“Semiconductor shortages, spiking container shipping rates, and the ‘everything shortage’…” The Automotive Logistics and Supply Chain Global Live 2021 opened in Detroit with some sombre observations. Despite this, the overall mood among global car transport companies is one of optimism. As an industry faced with the overwhelming pressures of global upheaval, uncertainty, and supply chain chaos, vehicle logistics have demonstrated outstanding resilience. Here are a few glimpses of the silver lining!
1) Embracing Logistics 4.0
The containerised logistics sector is predicted to be valued at US$15.5 trillion by 2023, and the uptake of ‘Logistics 4.0’ is central to this growth. Smart technologies empower the industry towards improved operational efficiency, increased accuracy, and optimised inventory management. Logistics 4.0 is strongly focused upon supply chain management, so the benefits include reduced cycle times, increased throughput, and lowered production costs. The more companies that adopt the technology, the more powerful the effect on industry, offering increased empowerment within vehicle logistics.
2) Increased Automation
Known for improving efficiency and reducing costs, artificial intelligence (AI) is shaping every link within the supply chain. In particular, machine learning enables companies to be more agile when predicting and responding to demand fluctuations, offering a point of control in an otherwise uncertain environment. Additionally, automation reduces the administrative burden on employees, unlocking increased productivity. When demand forecasting is combined with automated control of operational processes, the result is smoother, neater, and more valuable output.
3) Demand For EVs
If the UK government sticks to its targets, petrol and diesel will soon be consigned to memory. Although the supporting infrastructure is far from ready, the next few years will see unprecedented change at both an operational and a market level. Every major shift drives a wealth of innovation, which in the case of electric vehicle (EV) design, production, marketing, and supply chain management should translate to increased efficiency at every level. The safety of transporting lithium-ion batteries is one of the most pressing issues, so watch this space for creative distribution and logistical solutions, such as using driverless-loading racking systems.
4) Embracing The Value Of Containerised Logistics
Containerised shipping has already established itself as one of the most cost-effective and versatile logistical methods. However, it has taken a global pandemic to reveal some of the systematic flaws that stem from the original model. For instance, Logistics 4.0 has made it clear that creative thinking needs to be applied to container ergonomics to improve the value of container space. Trans-Rak are well ahead of the game in this regard, with our comprehensive selection of racking systems enabling up to four vehicles to be transported in a single container, maximising the space. When technological creativity meets improved software, the result is improved efficiency, lowered costs, and enhanced supply chain organisation.
Riding The Wave
If the waves have been a little choppy of late, it’s because pre-pandemic models have been shown to lack water-tightness in some areas. However, as the Automotive Logistics and Supply Chain Global Live 2021 has illustrated, this has forced a dynamic and creative industry to take action at precisely the time when efficiency-enhancing solutions are available. As such, the blending of containerised shipping advancements and logistics management indicates a bright future.
For more information about capitalising upon the benefits of containerised vehicle logistics, please have a chat with one of our racking design team today.
Image source: Unsplash
