability to monitor patients remotely enables early detection of health issues, proactive interventions, and improved overall patient care.

Medication Adherence Solutions:

Pfizer uses smart pill dispensers and medication tracking apps with IoT tech to help people take their medicines on time. These tools remind patients when to take their pills and track if they’ve taken them.

When patients stick to their medication schedules, it helps them get better treatment results, reduces hospital visits, and saves money on healthcare for problems caused by not taking medicines as prescribed.

• Philips’ Connected Health Devices:

Patient Monitoring Devices:

• Philips offers a range of IoT-enabled patient monitoring devices that capture and transmit real-time data on patients’ vital signs.
• These devices include smart monitors, wearable sensors, and mobile health apps that enable continuous monitoring of patients’ health conditions.
• Healthcare providers can access and analyze this data remotely, facilitating early intervention, personalized treatment plans, and improved patient outcomes.

Telehealth Platforms:

• Philips’ IoT-based telehealth platforms facilitate virtual consultations, remote patient monitoring, and telemedicine services.
• These platforms integrate data from connected health devices, electronic health records (EHRs), and other sources to provide comprehensive healthcare services.
• Telehealth solutions enhance healthcare accessibility, reduce healthcare costs, and enable patients to receive quality care from anywhere, improving overall healthcare delivery.

Manufacturing Sector

The manufacturing industry changed a lot because of IoT. It helps make things work better and faster. One big way it helps is with Predictive Maintenance . This means using sensors and data to know when machines might break down. Companies like General Electric (GE) use this to fix things before they break. It saves time, money, and keeps production running smoothly.

• General Electric’s IoT in Manufacturing:

Predictive Maintenance:

• GE utilizes IoT sensors and data analytics to implement predictive maintenance strategies in manufacturing machinery.
• Real-time monitoring of equipment performance helps detect anomalies and predict potential failures before they occur.
• This proactive approach minimizes unplanned downtime, reduces maintenance costs, and improves overall equipment reliability.

Inventory Management and Supply Chain Optimization:

• IoT-enabled tracking systems allow GE to monitor inventory levels, track shipments, and streamline logistics operations.
• Real-time visibility into inventory helps in better planning, reducing stockouts, and improving order fulfillment.
• Optimizing supply chain processes through IoT leads to increased efficiency and cost savings.

Energy Usage Optimization:

• GE collects and analyzes IoT data from equipment and processes to optimize energy usage in manufacturing facilities.
• Identifying energy-saving opportunities and efficiency improvements reduces environmental impact and lowers operational costs.
• Sustainable practices lead to a more eco-friendly and cost-effective manufacturing ecosystem.
• Siemens’ Industrial IoT Solutions:

MindSphere IoT Platform:

• Siemens offers MindSphere, a cloud-based IoT platform that connects machines, devices, and systems for data gathering and analysis.
• Manufacturers can monitor equipment performance, predict maintenance needs, and optimize production processes in real time.
• The platform provides actionable insights for improved decision-making and operational efficiency.

Digital Twins for Simulation and Optimization:

Siemens uses digital twins, which are like virtual copies of real things, to help understand and improve stuff.

Companies can use digital twins to test out different ideas, make things work better, and make smarter choices.

By using digital twins to predict problems, find faults early, and make things run smoother, companies can save time and money.

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Applications in Asset Management and Quality Control:

• Siemens’ IoT solutions encompass asset management, production optimization, and quality control applications.
• IoT data and analytics enable higher production yields, better product quality, and faster time-to-market for manufacturers.
• Siemens’ expertise in industrial automation and IoT integration provides comprehensive solutions for manufacturing excellence.

Transportation and Logistics

Transportation and logistics have changed a lot because of IoT. One big change is in tracking things. For example, FedEx now uses IoT to track packages. This means they can see where packages are in real time and know if they’re okay. It helps FedEx work better and makes customers happier because they can know exactly where their packages are and when they’ll arrive, reducing problems with lost or late deliveries.

• FedEx’s IoT Logistics Solutions

Package Tracking and Monitoring:

• Implementation of IoT-enabled sensors on packages for real-time tracking.
• Monitoring of location, temperature, and condition of shipments throughout the delivery process.
• Ensuring timely deliveries and proactive problem-solving for route deviations or delays.

