Global Supply Chain In The Era Of Telematics

A Global Supply Chain refers to an interlinked network of geographic areas built solely for sourcing and supplying raw materials, finished products, manpower, and other services from the world over. Global supply chains are set up to take advantage of lower labor and operation costs, sharing expertise, and interaction with a skilled workforce.

With the advent of new technology, the supply chain scenario continues to change rapidly. The most basic way that technology allows streamlining of operational efficiency is by automating repetitive tasks. In this fast-paced world where precision can be the deciding factor for the success or failure of your business, technology adds priceless value to your supply chain and relevancy. At the pinnacle of this technology lies telematics.

What is Telematics?

Telematics technology — is any piece of tech that combines telecommunications and technology. It is used throughout the world; however, it’s particularly precious for logistics professionals, who face the task of managing complex networks of delivery vehicle fleets. With the proper piece of technology, anyone can use GPS to monitor their fleet and shipments which, in turn, increases efficiency.

How Will Telematics Transform the Modern Supply Chain?

One of the most crucial issues that logistics businesses have been confronted with has been monitoring vehicle location, fitness, and performance. The new telematics era can assist businesses to conquer this impediment by providing a plethora of information about these factors to improve operational efficiency. The key benefits of vehicle telematics are:

  • Creating A Sustainable Global Supply Chain

With the expanded use of motors for transport, it’s getting tougher to manipulate the harm as a result of gas fumes. The extra gain of telematics is that it reduces the bad effect of transportation approaches on the environment.

Optimized shipping routes will significantly lessen the usage of gas, resulting in much fewer pollutants and much less harm to the environment. With such extensive use, it touches all of the essential regions of the logistics enterprise and strengthens worldwide supply chain management.

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  • Accountable Operations


Telematics makes it viable to create a log of all statistics applicable to an order whilst it is in transit. As an enterprise grows, these statistics can assist managers coordinate complicated communities of drivers, fleet headquarters, and vehicles. It can also assist organizations to enhance the transparency and traceability in their logistics community.

Similar gadgets measuring in-automobile situations like humidity and vibration can offer extra statistics to drivers and managers. These statistics can assist them to optimize garage and transportation situations — decreasing risks.

  • Higher Efficiency, Lower Operational Costs

Enhancing business performance and decreasing operational prices is significantly improved with using Fleet Telematics and other smart AI-based tools. The main concept is to convert huge chunks of statistics into usable and actionable information.

This information can be aggregated and used to create new plans and algorithms. They can assist agencies in making correct estimates of how deliveries are carried out based on driver behavior, traffic, and climate conditions.

  • Increased Employee Safety

Speaking of the way telematics impacts all parts of the supply chain, we ought to focus on worker safety as well, keeping in mind how telematics measures vehicle health statistics and driving conduct and sends those facts to the operators. By tracking the speed of the vehicle, hard brakes, swerves, and a huge variety of street conditions permits a complete evaluation of the driving.

With the addition of a dashcam, you could get a complete record of the street condition. Knowing these facts will assist in preventing injuries and maintaining vehicle health, in turn, saving costs and improving the efficiency of the global supply chain.

The Future of The Global Supply Chain

To quickly leap back, nobody is aware with utmost certainty what is going to be the scenario in the following two decades concerning telematics’ development. However, there are a few thoughts and tasks well worth investing in. We are slowly shifting closer to the destiny of self-reliant cars that do the “driving” whilst the driver-partner prepares shipping documentation, works on consumer communication, invoicing, and plenty more.

The international supply chain control will flourish in those conditions, permitting automation of all structures through telematics. It may sound too ambitious at the moment; however, nations like France and Germany are already imposing a few of these control structures.

It is safe to conclude that the destiny of telematics opens many doors. It is yet to be ascertained how quickly this modification will happen, however, development is imminent.

Quick Read: Why is Automation the Future of Logistics?

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