How IoT Asset Tracking is a Boon For the Logistics & Transportation Industry?

Dinesh Thakur

23 Jan 2024

“Your consignment will reach its destination today at 2 pm.”

A lot goes behind this text update; it is the result of a well-coordinated process that involves order processing, packing, order tracking, and delivery - asset tracking is the only way to ensure the safety and on-time delivery of your assets.  

Just visualize a scenario in which you have no updates on the shipment's whereabouts. There is no real-time visibility and insights into shipment movements, and your business faces a risk of product loss, delayed deliveries, and as a result, unsatisfied customers. In such situations, ensuring the security or delivery of products becomes impossible. 

However, with the emergence of IoT, the logistics & transportation industry has undergone a huge transformation. IoT-based solutions like asset tracking and asset management provide businesses with real-time tracking, improved supply chain management, and enhanced visibility. 

In this blog, we will explore how IoT and asset tracking are a boon for the logistics and transportation industry. Let’s begin!

What is Asset Tracking and Why is it Important?

Asset tracking is the process of tracking and monitoring physical assets like merchandise, containers, equipment, etc. Speaking of logistics, the consignment and the vehicles assisting in transportation are the assets. Asset tracking is usually done by scanning the barcodes, electronic tags broadcasting location (GPS, RFID, etc.), or other labels attached to the containers. With asset tracking, business operators and managers can keep a hawk eye on their assets and vehicles’ location, fleet maintenance status, and performance.

Why is it important?

In logistics, the fleet plays a pivotal role in transporting and delivering goods. By tracking the assets that are important for transportation, business operators can manage the operations better. In addition to keeping track of the status of the assets, a company can also keep a close eye on the useful assets and unproductive assets, thereby streamlining the overall workflow. 

• Get asset information

Asset tracking helps identify the delivery status of a shipment and offers supervisors peace of mind. With all the consignment data at their fingertips, companies can manage their assets well.

• Fetch real-time updates

‘Out of sight, out of mind.’ This adage holds true in the case of consignment too. With asset tracking software, you get real-time updates on conditional and locational data of an asset. 

• Gather productivity analytics

With asset tracking, you can figure out any issues in transportation that might turn into a financial setback later. This helps in better planning and usage of resources. 

• Save money

42 million packages were lost or stolen in the US in just 12 months.  Around $700 million worth of vehicles are lost each year. Businesses with no information about the whereabouts of their consignment lose piles of money that could be saved. Fortunately, it can be avoided with robust asset-tracking software.

Now, let’s investigate how intelligent asset tracking software can help advance logistics and supply chain operations.

How Asset Tracking Advances Logistics and Supply Chains?

With global digitalization and technological advancements, consumer needs and behavior have undergone a massive change. This transformation has led to a significant surge in online sales, resulting in a drastic increase in online sales. Further, traditional practices such as online purchases with in-store pickup, direct deliveries from manufacturers, curbside pickups, and the use of smart lockers have become a common thing for consumers.

Moreover, this adoption of technology in supply chains not only accommodates the changing preferences of consumers but also offers them increased flexibility. For example, the enhancement of cold chain solutions enables the quick delivery of perishable products to consumers. Thanks to advancements like this; companies are now better equipped to meet the dynamic demands of consumers on time.

All this makes a good asset tracking system necessary for logistics and supply chains to keep away from asset loss, asset theft issues, and misplacement problems, and bridge supply chain gaps. IoT combined with asset tracking offers plenty of opportunities to resolve such issues.

What are the Benefits of Asset Tracking Technology for Logistics and Supply Chain?

Offer complete visibility of consignment

Insufficient visibility poses a myriad of challenges. By implementing asset tracking software, fleet managers can attain a clear perspective of their assets, right from warehouses and transportation to the final delivery stages. Integrating an asset tracking system extends the scope of asset visibility which expands from mere tracking of trucks to offering insights into trailers and the cargo they carry.

Automated data entry

An asset tracking software gathers data about your assets, including their location history and usage patterns. Since the data is collected from an asset tracker, you don’t have to worry about the security of the data. This, in turn, empowers companies to make well-informed decisions towards enhancing operational efficiency.

More Security

The asset tracking device attached to a stolen product provides real-time location updates, enabling quick recovery. This improved security measure serves not only to protect valuable assets but also instills trust among partners and customers. By leveraging asset tracking technology, companies can enhance the security of their supply chain, reducing the considerable risks and losses associated with theft. Thus, this technology emerges as a tool to safeguard the seamless flow of goods from their origin to the ultimate destination.

Trace shipments easily

Tracking shipments becomes a breeze with an asset tracking platform. The tags on the items/goods provide you with instant location updates as or when required. If you want to find a shipment, just check the location on the user interface. That's all you need to do! You can then send the right people to pick up the shipment. This info makes it simple to tackle issues quickly and without any hassles.

Conclusion

IoT and asset tracking software protect the entire cycle of logistics and supply chain operations. By adopting innovative asset tracking software, logistics and supply chain managers can have peace of mind with on-time delivery of goods without breaking the time frames. They feature high-end sensors and air routes that offer transparency in supply chain workflow. No matter where your cargo or shipment is, you can easily track your assets by embracing a robust system. 

Have a logistics software idea in mind? Feel free to reach out to us at:info@ditstek.com. We are logistics & transportation software development experts and offer custom solutions to align with your unique requirements.