Data Analytics for Operational Insights:

• Utilization of IoT-powered analytics for valuable operational insights.
• Streamlining delivery routes based on data-driven analysis.
• Reducing fuel consumption, optimizing routes, and minimizing overall costs.

Smart Fleet Maintenance:

• Integration of smart sensors in FedEx’s fleet of vehicles.
• Monitoring vehicle performance metrics such as fuel consumption and engine health.
• Proactive scheduling of maintenance to enhance fleet reliability and reduce downtime.

Improved Operational Efficiency:

• Benefits of IoT solutions in improving operational efficiency.
• Enhanced visibility into delivery patterns for better decision-making.
• Ensuring reliable and on-time deliveries, ultimately improving customer satisfaction.
• UPS’s Smart Fleet Management

Telematics Devices for Data Collection:

• Use of telematics devices in UPS vehicles to collect data on driver behavior and vehicle performance.
• Monitoring of route efficiency, idling time, and fuel consumption for optimization.
• Data-driven insights for improving fleet management and reducing operational costs.

Asset Tracking and Monitoring:

• Implementation of IoT-enabled asset tracking systems for packages.
• Real-time monitoring of package location and condition throughout the delivery process.
• Providing customers with accurate and timely updates on their shipments.

Cargo Condition Monitoring:

• Utilization of IoT sensors in delivery vehicles to monitor cargo conditions.
• Monitoring temperature, humidity, and other parameters for sensitive goods.
• Ensuring safe and secure transport of packages, especially for temperature-sensitive items.

Enhanced Customer Experience:

• Benefits of IoT solutions in improving the overall customer experience.
• Increased transparency with real-time package tracking and updates.
• Ensuring the safe and secure delivery of goods, leading to higher customer satisfaction.

Agriculture

IoT is changing farming by helping farmers know when to water, use fertilizers, and manage pests using sensors in their tools. Companies like John Deere and Monsanto make smart tools that use IoT, so farmers can make better decisions and grow more crops while using fewer resources and taking care of the environment.

• John Deere’s Precision Farming IoT:
• Technology Integration: John Deere’s Precision Farming IoT integrates a range of cutting-edge technologies such as sensors, GPS, drones, and data analytics to provide comprehensive insights into agricultural operations.
• Real-time Monitoring: The IoT sensors deployed across fields continuously monitor crucial parameters like soil moisture levels, nutrient content, and environmental conditions in real time.
• Data Analytics: The collected data is processed and analyzed using advanced analytics algorithms, allowing farmers to gain valuable insights into crop health, growth patterns, and potential risks.
• Precision Application: Armed with precise data, farmers can apply fertilizers, pesticides, and water resources with unparalleled accuracy, optimizing resource usage and minimizing environmental impact.
• Decision Support: John Deere’s IoT platform provides farmers with decision support tools that offer recommendations for crop management strategies, irrigation scheduling, and pest control measures based on real-time data analysis.
• Monsanto’s Agricultural IoT Solutions:
• Monsanto’s Agricultural IoT Solutions use data science, satellite images, and weather predictions to help farmers make smart decisions.
• Farm Monitoring: Sensors in fields check soil health, crop growth, and pests. This helps spot problems early and plan ahead.
• Predictive Tools: By studying past and current data, Monsanto’s system predicts how crops will do, when to plant, and how diseases might spread.
• Efficient Use: The system suggests just enough water, fertilizers, and pesticides based on data. This cuts waste and helps the environment.
• Less Risk: Farmers get alerts about bad weather, market changes, and pests. This helps them avoid problems and make better choices.

Retail Sector

Retail has changed a lot lately because of IoT. It’s now better at making customers happy. Smart shelves with RFID tags help stores know what’s in stock all the time. This means no empty shelves and happier customers who find what they want when they come to shop.

