Better resource management, optimized processes, enhanced customer experiences and minimized costs: the transport and logistics sector is far ahead of other sectors and large parts of industry when it comes to digitization.
The transport and logistics sector benefits from digitization and gives it impetus. Thanks to new digital technologies, this comparatively labor-intensive sector has been able to coordinate its considerable organizational efforts more efficiently and improve customer and partner contacts, use digital technologies to further develop its business models and thus attract new customers and open new markets.
Information and communication technologies are essential components of the digital transformation: Thanks to optimal connectivity, cloud computing, big data and security, in the interconnected world of the Internet of Things machines, devices and sensors can realize their full potential and provide optimal solutions for air and cargo ports, passenger transport, rail and road freight traffic and fast growing parcel delivery services. Connected processes help optimize storage facilities and devise new transport routes and options, for example. Moreover, shipments and vans can be monitored remotely and downtime avoided through predictive maintenance.
Above average scores
The "Digitalisierungsindex Mittelstand" ("SME digitization index" from November 2016) surveyed more than 1,000 SMEs in Germany to assess their current level of digitization. A sub-report of the study, produced by Deutsche Telekom in collaboration with techconsult, focuses on the results of the companies surveyed in the transport and logistics sectors. It showed that the transport and logistics sector achieved above average scores in IT information security and data privacy, digital offerings and business models, company productivity and customer relations.
Growing transport volumes
Companies, such as mid-sized Spedition IDS (Interessengemeinschaft der Spediteure – Haulers Consortium in Germany) show that the market is changing and shifting. Since the carrier started making deliveries to consumers its volumes have risen dramatically, forcing them to confront significant challenges. Because consumers expect delivery in 24 hours. And they want to be able to trace their delivery at all times.
Transparency is key
Speed and transparency are absolute musts. Freight carriers wanting to offer their customers seamless shipment tracking must start by digitally connecting their drivers and vehicles and synchronizing the resulting data at their head office. This makes it possible to keep customers informed about their delivery's location and status at all times and provides a complete overview of the transport chain.
Despite all of the advantages, some entrepreneurs are still hesitant about digitization. While small companies mainly focus on optimizing individual processes and areas, for larger companies it is worth reconsidering their entire value creation, i.e. all of their business and production processes. This affects all business models, customer communications, processes, applications, technologies, infrastructure and machines that talk to machines.
Quality makes all the difference
Another reason is often a lack of knowledge on IT security, data privacy or technical specifications. Companies frequently prefer to wait and maintain the status quo. In these circumstances only quality can make the difference: Highly available and stable networks. IT of the highest quality. Secure products and solutions. And partners to support digitization. When these conditions are met, entrepreneurs only have to take the first step toward digitization. And then the next one.
Digitization. Simply. Make it happen. With this tenet Deutsche Telekom is helping companies to recognize the opportunities that digitization offers their business and to implement suitable solutions. In this context, partnership means supporting customers from the very beginning – and enlightening them on all facets of the digital transformation. Consultancy is founded on five pillars. The attitude is: Be brave – decision-makers must see the digital transformation as a growth opportunity. It offers the potential to make their businesses even more successful. Changed perspective: You must reconsider your products and services. When doing so, it often helps to look at things from a new angle. This lets entrepreneurs identify new opportunities and be brave. Step by step: Tried and tested concepts needn't be turned on their head at once. Even small changes can optimize internal processes and create new business ideas. Customer proximity: Little by little as many internal and external processes as possible should be digitized. As this progresses, companies should always offer their customers ways of contacting them. Data privacy: Data is the new fuel of successful companies. They are valuable and therefore should be closely guarded.