The demands that are constantly imposed by the market induce the adaptation of processes and logistics strategy. Such changes have been happening since the beginning, and some of them have marked history, for example, the second and third industrial revolution.
Currently, the big news is Logistics 4.0, which has become known as the fourth industrial revolution, as it has changed the way companies do business, in addition to transforming society and people's lifestyles.
We decided to write this article to better explain what it is about, what are the benefits and challenges of this evolution. So, if you want to stay on top of this trend that has become more and more a reality in companies, follow us until the end of this reading and find out all our tips.
Ah! And don't forget, if you have any questions, just look our team!
What is Logistics 4.0?
In the traditional model of Industry, production takes place on a large scale, with the objective of meeting the demand for orders without taking any risk. However, with the advancement of technology and production systems, the expression Logística 4.0 emerged, which represents a new phase in logistics, whose main goal is to market share, which is nothing more than a company's market share in terms of sales of a given product. Therefore, the focus is on using robust systems as the main method for organizational growth, which leads to the automation of processes and consequently contributes to increased productivity and greater efficiency in operations.
With that, the operation is totally interconnected, from the equipment, to the carriers and employees. The goal is to ensure faster, more connected logistics with a high level of quality.
How are companies doing today?
Currently, technology is already inserted in the routine of companies, in one way or another. So why is Logistics 4.0 necessary?
Well, the concept of Logistics 4.0 goes beyond the use of modern tools of information and communication technology. For the system to flow and produce good results for your business, it is also essential that there is the alignment of such technologies with the supply chain and the company's logistical strategy.
In the next topic, we'll talk in detail about the advantages of adapting your operation to Logistics 4.0.
How can they improve with technology?
We have separated 5 of the main advantages that Logística 4.0 offers:
1- Increased focus on business strategy
In Logistics 4.0, the focus is on organizational strategy. Thus, the objectives set out aim to modernize and improve management, reduce losses and costs, in addition to optimizing time, all without compromising quality.
For this to happen, it is essential to connect the processes with software that provides accessible and updated information. Therefore, with efficient control of routines, the company can keep its focus on the strategic issues of the organization.
THE brclog believes in the efficiency produced by the application of the concepts of Logistics 4.0 and that is why it has a robust WMS system to monitor and ensure that all operations are working according to customer requests. In addition to streamlining processes, more reliability is also gained in inventory management, for example.
2- Loss reduction
Logistics 4.0 makes it easier to understand the flow of products along the production chain, and thus develop solutions that are more agile and effective.
It is also possible to promote the reduction of losses in inventories, the need for rework, the reduction of problems with losses and damage, among other problems that can compromise productivity and the results of its operation.
THE brclog uses a TMS (Transportation Management System) system to perform transportation management, through which it is possible to monitor all processes (from collection to delivery), that is, it is a method that allows you to understand what the bottlenecks are and so take initiatives to remedy such problems. In addition, you can perform real-time tracking of the status of deliveries.
3- Cost reduction
Once the losses decrease, the costs are also lower, which is also an advantage, after all, this is a factor that directly contributes to the company becoming more competitive and gaining more space in the market.
Using technology to control inventory is an effective way of reducing costs, as, as the system is fed with more information, it becomes easier to understand when is the ideal time and quantity to make purchases of a certain item. With this, the stock becomes increasingly lean, which avoids excesses or / and shortages and consequently affects the financial.
To ensure this, A brclog performs inventory control and inventory also through a module of the WMS system, which takes into account good auditing practices and provides reliability and accuracy in calculations.
4- Improved data analysis
Investing in more robust and intelligent systems also represents an improvement in the performance of data analysis. Such solutions are able to provide insights (ideas) that aim to optimize processes and create more effective strategies.
Another practical example is to use technological solutions to anticipate consumer demand and purchase products that are within what the public is looking for.
The type of system mentioned in the previous item highlights another aspect, which is to allow the monitoring of indicators in a precise manner, which is precisely one of the differences of the brclog, which is subject to strict SLAs as it understands that this is an excellent method to extract information and from there solve bottlenecks, in addition to being a way to overcome customer expectations target (target Audience).
5- Increased customer satisfaction
All improvements and modernizations produce a gain in quality in the services provided, which automatically reflects in greater customer satisfaction.
It is important to highlight that understanding and meeting customer needs is the basis for loyalty, in addition, it is what makes your company always remembered as the first option.
What are the biggest challenges?
The application of Logistics 4.0 is somewhat complex, so there are some challenges when implementing it. The following are some of the biggest obstacles:
Lack of metrics and inventory visibility
One of the worst failures for a company is to sell a product that is not available, something that can happen if the operation does not have an accurate visibility of the stock. In Logistics 4.0, storage is often lean, so metrics are even more important, which help with inventory control and demand forecasting. In addition, it is also important to have an inventory management system, as it can simplify various problems and integrate information in real time.
As already mentioned, the brclog face this challenge through its robust WMS system, to know the other details about this solution, click on here.
One of the basic foundations of Logística 4.0 is to combine the use of technology with strategy, so that this happens in stock, it is also important to apply good storage practices.
We prepared other content that covers the details about the inventory reduction and control, so if you want to know more about it, feel free to read and share.
Well-targeted processes in supply chain
A good part of the process failures are due to problems with communication, which ends up generating an impact on the end customer, who is dissatisfied. Therefore, a process based on Logistics 4.0 must be fully synchronized and connected between people, equipment, processes, areas and companies.
To the brclog, being able to count on a team of trained and synchronized employees, is essential to maintain the high standard of excellence required by customers. As an example, we can mention the IT team is prepared to guarantee the synchronization of the systems, in addition to acting as support for the rest of the team and our partners. Learn more about our team by clicking on here.
Choice of the best logistics operators
As already mentioned, the main foundation of Logística 4.0 is to guarantee the integration of all involved to deliver an optimized operation. So, in addition to investing in technology, your company needs to have the best partnership, which is willing to adapt to your need.
Since 2002 the brclog has been gaining experience in the market and thanks to the partnership it has with each client, it has managed to expand its service area. Today, the solutions range from product adaptation, to storage and transportation.