• Amazon Go’s IoT Retail Experience
• Seamless Shopping Experience: Amazon Go redefines retail experiences by integrating IoT technologies seamlessly. Customers enter the store, scan their Amazon Go app, and proceed to shop without the need for traditional checkout processes.
• IoT Devices and Sensors: The store is equipped with a network of IoT devices and sensors that track customer movements and product selections in real time. Each item picked up by a customer is automatically added to their virtual cart.
• Cashier-Less Transactions: With the help of IoT, Amazon Go enables cashier-less transactions. Customers simply leave the store, and their total bill is automatically charged to their Amazon account, eliminating the need for physical checkout counters.
• Enhanced Convenience: The IoT-driven retail experience at Amazon Go enhances convenience for customers. They can shop without waiting in long checkout lines, making the entire process faster and more efficient.
• Frictionless Shopping: By removing friction points in the shopping journey, such as waiting in lines or manually scanning items, Amazon Go provides a frictionless shopping experience that prioritizes speed and ease of use.
• Walmart’s IoT Inventory Management
• Real-Time Inventory Tracking: Walmart utilizes IoT-enabled devices like RFID tags and sensors to track inventory levels in real time across its stores. This technology helps monitor stock levels, identify low inventory, and optimize restocking processes.
• Shelf Life Monitoring: IoT in Walmart’s inventory management system also includes monitoring the shelf life of perishable items. This ensures that products are sold before expiration, reducing waste and improving profitability.
• Optimized Restocking: By leveraging IoT data, Walmart can optimize restocking processes based on demand patterns and inventory levels. This results in shelves consistently being stocked with popular items, reducing out-of-stock situations.
• Data-Driven Decisions: Walmart’s IoT-driven inventory management approach is data-driven. The insights gathered from IoT devices enable informed decision-making regarding inventory management strategies, pricing, and product placement.
• Improved Customer Experience: The efficient inventory management facilitated by IoT translates into an improved customer experience. Customers can find products they need readily available, leading to higher satisfaction levels and repeat business.

Smart Cities

Smart cities use IoT technology to make cities better. They save energy and make services like electricity better. For example, in Barcelona, they use smart grids and systems to save energy and give power to people more efficiently. This helps save money and makes the environment cleaner.

• Barcelona’s Smart City Initiatives:

Smart Lighting Systems:

• Barcelona has deployed IoT-enabled smart lighting systems that adjust brightness levels based on real-time data.
• These systems not only save energy but also enhance public safety by ensuring well-lit streets and public spaces.

Smart Waste Management:

• The city has implemented smart waste bins equipped with sensors to optimize waste collection routes.
• This initiative has improved waste management efficiency, reduced operational costs, and increased recycling rates.

Smart Transportation Solutions:

• Barcelona utilizes IoT technologies for smart traffic management and parking solutions.
• Commuters benefit from reduced congestion, shorter commute times, and real-time updates on public transportation options.

Environmental Impact:

• By integrating IoT into various city services, Barcelona has reduced its environmental footprint.
• Initiatives like smart energy usage and waste management contribute to a more sustainable urban environment.
• Singapore’s IoT Urban Solutions:

Smart Energy Grid:

• Singapore has implemented a smart energy grid that leverages IoT for real-time monitoring and predictive analytics.
• This has led to reduced energy consumption, lower carbon emissions, and increased energy efficiency.

Water Management Systems:

• IoT sensors are used for monitoring water quality, detecting leaks, and optimizing water distribution.
• These smart water management systems contribute to sustainable water usage and conservation efforts.

Smart Mobility Solutions:

• Singapore’s smart transportation initiatives include autonomous vehicles and IoT-enabled public transit systems.
• Commuters experience improved accessibility, safety, and efficiency in their daily travels.

Digital Infrastructure:

• The city’s robust digital infrastructure supports the seamless integration of IoT technologies across sectors.
• This infrastructure backbone facilitates data-driven decision-making and enhances overall urban management.

Citizen Engagement:

• Singapore actively involves citizens in shaping smart city initiatives through digital platforms and participatory programs.
• This engagement fosters a sense of ownership, collaboration, and innovation in building a smart and livable city.

Energy Sector:

The energy sector has changed a lot with IoT tech, making things work better and greener. One big change is smart grids. These grids use IoT sensors and data to watch how we use energy, find problems in the grid, and send power where it’s needed most. Tesla is one company leading this change, helping us use more renewable energy and less fossil fuels.

• Tesla’s Renewable Energy IoT:

Powerwall for Home Energy Storage:

• The Powerwall is an IoT-enabled home battery system designed to store solar energy.
• It integrates IoT technology to optimize energy usage based on real-time data.
• Users can monitor their energy consumption and production through a mobile app.

Solar Roof with IoT Sensors:

• Tesla’s Solar Roof tiles incorporate IoT sensors to monitor energy production and efficiency.
• These sensors provide real-time data on solar energy generation and consumption.
• Homeowners can track their energy usage patterns and make adjustments for energy conservation.

