When IT equipment has to be relocated, technical logistics is very crucial because they will be in charge of the transportation of fully populated data racks from a production plant to the final mile delivery address. Specialist handling equipment is very important when delivering large servers and IT equipment to end users.
The use of technology is gaining popularity among shippers and freight forwarders because supply chains are becoming more complex and potential disruptions are increasing. Companies have to implement a system that will mitigate risks and create more dynamic operations while controlling costs.
However, once a company accepts the importance of technology in logistics operations, they have to choose from the technologies that can be built as an in-house system, built by a third party or purchased from off-shelf solutions.
For most businesses, building an in-house system is sufficient to meet their needs. However, there is a downside to this approach because it will require a large amount of IT resources to develop and maintain software. Since the IT resources of most companies are stretched too thin, building software from scratch is an unrealistic expectation.
A good option for companies with limited IT resources is to bring in a third party. However, this option is usually very expensive. Besides that, it is difficult to find a third party that has knowledge and experience of the industry. This will affect the effectiveness of the finished product.
The good thing is the presence of technical logistics that can readily satisfy 80% of the companies’ needs with the 20% falling outside of the off-shelf system function. Logistics technology allows companies to offer a higher level of customer support through enhanced communication and issue resolution. Any disruptions and issues are settled immediately while meeting customer’s expectations.
The global supply chain is growing and companies need technical logistics to help streamline their operations and provide them with a competitive advantage over those that still rely on inefficient manual processes. The benefits of logistics technology are more achievable and real. The company’s supply chain as a whole will become more stable, more compliant and cost optimized.