In today’s competitive era, every industry has undergone a digital change. Whether in healthcare, retail, education, or even travel and tourism, the global business sector has adopted digital solutions to embrace automation. So, why should logistics be left behind? Enters automated logistics systems!
Logistics automation has become a hot trend in the global market. According to trusted sources, the market for automated logistics systems was valued at $50.9 billion in 2020. That number is predicted to surpass $82.3 billion by 2026!
But what could be the reason for such a dynamic growth of the logistics automation market? Factors like slower operations, higher competition, more operational costs, etc., invoked the need for an automated logistics system. Moreover, the recent pandemic also facilitated this need accelerating the logistics automation market.
So, what exactly is automation in logistics? How are automated logistics systems beneficial to your business? And how can you begin logistics automation software development? Let’s find answers to all such questions in our today’s article!
Table of Contents
What are Automated Logistics Systems?
Automated logistics systems are digital solutions capable of delivering cost-effective services matching the latest market trends and modern business requirements. These logistics solutions are equipped with next-gen technologies, including AI, ML, RPA, NLP services, IoT, and Cloud Computing, to help businesses generate profits and embrace innovation.
With automated logistics systems, you can improve various aspects of your business, such as shipment, freight management, cargo selection, last-mile delivery, warehouse management, inventory management, yard management, load planning, and so on.
Not to mention, the advanced technologies used in logistics automation also helps you make better business decisions through data-driven business insights. You can easily extract data from various touch points and analyze it to gain profitable business insights through logistics software development.
Why is Logistics Automation Important for Your Business?
Logistics automation is not only used to make your business cost-effective and efficient. In fact, there are many benefits that a company can leverage by embracing automation in logistics. Below are some of the perks of investing in automated logistics systems.
One of the primary benefits of adopting logistics automation is easy management. Automated logistics systems streamline various facets of businesses by automating mundane and complex business operations.
Accounting, shipping, marketing, customer support, load planning, and tracking are easily managed with automation in logistics. Moreover, several advanced automated logistics systems also smoothen the decision-making and investment operations while profiting the company.
Reduced Operational Cost
Another excellent reason to invest in logistics automation software development is reduced operational costs. It is often seen that logistics companies hire more resources to manage their complex operations.
They spend too much time and cost on rectifying the business operations through the traditional process. However, human error and other factors often add to their business cost. That’s where automated logistics systems come into play!
With smart logistics software solutions, you can easily reduce your operational cost. Smart algorithms will handle all the complex and tedious operations, lowering your hiring cost. Furthermore, with data analytics services, you will be aware of the processes that need to be optimized. Hence, your cost will be saved while the business performance increases.
Data-driven Business Decisions
In today’s competitive world, if there’s anything that can help you run a successful business, it’s data. Leading companies use automated logistics systems to extract data from multiple sources and analyze it for making informed business decisions.
As a result, they generate better profits and revenues. Automated logistics systems can easily extract and analyze data from various touchpoints. That data can then be utilized to know which processes need to be optimized and what needs to be stopped.
You can also check other parameters of your logistics business, such as bad drivers, fuel thefts, poor vehicles, and accounting errors with automation in logistics. All that helps you improve your business performance and build a better brand value.
Better Customer Service
Customers are king.
The above saying is true for every business directly connected with clients. If you do not handle your customer’s queries properly and do not offer them personalized services, they will not think twice before going to your competitors.
That’s why most companies today utilize smart solutions to improve their customer support operations. For instance, they use automated logistics systems integrated with NLP-driven chatbots to handle real-time customer requests.
An NLP-driven chatbot analyzes your clients’ requests and even understands their message’s main intent. After that, it replies to them most humanly. That way, you do not have to invest in hiring resources, and your customer queries are resolved promptly.
More Business Opportunities
Last but not least, the adoption of automated logistics systems results in more business opportunities. Well, that one is obvious. Since smart algorithms handle all the tedious tasks, and you get real-time information on all your processes, you can easily focus on expanding your services.
Also, the customer support operations are enhanced, and the profits are increased; hence, you also get word-of-mouth publicity from your valuable customers. That way, you get new business opportunities and better revenue generation.