Smart Grid Integration:

• Tesla’s renewable energy solutions are integrated with smart grid technology for efficient energy management.
• IoT devices enable communication between renewable energy sources, energy storage systems, and the grid.
• This integration allows for dynamic load balancing, grid stability, and reduced reliance on fossil fuels.
• Shell’s IoT in Oil & Gas Industry:

Remote Monitoring of Oil Wells:

• Shell utilizes IoT sensors to remotely monitor oil well performance and detect anomalies.
• Real-time data collection enables predictive maintenance and proactive interventions.
• This IoT-driven approach reduces downtime and optimizes oil production efficiency.

Predictive Maintenance for Equipment:

• IoT sensors on equipment such as pumps, turbines, and valves provide insights into performance.
• Predictive analytics algorithms analyze data to forecast potential equipment failures.
• Shell can schedule maintenance activities proactively, minimizing downtime and costly repairs.

Safety Enhancement with IoT:

• Shell integrates IoT devices for safety monitoring in hazardous environments.
• Sensors detect gas leaks, temperature fluctuations, and other safety hazards.
• Real-time alerts and automated response systems improve safety protocols and mitigate risks.

Data Analytics for Operational Efficiency:

• Shell leverages IoT-generated data for advanced analytics and operational insights.
• Data-driven decision-making optimizes production processes and resource allocation.
• IoT-enabled analytics contribute to cost savings, energy efficiency, and environmental sustainability.

In conclusion, over the last ten years, many industries have changed a lot by using IoT tech. This includes healthcare, manufacturing, transportation, agriculture, retail, smart cities, and energy. Companies like Pfizer, Siemens, FedEx, John Deere, Amazon, Barcelona, Tesla, and Shell showed how IoT can make things better. They used IoT to work smarter, make customers happier, and create new ideas. This shows that in the future, IoT will keep making life and business better for everyone.

• Q. What are IoT case studies?

IoT case studies showcase real-world applications of Internet of Things technologies in various industries.

• Q. How can IoT benefit businesses?

IoT can optimize operations, enhance efficiency, improve customer experiences, and drive innovation.

• Q. Which industries are leveraging IoT?

Healthcare, manufacturing, transportation, agriculture, retail, smart cities, and energy sectors are adopting IoT solutions.

• Q. What are some notable IoT companies?

Companies like Pfizer, Siemens, FedEx, John Deere, Amazon, Barcelona, Tesla, and Shell are leading the IoT revolution.

• Q. What does the future hold for IoT?

The future of IoT promises a more connected, efficient, and technologically empowered world across industries.

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Home / IoT Library / News / Smart Logistics News / Maersk opens largest logistics park in Saudi Arabia

Maersk opens largest logistics park in Saudi Arabia

• August 27, 2024
• Steve Rogerson

Danish firm Maersk has opened the doors of its largest logistics park, at the Jeddah Islamic Port in Saudi Arabia.

The 225,000m 2 facility, with an investment of $250m, is also the largest single-site logistics and services facility in the Middle East.

The park provides for integrated logistics under one roof with the provision for multi-modal connectivity between ocean, land and air transport. Warehousing caters for B2B and ecommerce requirements, and includes temperature-controlled facilities.

The facility is designed for a wide range of industries and verticals, including FMCG, frozen food, automotive, retail, lifestyle, petrochemicals, electronics and pharmaceuticals. Distribution options include first- and last-kilometre deliveries. And it provides customs clearances, visibility and a control tower.

Maersk has implemented several initiatives as part of its decarbonisation ambitions to reach net-zero greenhouse gas emissions by 2040. The facility will draw up to 70% of its electricity from 32,000 solar panels installed over 64,000m 2 on the rooftop. The park will use electric equipment and electric trucks within the facility, and have low electricity-consumption LED lighting optimised with light sensors.

Maersk has established an in-house women’s academy offering tailored training programmes to ensure stronger diversity and inclusion. Through this academy, women will be empowered to work in the logistics and supply chain sector through specialised training and career development. Besides training and mentorship, this academy also strives to create a supportive environment for Saudi Arabian women to thrive in what has been a male-dominated industry.

Built on the foundation of safety by design, the facility has firefighting systems, segregated paths for pedestrians and equipment, and surveillance cameras, among other safety measures.

The Jeddah Islamic Port has an infrastructure with berths capable of accommodating giant ships and modern, automated, environmentally friendly equipment.

