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Supply chain asset tracking could create £1.55 trillion in economic value

Written by: Supply Chain Online
Published on: 2 Nov 2016
Category:

CISCO

Supply chain asset tracking could create £1.55 trillion in economic value

The use of asset tracking solutions and Internet of Things (IoT) devices in the global supply chain and logistics sector could add £1.55 trillion of economic value, according to a report from Cisco and DHL.

Asset tracking solutions can produce savings for supply chain and logistics operators at various stages of the supply chain journey, from extraction and production to storage, transportation and final delivery to the customer.

IoT-related technologies, including sensors and tracking tags, can provide information in real time regarding the location of goods in storage or in transit. They can also deliver data concerning the overall condition of these goods in terms of potential package damage, pressure, temperature and other factors.

A new report from BI Intelligence has examined the many technologies that can be implemented in modern asset tracking and has analysed some of the benefits and challenges that these can produce.

The report found that asset tracking solutions can assist companies in overhauling their supply chain and logistics operations, allowing them to deliver goods quickly and at a reduced cost. This can lead to substantial savings for many companies.

Legacy asset tracking technologies, such as barcode scanners, are gradually becoming obsolete and are being replaced by Internet-connected tracking technologies, which can offer real-time information about the state of goods in transit and supply tracking data.

Analysis of this data can deliver a wide variety of benefits in terms of operational insights. These can lead to reduced fuel and storage costs, improved compliance reporting, the automation of inventory-related tasks to free up employee time and new opportunities for revenue.

According to the report, enterprises need to implement digital strategies that incorporate analytics and data processing tools in order to gain insights from asset tracking data. This can help these enterprises reap the full value of asset tracking solutions.