Top 5 Automated Logistics Systems that You Must Implement Today
Talking about automation in logistics, there are many automated logistics systems that you can implement in your business. For instance, if your need for the hour is to manage your warehouse operations, then smart warehouse management software with RPA services, computer vision, and IoT technologies could be beneficial.
Similarly, if your primary concern is to track your assets and drivers, then an AI-based fleet management solution could be your best fit. Below are some of the topmost automated logistics systems popular in the logistics sector.
RPA-based Warehouse Software
Warehouse management is one of the primary concerns of businesses operating in the logistics sector. Managing hundreds and thousands of products, keeping their real-time stock updates, auditing the products, and ensuring the proper delivery at the right time are some common issues faced by the logistics industry.
However, with smart warehouse management software solutions, all those issues could now be resolved. Nowadays, companies are actively investing in RPA-based warehouse management software development to automate their mundane tasks using smart AI development services.
RPA, also known as robotic process automation, is an AI development service that works on smart algorithms to automate tedious tasks. The RPA-based warehouse management solutions streamline inventory management, stock audit, product categorization, and various back office operations.
- QR codes, barcodes, and RFID-based tracking
- Automated stock audits
- Product categorization
- Real-time data tracking
- Supplier portals
AI-based Inventory Management Software
Another excellent automated logistics systems that are popular in the logistics segments are AI-based inventory management software. As the name suggests, AI-powered inventory management solutions streamline all the tasks related to inventory and supply chain.
Smart algorithms and other AI development services are crucial in an AI-based inventory management solution. You can easily handle various tasks with an automated inventory management solution, including stock updates, order placements, returns management, and more.
Not just that, but your customer support and other back-office operations could also be automated smoothly using AI-based inventory management software.
- Field service management
- Backoffice automation
- Returns management
- Automatic stock updates
- Waste reduction
- Automatic price updates
Smart Fleet Tracking Solution
Fleets are undoubtedly the most vital assets for any logistics business. You can easily get better business opportunities while generating excellent revenues by maintaining your fleets and their parts. However, the traditional fleet management approach is not so favorable in today’s competitive times.
To manage hundreds and thousands of fleets, you need automated logistics systems that could streamline your fleet management and report generation tasks. Hence, a majority of companies are today investing in logistics automation.
They are launching custom fleet management solutions equipped with AI, ML, and IoT technology to gain more control and transparency in their fleet management operations. For instance, they can get real-time data from hundreds of fleets. Besides that, they can also explore the driving patterns and fuel usage patterns of specific drivers. That helps them make informed business decisions.
- Fuel optimization
- On-demand driving reports
- Panic alerts and traffic reports
- Engine and ignition alerts
- Predictive maintenance
- Real-time tracking
Automated Backoffice Solution
Besides the primary operations, logistics companies also deal with tedious back-office tasks that consume their time and add to their operational cost. Accounting, customer support, vendor support, tracking, invoice generation, etc., requires logistics companies to hire resources and spend their time.
However, with the recent advancements in logistics automation, all those back-office tasks are now optimized with automated back-office solutions. These smart solutions use multiple AI development services to enhance and streamline back-office operations without much human involvement.
For instance, you can easily generate invoices and even assist your customers in solving their issues through NLP-based chatbots. Similarly, the self-learning ML algorithms aid in the automation of accounting tasks. In short, these automated logistics systems make back-office management easier for logistics companies.
- Automated invoice generation
- Data entry and automated accounting management
- Chatbots for customer support
- ML algorithms for re-ordering and spend tracking
- Smart cargo selection
- Real-time tracking and shipping updates
- Email marketing automation
AI-based Load Planning Software
Load planning is one of the complex operations most logistics companies are concerned about. Some operations under load planning are selecting the cargo and other transportation modes, checking the prices, optimizing the loads, and ensuring a safe shipment.
All those complex operations consumed much of the time and resources of the logistics company. But not anymore! The automated logistics systems improved the overall load planning operations for the logistics businesses. With AI-based load planning software, companies can easily check the real-time pieces of cargo to select the most suitable one. The smart solution also provides the best load that can be shipped easily in one go. That reduces transportation costs while increasing business opportunities.
- Automatic cargo selection
- Load optimization
- Product tracking
- Balance management
- 3D visualization
- Trailer management
How to Get Started with Logistics Automation Software Development?
