Indian logistics market is growing exponentially and is facing continuous change and in almost all important aspects. Similar to all other sectors, even the logistics department also faces many challenges in both in B2B e-commerce as well as in the case of big enterprises.
Challenges faced by the logistics sector
The logistics market faces various lacuna and bottlenecks some of which are –
Underdeveloped Infrastructure – Poor infrastructure and insufficient means of transport and commutation are a big hurdle.
Bureaucratic issues – Various policy issues, environmental problems, regulatory challenges and land acquisition problems may affect the logistics sector.
Cost – Talking in terms of GDP percentage, India faces huge logistics costs as compared to other developed nations.
Changes faced in 2019
1.Blockchain Technology – This technology will take care of all kinds of e-sourcing, e-auctions, contract management with a proper real-time update. As security is a major issue, Blockchain technology will cater to all supplier’s details as well as payment processes.
2.Vendor Consolidation – This will help to bring down supply chain costs as well as improve efficiency and performance in the long run. In order to ensure efficient supplier relationship management as well as pitch-perfect GST compliance, it is essential to opt for aggregator with a holistic solution.
3.Cloud-Based Collaboration – Be it Whatsapp, ERP, CRM or any other platform, businesses can now communicate with the help of these cloud-based platforms which will enable real-time access to data, no matter whatever be the location. Also with it’s help buyers can get a holistic view of products and services.
4.Artificial Intelligence – Everyone can perform strategic sourcing through AI. With the help of its automation, you can easily predict demand, reduce the time which is lost in repetitive tasks with the main motive to increase the overall efficiency and performance.
These are some of the trends which will impact the logistics industry in 2019. Needless to say, there would definitely be a meteoric transformation.