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iMOVE CRC | Feature
iMOVE perspective: Data and technology to the rescue of the movement of goods
How many times have you been asked to wait around for a delivery that is expected “sometime” today? There’s little more frustrating than not knowing precisely when a delivery will arrive. And if goods aren’t delivered, they become effectively stuck, and have to be stored and the delivery rescheduled causing yet more issues.
Those who now order products online for home delivery are feeling something of the frustration that has beset freight logistics operators for many years and it directly affects our lives, our businesses and our national productivity. Delays are inconvenient, and are costly in both time and money for individuals and for business. Inefficient supply and delivery adds to the cost of goods and also results in more traffic, adding to our congestion woes.
Australia needs much better performance from its freight systems to be competitive. We know a fix isn’t easy – but it is crucial. In effect, we urgently need to optimise the
system and we can do this through improved visibility and sharing of freight data.
Let’s also apply a successful manufacturing concept to the problem - the Just-in-Time approach. In this, manufacturers know
what the demand is for goods, and the time required for each delivery. This knowledge allows them to minimise inventory, and reduce wastes of time and effort. The net result is increased efficiency and planning with far less distraction and panic.
Where’s my box, truck, pallet ...?
Just-in-Time illustrates what can be achieved with visibility and tracking. We’d go a long way to improving things in our freight systems
if there was up-to-date information about items in transit. The ability to continually and regularly report on the position of a box or a vehicle generates the base information that enable all supply chains to optimise their operations.
We also need unambiguous identification of items. Whether it’s a package or a shipping container, it can only be tracked through the delivery process if it can be distinguished from all other items travelling with it in the supply chain.
A pilot program running between 2014 and 2016 involved a number of companies using GS1’s ISO-certified Electronic Product Code Information Service (EPCIS) global standard. It allowed the trial participants to uniquely code each product, capture real-time position, and share the information in real-time with everyone downstream in the chain.
Using this system, one company reported a 20% increase in the number of customer service enquiries it could process in a day.
Other participants had equally compelling gains.
When the benefits are scaled up to a national level the potential is tremendous. To give some perspective, a mere 1% increase in total factor productivity in the logistics industry would yield a $2 billion increase in national GDP (source: ACIL Allen Consulting).
Like to take part in a project for change?
Improving the freight and logistics sector is an important national task, and one in which iMOVE aims to play a leading role.
iMOVE is currently planning a project in which participating businesses will share some of their freight data, with a view to developing a routine sharing of information, and demonstrate its effectiveness, at a low cost.
If you’re a recipient or shipper of a large amount of freight, and would like to become involved in this project, get in touch by emailing enquiries@imovecrc.com
For more on technology, transport, and iMOVE activities, visit www.imovecrc.com
18 | June 2018