Internet of Things and Its Impact on Modern Supply Chains


By 2020, over fifty billion objects will be connected by the Internet of Things and 5.8 million of them will be comprised of tracking devices. What does this mean for supply chain operations? First, let us refresh your memory. Let us define the IoT once again. The IoT is a network of physical objects, embedded with sensors, electronics, and network connectivity, which allow them to collect and exchange data.

How does the Internet of Things work? The IoT is enabled by the broadband internet, Wi-Fi and Bluetooth. It also works through the contraction and expansion of sensor and transmitter functionality. Thanks to in-transit visibility, modern supply chains can track trailers and intermodal containers. Advancements in technology also allow smaller logistics units to be tracked at reasonable costs.

Many supply chain operations are already using the Internet of Things. New services and applications are being developed as well. At the present, GPS technology already tracks people, vehicles and cargo in real time through smart devices. Smartphones help businesses track the location and conditions of cargo through embedded tags record and report that data. One of the industries that have started to use the technology is maritime shipping.

The logistics and transportation industries are also accelerating their efforts to improve their productivity and customer service levels through the IoT. They are taking advantage of the large amounts of data generated by their cargo tracking solutions to ensure compliance with the broadening chain of custody regulations internationally. In addition, the field of data analytics also uses the IoT to acquire data.

The Internet of Things has a huge impact on modern supply chains. Through broadband internet, Bluetooth and Wi-Fi, your business can also benefit from the technology by tracking your goods and services in real time, acquiring relevant data, and improving your customer service and productivity. With the increasing number of connected devices, you should not miss adopting the technology for the advantage of your business. Sign up for our weekly blog summary and newsletter!  

Charlie Alsmiller

Throughout his career, Charlie Alsmiller has focused on customer problems in difficult industries such as Energy and Telecommunications. Prior to starting Appterra in 2005, Alsmiller was VP of Global Operations for Allegro Development, a leading provider of software for the energy sector. He has also served as president of OmniSpace Technologies, a leading SaaS provider that he founded in 1999. He spent over 10 years in the consulting world with Price Waterhouse and Deloitte Consulting, where he participated in a wide variety of projects for very high profile clients. Mr. Alsmiller holds a BBA from Baylor University in Management and Information Systems and a MBA from the University of Dallas in International Business. Specialties: Technology ventures, Enterprise Software, Contract Negotiation, International Operations, Private Equity, Product Management, Strategic Alliances, Software Implementation, Software Development

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