Automation A Golden Opportunity for Growth in the Logistics Industry
Employee Training
Byadmin-hubtek |
4 January, 2022 |

This past month, Hubtek (Ricky Gonzalez and Scott Hadley) and Revenova (Mike Horvath) joined Freightwaves in presenting Automation: A Golden Opportunity for Growth in the Logistics Industry.  

After covering some general topics related to Automation, including what it is and what it is not, the topics began to get more granular and focused on true use cases of automation within the industry; specifically, identifying the problems and processes that can be solved and improved through automation. 

Roughly 65% of logistics service provider processes can be automated: 

  • Rate Quoting 
  • Order Entry 
  • Carrier Matching 
  • Load Tendering 
  • Track and Trace
  • Check Calls 
  • AP/AR Reconciliation 
  • Collections 
  • Compliance Processes (Carrier Vetting) 

By looking at the full task list and activity base, companies can find ways to reduce cost and redeploy people resources to focus on revenue generation and customer centric activities.  

When is a company ready for automation? 

Automation can be a solution for nearly any Logistics Provider. Size is not a determining factor. Even ‘one person’ businesses can find significant benefit in automating various business processes. Small operations can more effectively compete with larger organizations by cutting unnecessary waste (time, energy and resources) to focus on customer need and solutions.  

The more turnkey the operation and freight, the more it can be enhanced by automation. True, there are certain types of high touch freight that do not fit as well with automation, but many of the supporting processes around that freight type can be improved. By mapping out and modeling those processes, companies can truly see where resources are currently distributed and how those distributions can be improved. 

Obstacles to Automation 

A change in organizational and leadership mindset is necessary for driving the adoption of Automation as a Solution. Through the industry, there is a worry that Tribal and Institutional Knowledge will be lost with the introduction of automation and technology solutions. However, this knowledge can, in truth, be better preserved and enhanced through the use of automation. Machine Learning and AI can take this knowledge and augment it through industry changes and disruptions (think economic and supply chain crises).   

Automation continues to advance within our industry – the natural progression in the life cycle of process improvement. It behooves you to begin researching ways that it can support your organization – to remain competitive and to increase your profitability in an ever-changing industry landscape.    

Watch Webinar On-Demand:  Automation: A Golden Opportunity for Growth in the Logistics Industry

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