Project Planning and Requirement Analysis
The first logistics automation software development step is project planning and requirement analysis. As seen above, you can implement various automated logistics systems in your business.
However, you must analyze your business requirements thoroughly before selecting one. You must know what all processes need to be optimized and what type of automated logistics system will be needed.
Besides that, you must also evaluate the latest market trends that can add value to your logistics automation software development. For instance, most companies are leveraging AI development services to enhance their logistics operations. Hence, you can also consider integrating AI tools into your logistics software.
Hire an Experienced Logistics Software Development Company
Once you have analyzed your business requirements and selected a suitable automated logistics system, it is time to connect with an experienced software development company. You must have a development team who can understand your ideas and transform them into a successful reality.
You need to hire a professional logistics software development company with expertise in next-gen tech integration. Your logistics automation software development partner should be well-versed in AI, ML, IoT, and cloud integration services.
Moreover, your software development partner should also have complete knowledge of the latest market trends to maximize your success chances. Hence, while selecting your development partner, explore their services.
Also, pay heed to their portfolios as it will convey whether that company has previously delivered a similar solution to yours or not. Customer reviews, services, and portfolios can tell much about any company.
Choose the Best Features and Next-Gen Technologies
Features and tech stack play a crucial role in determining the success of your automated logistics solution. Suppose you plan to launch a logistics software solution with unique features that resolve your customer’s concerns and distinguish you from your competitors. In that case, there’s a high chance of your success.
The same can be said for your technology stack. Hence, always consult an expert before proceeding with your logistics automation software development. An experienced company will always help you determine your custom enterprise solutions best features and the latest yet reliable tech stack.
Remember, the features of your logistics solution will depend on the type of automated logistics systems you want for your organization. For instance, if you are going with smart warehouse management software, then inventory management, product categorization, stock audit, barcode scanning, and invoice generation would be the best features.
Create an MVP
MVP is a crucial aspect of enterprise software that helps you to check and redesign your solution before final development. MVP, or a minimum viable product, is a functional prototype depicting your digital solution’s working model.
With an MVP, you can easily check what functionalities resonate with your development goals. You can also enhance your automated logistics systems’ navigation and user interface before development. Hence, make sure to begin your logistics automation software development with an MVP to eliminate the chances of product redevelopment.
Develop Your Automated Logistics System
Once an MVP is created, the next step is development. Your chosen software development partner will begin creating your automated logistics systems based on your business requirements. During development, make sure to follow the agile methodology.
That’s because, with the agile method, you get constant updates about your product at each development stage. That helps you reduce your testing and redesigning time. You can save your cost and get a high-quality solution based on your expectations.
Also, ensure your developed automated logistics systems can easily integrate with other third-party systems. Third-party integration enhances your software’s capabilities and makes your business scalable and future-proof.
Test, and Deploy
Lastly, we have testing service as our final software development step. While developing automated logistics systems, always make sure to test your product. Testing ensures that no bug is left in your product that could result in glitches and poor user experience.
With proper testing, you get a high-performing product that operates smoothly on various platforms and under different conditions. Hence, make sure to opt for manual or automated testing for your logistics automation software. Finally, deploy your solution on a suitable platform.
To conclude, we can say that digitization has not remained a luxury term for businesses. Instead, it has become a much-needed aspect of running a successful business. Through automated logistics systems, you can easily streamline various aspects of your business to bring profitability. Not to mention, these smart systems also help you build a competitive brand with higher customer satisfaction.
Hence, if you must invest in logistics automation software development to scale your business to new heights. That’s where Matellio comes in! With a decade-long experience in next-gen logistics software development, we can help you with all your development needs.
You can leverage our in-depth market knowledge and talented pool of resources to build your automated logistics systems. We also offer free competitor research, market analysis, and 30-minute consultation service to help our clients maximize their RoI. Besides that, we also offer a wide range of software development services, including MVP development, UI/UX, next-gen tech integration, testing, legacy software modernization, and maintenance services to help you win the competition curve.
So, what are you waiting for? Fill out our consultation form to book a free 30-minute call with our experts today! Take the first step towards a future-proof business by beginning your logistics automation software development.