Let’s take a moment and address the elephant in the room… AKA change – a word that seems to evoke panic among the masses on any given day. In this case, we’re specifically talking about reluctance to change. Once set in a particular way, any alteration to the norm can seem like such an inconvenience, but change doesn’t always have to be a bad thing. The integration of information technology has the potential to accelerate modernisation in the cargo supply chain, bringing greater transparency, reliability and predictability. Logistics and global supply chains will become more effective with new markets opening and eventually drive economic growth.
No doubt, the digital era we live in today has increased customer expectations and the need for on-demand services will soon be the industry standard. The old and cumbersome processes are no longer satisfying today’s requirements. The choice is then left with carriers to either look into current technologies, or wait for the next generation of information technology solutions in order to meet the changing demands of customers. Waiting however, does mean getting left behind and realistically, who can afford that…
From an insider’s point of view, the potential for better information technology integration into the air cargo industry is greater than it has ever been. With the introduction of innovative carriers that respond to market changes as they happen, there is no reason why the transport and cargo sector should be left behind. In the future, technology will lead to long term gains in efficiency and productivity in the supply chain, leading to a drop in transportation costs.
Digitalisation has also been challenging the traditional practices of the transport and logistics sectors, and the air cargo supply chain is also directly affected. Increasing interconnectivity for data has been a hot topic in the industry for years and some players are beginning to make the conscious efforts to adopt it. Success stories are plentiful from said players, who are reaping the rewards.
Industry optimisation will go a long way in not just protecting the value proposition of air cargo, but also enhancing it. Furthermore, the increased adoption of automation and robotics are considered a rising disruption; especially in last-mile deliveries.
There are always two sides to a coin though. Of course with the introduction of different technologies, is also the susceptibility to new threats. However, instead of focusing on the problems and/or what could potentially go wrong, looking into how some of the players are starting to incorporate and leverage on these new technologies should serve as encouragement to the entire supply chain to remain competitive.
Leaders and senior executives need to understand their changing environment, which means organisational forms need to be rethought. The time for change is now!