Although you may have not thought about automation for logistics, nowadays there are at least 3 reasons why it is essential to automate your supply chain. In spite of COVID, the entire world has seen how vulnerable is the global market against disruptions, and how big are the consequences after a small mistake. Therefore, if you have not thought about why automation is the answer for your logistics, you must read this article. 

Automation in logistics 

In the contemporary world automation in logistics has become necessary because it gives support to supply chain managers to overcome disruptions and predict demand. It is possible thanks to technological innovations that make them avoid loss of information and speed up internal supply chain processes. However, automation also requires various tools and applications that work together and in coordination, at the same time. But, going into detail, here are the most important reasons why it is essential to automate your supply chain: 

Resistance to survive crises.

Without accessing the necessary information, it is not possible to be prepared when disruptions come. Therefore, automation is essential for logistics. It collects information from inside the company, from the supply chain, and from outside of both. In addition, it maps the entire supply chain to take out blind spots and to obtain reliable data from the logistics processes. The idea is to achieve the most accurate forecasting because it is the one logistics managers are going to use to protect themselves from contingencies.  

Maximization of benefits.  

Being able to completely understand the entire flow of the supply chain allows you to identify where and how you waste and how is the behavior of the consumer market. Linking the warehouse, transportation, and points of sales are essential to start working in a more agile way, which means making profits in less time. Another benefit is that automating logistics helps you to win new customers and keep old ones.  

Total transparency in your logistical processes

Customers want to know more and more about the products they buy, and so do investors and auditors. If you want to guarantee transparency and information to all of them, you require end-to-end visibility. Therefore, BI allows you to use a dashboard where each partner of the supply chain is connected 24/7. The idea is to make all of them have room to share information, coordinate deliveries and generate documents, etc. Besides, companies that provide transparency are more likely to be chosen by customers because of the purchase experience they offer. To accomplish this, you must know that it is not enough to track shipments, but providing updates on transport assets. 

When you obtain all these benefits you are a step ahead of your competitors because you can know in detail what problems you have and how to overcome them. If you want to make a difference within the logistics industry, you need to convert your processes into digital ones.  

In short, the main reason why it is essential to automate your supply chain is to improve your performance 100%. It’s not about each advantage separately, but about all of them together. They synergize to drastically improve your supply chain performance.