“The Saudi ports sector is witnessing major and unprecedented leaps, in terms of high operational performance efficiency, achieving records in international indicators, growing maritime navigation lines and increasing maritime connectivity with the countries of the world,” said Saleh bin Nasser Al-Jasser, Saudi minister of transport and logistics services. “The Maersk Logistics Park at Jeddah Islamic Port will contribute to service and development in supporting economic activity in the kingdom and providing highly efficient logistics services to support the movement of trade and export to foreign markets and enhance the work of supply chains and logistics.”

Vincent Clerc, CEO of Maersk ( www.maersk.com ), added: “The Maersk Logistics Park represents a significant milestone for Maersk. It is a testament to our commitment to be an enabler of global trade in Saudi Arabia, which sits strategically at the crossroads of three continents. I am proud to see that our Logistics Park in Jeddah has become a living example of our integrated logistics strategy, supporting our customers with resilient logistics while implementing the right initiatives to take our decarbonisation journey forward.”

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Home › IoT News › Connectivity › Understand transactional IoT: The future of Internet of Things

Understand transactional IoT: The future of Internet of Things

With the growth in the Internet of Things (IoT) , more and more industries are being influenced by smart connectivity . One of the newer achievements leading to this influence is transactional IoT, also referred to as tIoT. This article provides deep insight into this concept, its applications, benefits and possible futures, by exploring its characteristics.

What is transactional IoT?

Transactional IoT involves blending IoT and blockchain technologies together for near real-time transactions between connected devices that are decentralised and trackable. With transactional IoT, connected devices can trade with each other on their own, without having to bother with intermediaries, and the proof of every single transaction is recorded in a decentralised ledger. As a result, such a process cannot be faked, disputed or altered – all parties involved see the same information and it cannot be changed.

Key components of transactional IoT

• IoT devices : Sensors , actuators and other smart devices that collect and transmit data.
• A decentralised ledger of transactions : Blockchain, a record-keeping system for digital transactions, runs on multiple hard drives called nodes. When added to the ledger, each activity is given an immutable code that cannot be altered. This creates a perfect record of transactions, eliminating the need for a central administrator or authority as individual nodes copy the record.
• Smart contracts : Self-enforcing contracts based on computer code that represents the terms, meaning that the code will automatically respond to agreements and regulations between the parties.

Key differences between traditional IoT and transactional-IoT

  Applications of transactional IoT

Transactional IoT has a wide range of applications across various industries:

• Supply chain management : tIoT ensures transparency and traceability of goods from production to delivery.
• Healthcare : Secure and accurate tracking of medical supplies and patient data .
• Energy management : Autonomous transactions between smart grids and devices for efficient energy distribution.
• Smart cities : Managing public utilities, transportation and other urban services through automated transactions.

Benefits of transactional IoT

Transactional IoT can overhaul industries and transform the way we live and operate. Let’s examine the four primary benefits of transactional IoT:

• Enhanced security

Security of blockchain tIoT exploits the built-in security properties of the blockchain altogether, including its inherent decentralisation and cryptographic hashing, to prevent any third-party attackers, governments or organisations from gaining access or tampering with the data transmitted over the network. In each transaction, the details relevant to that transaction are compiled into a block and added to the sequence of blocks already comprising the blockchain, with the new block containing a link to the one previously added.

Device authentication : tIoT devices can authenticate themselves without human intervention using blockchain-based credentials, reducing the risk of security breaches caused by malicious actors or devices that could undermine integrity in sectors such as healthcare or finance.

• Improved transparency

Decentralised ledger : All transactions are written into and open to every participant’s ledger. This is one way blockchain ensures transparency – there is no need for a central authority and there is little room for fraud.

Auditability : In a tIoT network, all transactions are traceable, and therefore audit trails are available for most challenges. In supply chain management, for example, auditing the origins of products and their journeys towards the consumer are vital for quality management and regulatory compliance.

• Reduced costs

Removal of middlemen : tIoT is an intermediary for commerce and communication processes. Smart contracts can potentially upend middlemen who facilitate agreement-making between parties. For example, a smart contract can perform the same functions for an agreement as a company does for commercial interactions.

Operational efficiency : tIoT automated transactions and data exchange eliminate or substantially reduce human intervention in operations. It allows savings in operation through computerisation, which could benefit different sectors of economy such as manufacturing and logistics.

