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Smart Logistics

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Smart Logistics

TOPIC OUTLINE

Definition of Smart Logistics 1

Smart Logistics Pillars 2


DEFINITION OF SMART LOGISTICS

− Smart logistics is defined as a logistics system that can enhance


flexibility and adapt to market changes, brings businesses closer
to customer needs and improves the level of customer service.
It reduces storage space and decreases production prices.
SMART LOGISTICS PILLARS

Img. 1: Smart Logistics Pillars


Resource
Planning

Information Warehouse
Security Management
Smart
Logistics

Intelligent Transportation
Transportation Management

Img. 1: Smart Logistics Pillars. Custom Depiction


SMART LOGISTICS PILLARS

1. Resource planning
− Smart planning and managing of resources (i.e., human, equipment, and material) enhances the
overall flexibility, productivity, and agility of any change in the supply chain, enabling businesses to
optimize their resources and reduce their time to market.
SMART LOGISTICS PILLARS

2. Warehouse management
− Different components of the smart logistics, such as RFID sensors and transports, can communicate
information with the intelligent warehouse management system to optimize the processes.

− The warehouse management system can use the data captured from the RFID tags to reduce the risk of
out-of-stock situations by providing real-time visibility into inventory levels and making better data-
driven decisions.
SMART LOGISTICS PILLARS

3. Transportation management
− The transportation management system (TMS) uses the IoT sensors and localization technologies to
monitor freight movements, locate vehicles, consolidate shipments, and negotiate with carriers.

− The TMS, which is usually a cloud-based system, also enables the interactions among the order
management systems and warehouse or distribution centers of a company to reduce the freight costs
and improve the overall customer service.
SMART LOGISTICS PILLARS

4. Intelligent transportation
− Intelligent Transportation Systems (ITS) provide solutions, like electronic toll collection, traffic
management systems, and transit signal priority, by adopting IoT and cloud computing technologies.
SMART LOGISTICS PILLARS

5. Information security
− Any major information breach or disturbance to the transportation, warehousing, or distribution system can cause
devastating damage to businesses. Therefore, they are urged to implement strong security controls on their smart
logistics to ensure the data are protected and that only authorized users can access it and the management systems.
LIST OF SOURCES

Barreto, L., Amaral, A., & Pereira, T. (2017). Industry 4.0 implications in logistics: An overview. Procedia Manufacturing, 13, 1245—1252. https://doi.org/10.1016/j.promfg.2017.09.045

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