How does 5G impact logistics development?

5G networks create momentum in the logistics industry while improving labor productivity and limiting revenue loss.

The development of 5G accelerates the logistics sector while facilitating the application of other technologies in data analysis and decision making.

Accordingly, the application of 5G in supply chain operations can help companies optimize routes in movement. In addition, mobile tracking devices connected to the Internet can help managers track the location and status of goods in real time. This can avoid information "holes", reducing damage to the supply chain. DHL, a company in Germany that provides logistics solutions, said that some applications will be more optimized if supported by 5G networks.

The development of 5G promotes activities in the field of logistics

A report in March 2021 of the World Bank pointed out that 5G helps increase the connectivity of autonomous vehicles, making logistics services smarter, and at the same time, improving urban traffic with the deployed on a mobile service platform.

Motivate change

In the report "5G - The Future in Logistics and Supply Chain", Tech Mahindra said, 5G is the essential driver of change. This is explained by the fact that 5G brings potential in the logistics field thanks to the combination of AI, ML, and Cloud to help enhance fleet and warehouse operations.

Limit loss of revenue

With 5G, companies in the logistics sector minimize or even eliminate the factors that cause revenue loss. Every year, the trucking industry loses about 2.5 billion USD. Therefore, visibility in the supply chain allows logistics units to limit the possibility of loss during transportation.

According to Ketan Kulkarni, Chief Commercial Officer of Blue Dart, 5G will be transformative for the logistics industry by driving speed with the ability to connect multiple devices and enable big data consumption, speeding up planning and handle complex distribution operations.

5G will further automate the logistics industry and create a cumulative economic impact across sectors. Logistics operations can improve productivity through data analytics, robotics, IoT, and algorithms. This brings many advantages to global trade.

Improved data system

5G will advance the logistics industry by improving data and information systems as it is the foundation for powerful and efficient operations. The 5G network also impacts inventory management and fleets by tracking and assigning optimal space to contribute to improving labor productivity.

According to Prasad Sreeram, CEO and Co-Founder, COGOS – a technology-based logistics platform, 5G creates connections to reduce latency in transportation. This goes from delivering data at the sensors to dispatching operations then back to the driver. This smooth process can improve performance.

Phi Hung (Source: Indiashippingnews)