Transport & Legists SME

Renewed operating models, new avenues for growth in the Logistics and Distribution industry

The entry of digital technologies into the Logistics and Distribution industry has caused a significant shift in the way in which business is now being undertaken. These advantages have resulted in dramatic business benefits for industry, including a reduction in operation costs, increase in speed, improved efficiency and transparency, and better collaboration and integration across the entire supply chain ecosystem.

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Digital has led to the enhanced visibility of logistics operations, which has permeated across the entire supply chain. From tracking delivery status via mobile devices, to undertaking transactions and executions via online applications and workflows, the industry has been able to leverage and create better and more personalized user experiences.

In terms of existing applications, digitization has also renewed automation in the maintenance and testing of legacy applications, thus reducing costs and increasing availability. Further, there has been a push towards modernizing these applications to next generation platforms, which has taken place for the freight industry, specifically for clients in the intermodal freight transport space.

Additionally, the industry has been able to work with new business models. Through the conversion of existing systems from a CAPEX to the new OPEX model for support and software, the industry has been able to reduce costs, save time, and work with tremendously increased flexibility. This has enabled it to grow in a two-fold manner: first, by entering emerging markets and second through an increase in the intermodal market.

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