If the safety of your vehicles, employees and passengers is a concern, if you are facing issues in the business process improvement, if rising cost of operation is threatening your profitability, then Internet of things i.e. IoT in your transportation business could be the right solution. It is transforming the way this industry operates.
Internet of things continues to dominate the future of several businesses and transportation industry is no exception. Gartner, Inc. (world’s leading research and advisory firm) has estimated that over 25 billion IoT-related systems will be in use, by the year 2021. These are pretty big numbers and the future seems bright.
IoT in transportation industry uses a network of centrally connected devices with sensors, GPS, electronic monitors, RFID systems, etc. to ensure real-time visibility. These devices are connected to vehicles or off-road locations like owner’s or/and customer’s warehouse, office or stores. Thus, Internet of Things enhances operational efficiency.
It is interesting to know how Internet of Things is contributing to smarter transportation systems and ultimately a smarter world. The top benefits and use cases are as follows.
Benefits and use cases in transportation and logistics industry
1. IoT ensures Real-Time Visibility
Transparency is a game-changer in the transportation and logistics industry. Internet of Things makes the operations transparent by providing real-time visibility. Issues like truck weight management, delays in traveling, energy and resource management, performance monitoring, location tracking and safety management can be handled well.
Significance of real-time visibility is especially felt in trucking and freight shipping business. If your freight bills are rising or you feel your truck drivers aren’t loyal to you, then Internet of Things can help to keep a track of the freight. An outstanding example of IoT in transportation industry is AppWeigh. It is a specially designed smart app which measures the load on trucks throughout its shipment and sends the information to the owners on their smartphones. If the load on a truck is reduced or increased beyond the limit, then the owners immediately get notified. They can ensure that their goods are transported legally and safely to the destination. AppWeigh uses technologies like beacon integration, Bluetooth-enabled sensors, geo-location tracking, etc.
2. It improves Fleet Management
Internet of Things strengthens the operations in fleet management like maintenance of vehicles, their financing, tracking, diagnostics, management of fuel, management of drivers and safety management. For instance, special sensors are placed on the trucks. These sensors track pressure on the tires, load on the truck, unsafe speeds or driving patterns and send the messages to the fleet managers accordingly. It helps the managers to track shipments, manage the drivers, optimize shipping routes and cut costs related to inefficiencies.
Fleet management apps provide real-time information about the location of the vehicle using geo-location tracking. After incorporating IoT in transportation industry, fleet managers can go an extra mile to improve the overall working.
3. It helps Maintenance of Vehicles’ Health
Smart IoT systems can monitor the wear and tear of vehicles and analyse vehicle health. Barcode scanning, GPS tracking, mobile fuel logs, sensors, camera, etc. are used for this. These provide information about engine health, fuel consumption and inefficiencies. Some sensors are used to track the temperature of the products, shock and vibration levels, etc. to ensure that the goods are in safe conditions.
Using this information, the business owners can reduce maintenance costs saving thousands of dollars. Any breakdown issues of the vehicles can be detected in advance using IoT in transportation industry, preventing major damages.
4. It helps Warehouse and Yard Management
If warehouse and yard management aren’t managed properly, it directly affects the cost of the business. IoT systems use beacon integration, SMS and email notification, BLE connectivity, scanning and detecting sensors, etc. for warehouse and inventory management. They ensure that the right products are placed in the right quantity and the right place at the decided time. These systems reduce human activities and enable machine intervention. They help to automate the tasks which reduce errors caused due to overlooking or visibility-related issues by humans.
IoT in Transportation Minimizes Risks and Increases Profitability
- With real-time information, one can be loyal to their clients by informing them about any delays, changes, cancellations, etc. beforehand. Eventually, this improves customer relationship management (CRM).
- IoT in transportation helps to increase the connectivity of owners and managers with operators and drivers. Thus, they can instantly communicate about any issues ensuring pro-active repairs and maintenance.
- It provides robust security services to passengers and employees along with vehicles, equipment, freight and data as well.
- Illegal practices by drivers or operates can be easily prevented with the help of the internet of things during transportation. It provides transparent information which helps predictive analytics which can lead to better planning of the resources.
We have seen IoT applications in transportation and logistics industry in details. With so many benefits, the transportation industry is beginning to depend heavily on IoT-related systems. It promises extensive profits for logistics operators, business clients as well as the end users.
By incorporating intelligent transportation systems, the business owners can pull ahead of their competitors and ensure higher business opportunities.