On 03 April 2019 | Logistics Junction

Effective online solutions for problems in logistics industry

  • Introduction

Technology is ever-changing the face of business and the brightest thing about it is that it is changing all the businesses it can with technology itself. One such example that we have is of the Freight Carrier and Logistics business such as Logistics Junction.

In the Indian market, transport services especially in Pune and logistics are one of the biggest players, with around 5 million kilometers of roads which has around 8 million transport vehicles constantly running on at any given time.

With this amount of large networking, we are only behind USA due to the lack of efficiency in management. This is evident as there are various insufficiencies and corruptions involved in the business.

The adverse impact being the driver not opting for these jobs. 

A country where road transportation accounts for about 6% of India’s GDP, needs a better solution which is being offered by the recently emerging online markets in the space of Logistics.


  • Current solutions and its demerits

In the current market, the basic problem is first with the way the market is organized and the way it is working itself. Three-fourths of all trucks in India are owned by the owners with just 1-5 trucks accounting for the staggering management problem. One cannot expect a lot in terms of services offered when so many players are competing on the price point only. 

Hence in such scenes, every involved party is affected and the drivers are most affected at the end. 

Due to high level of competition, the management tries to get a driver who is ready to work in miserable circumstances and low pay scale, usually extending their shifts, doing long distance travel on the single run with issues of stay and physical over exertion. This also results in the employment of unskilled drivers which may result in uncalled events such as accidents due to lack of experience and human error.

Due to all these reasons, drivers usually opt out for a more safer option such as Uber driving on local city basis which is safer and also pays better than the current logistics' job conditions offered.

Some other points which are also to be taken into account are that the drivers are not provided with proper management such as changing drivers at timely intervals and keeping the maximum hours per driver at an optimum level before inefficiency draws in.

No proper management in terms of the service owners, leaves them with no option to track or keep a close eye on the conditions of the freight and thus solely working on basis of trust.

In terms of the customers, they are deprived of the option of being assured of the packages to be delivered in a timely manner.


  • Market for Online solutions

The market space is undergoing a huge change with investors backing technology-driven start-ups such as Pune transport corporations.

They are providing low maintenance cost to fleet seekers, better access and connectivity, and promptness. They are bridging the gap between the customers, carriers, and others, as a result, helping logistics industry to meet the industry’s demand, by bringing in all the necessary factors under a single platform.


  • Benefits offered by online solutions

The online truck booking platforms allow both truck owners as well as truck seekers to connect easily and on the go with each other. The hired truck can be monitored online and also the truck drivers stay on the right path, with the help of navigations and GPS technologies.

Here are some of the benefits:

  • Easy end to end services to the user
  • Online tracking of the shipments
  • Hassle-free search of the right truck
  • Cost-effective transportation
  • Lesser empty returns as more coordination in the demands

These benefits are the result of technological offerings which include:

  • GPS-enabled freight carrier's management
  • Track and trace facility for customers to build value of trust
  • Automation: Mobile and Web Apps supporting various languages and easy access to user interface which also helps in registration, ordering, LIVE tracking, deviation alerts, delivery time estimations, invoicing and payments.

These all result in the greater goals of: 

  1. Business growth at the faster pace: With technology, transportation businesses in Pune and Mumbai will become more and more reliable and hence draw attention to more market, making it a faster growing industry
  2. Transparent nature of the business: With everything on the go and transparently available through mediums like Mobile and Web apps, giving feature like tracking, businesses become reliable in all sense.
  3. Taking the full advancement of digitized market: Making use of current and upcoming technologies will only make solutions safer and better
  4. Better management of the Freight: Enabling owner to be sure of all trucks and driver’s safety as well as coordinating and making freights work more efficiently by the truck transport agencies in Pune.
  5. Impacting transport business in a positive way: Creating awareness and bringing more people into the market will only result in the positive growth for the transportation business in Pune.
  • Future advancements and benefits

IoT will bring in the real time data collection of fuel, RPM, engine oil temperature, brake oil pressure which can be used to track and work on in real time to provide better performances to the freight and improving the performances in the long run.

Data analytics, on the other hand, will be used for predictive maintenance and mileage improvement to cover the problems in advance so there is no problem during the real time work.


  • Conclusion

Online solutions bring a lot on the plate than the earlier solutions. They are offering the solutions to all the problems of every sector and of every level of people somehow involved in the business, making the industry better than ever.

Being India's biggest contributor in the GDP, this was a much needed change bringing a fresh breeze into the stagnant business, making it more reliable and trustworthy due to its transparent nature.

The overall crowd is benefited, drivers are getting the breaks and pays they need, the consumers are getting the much needed assurance due to the tracking systems and truck owners are getting the assurance of the health of the trucks and drivers, and is always on track in bringing better profit into the transportation business in Pune and Mumbai.