Technology: The key driver for 3PL
Third Party Logistics (3PL) is rapidly gaining impetus as more companies are unable to manage their complex supply chains and are comfortable in outsourcing the logistics activities to the 3PL service providers. Vinod Alex, Regional Manager–South India, F
largest rail network in the world, yet its share in goods transportation is much less compared to the share of roadways. In comparison with countries like USA, Russia and China, the cost of transport per ton per kilometer in India is high, almost three times that of China. The railway has the potential to bring down the freight cost to greater extent with favourable commercial characteristics, dense and longdistance freight lines and strong flows of bulk products. How does technology make
IT is considered a prerequisite for the effective control of complex supply chains. Today companies are often not considered independent entities, but parts of multi-company, multi-echelon networks, that is supply chains, delivering goods and services to the final customer.
Companies are under pressure to better manage the supply chain and to improve efficiency • Order tracking coordination
Transaction processing stands for the use of IT for increasing the efficiency of repetitive information exchanges between supply chain partners. In this type of IT use the exchanged information is typically related to such tasks as order processing, billing, delivery verification, generating and sending dispatch advices, and producing order quotes. and delivery
Supply chain planning and collaboration represents the use of IT for sharing planning-related information such as demand forecasts and other demand information, inventory information, and production capacity information, with the intention of increasing the effectiveness of the supply chain.
Order tracking and delivery coordination refers to the monitoring of individual orders or shipments, which may consist of components or final products, with the aim makes it possible to implement a finely grained and immediate collection of data, which in turn enables more detailed and precise analyses on the ‘Business Intelligence’ (BI) side.
A connection of RFID, IT & BI has powerful business potential that goes well beyond incremental operational improvements. The combination for tracking and tracing, and sensor technologies additionally enables the identification and localisation of root causes for quality issues.
Sensor data such as abrasion, temperature, humidity, or brightness can be measured automatically for each transport unit and stored on the RFID chip. Later this data is made readily available by IT for aligning the flow of goods with the actual demand.
The pursued objectives are reducing storage space at the ‘Global Distribution Centres’ (GDC) while curbing the risk of