• Increased efficiency

Real-time processing : tIoT supports processing transactions and data in real-time, which is essential for those applications that must take immediate action, such as power management in smart grids, or inventory tracking in retail.

Efficient workflows : Automated transactions and smart contracts help streamline workflows, providing more timely delivery, better insights and greater productivity. For example, in the automotive sector, tIoT can reduce costs and deliver the right spare parts from the right supplier at the moment it’s needed.

• Enhanced data integrity

Unchangeable ledger : Blockchain’s immutability means data once entered can’t be changed or deleted, creating a reliable record that can serve as a trustworthy source of information across all transactions or data exchanges, such as in a financial trade or a health-data exchange.

• Better resource management

Optimised energy usage : By allowing smart devices and grids to engage in autonomous transactions, tIoT can enable a more efficient use and cost of energy.

Asset tracking : tIoT can enhance tracking for assets in the logistics or manufacturing sector by tracking them in real-time and allowing automated transactions, ensuring that there is minimal asset utilisation with little to no wastage.

• Improved regulatory compliance

Automatic compliance : Sense and respond – tIoT works to contribute to organisations’ compliance with regulatory requirements, automatically, by means of local smart contracts that automatically enforce regulatory requirements. This minimises the risk of non-compliance and the sanctions associated with it.

Transparent reporting : All transactions are recorded in a blockchain, satisfying reporting to regulatory authorities and streamlining compliance.

Technological improvements and growing interest from industry companies indicate that tIoT has a potential to thrive in the future. Advancements in blockchain scaling and IoT integrations can address these issues, making the technology scalable and available to the masses.

Using transactional IoT changes how the different components of IoT solutions behave and are capable of interacting with one another. The use of blockchain allows for a high level of security, transparency and efficiency. Many challenges remain, but the future is bright, as improvements continue to address current limitations. Because of these advantages, and its promise to help many industries become more efficient, transactional IoT could very well be the backbone of the future digital economy.

Article by Magda Dąbrowska, editor at WeKnow Media

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Enhanced medical education for physically disabled people through integration of iot and digital twin technologies.

1. Introduction

1.1. research gap, 1.2. paper organization, 2. literature review, 3. iot service development using digital twin technology, 3.1. methodology, 3.2. detailing the dimension reduction outcomes, 3.3. crafting the visual response algorithm for digital twin development, 3.4. importance of testing for accurate data collection, 3.5. determining data points and assessing location impact, 3.6. the interplay of design variables and sample points, 3.7. striking a balance between test points and coefficients, 3.8. experimental design necessities for the second-order model.

• Those that integrate with external data, reading from data files to spawn data fields—termed reading source objects.
• Those that instigate data fields within the program, referred to as program source objects.
• Source: This is the starting point where raw data originates. In the context of IoT services, this could be sensors or other data-generating devices.
• Data object: Data from the source is encapsulated into data objects. These objects represent structured data packets that are ready for further processing.
• Filter: Data objects pass through filters which process and refine the data. Filters can perform various tasks such as noise reduction, data normalization, or extraction of relevant features. The diagram shows multiple filters, indicating sequential or parallel data processing stages.
• Mapper: After filtering, the data is passed to a mapper which transforms the processed data objects into a format suitable for visualization or further analysis. This is the final stage in the depicted process.

4. Experimental Analysis

• Operation and maintenance monitoring visualization.
• Information multi-terminal display visualization.
• IoT new service development visualization based on digital twin technology.

4.1. Test Platform’s Purpose and Goals

4.2. pre-experimental setup, 4.3. experimental outcomes, 5. conclusions, author contributions, data availability statement, acknowledgments, conflicts of interest.

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Kumar, A.; Saudagar, A.K.J.; Khan, M.B. Enhanced Medical Education for Physically Disabled People through Integration of IoT and Digital Twin Technologies. Systems 2024 , 12 , 325. https://doi.org/10.3390/systems12090325

Kumar A, Saudagar AKJ, Khan MB. Enhanced Medical Education for Physically Disabled People through Integration of IoT and Digital Twin Technologies. Systems . 2024; 12(9):325. https://doi.org/10.3390/systems12090325

Kumar, Abhishek, Abdul Khader Jilani Saudagar, and Muhammad Badruddin Khan. 2024. "Enhanced Medical Education for Physically Disabled People through Integration of IoT and Digital Twin Technologies" Systems 12, no. 9: 325. https://doi.org/10.3390/systems12090325

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