What is Logistics 4.0?

As business executives, we should always be on the lookout for new technology, specifically how we can optimize our production and shipping processes. After looking through an IBC Tanks’ Role in Logistics, one aspect of logistics worth covering is the induction of logistics 4.0. Here are some of the main themes that we will need to keep in mind when studying this topic:

  • optimizing logistics in manners fit for the modern world
  • cutting back on the waste of materials
  • sustainable production and transportation
  • using new technology for production and transportation
  • digitalizing warehouse processes.

One of the big tasks facing the modern business world is transforming our production processes and transportation to align with sustainability concerns. Logistics 4.0 is the answer to many of the problems presented in previous centuries. Below, we will cover all that you need to know about this topic.

What Is Logistics 4.0?-1

Optimizing Logistics Tasks

As we enter into the modern world, production processes will need to be streamlined and optimized to help businesses do these things in a manner that optimizes each step along the way. This way, we can cut back on unnecessary use of resources and energy. 

Some examples of how this can be done are by using IBC tanks along with a standard set of pallets of forklifts designed specifically to interact with each other. The main idea here is that each step of the production and shipping process has structure and organization to the highest degree.

Facilitating Use of Smart Containers, Vehicles, Etc.

One of the key aspects of logistics 4.0 is the use of smart containers, vehicles, and so on to create a streamlined production process that is symbiotic and organized. We can create the optimized logistic task process we mentioned above using better tools during production and shipping. This alone can have a huge impact on the overall efficiency of production.

One of the biggest mistakes made in the past by corporations was the tools they used during the production process. In particular, containers holding potentially dangerous chemicals. In the modern world, we have all the tools at our disposal to be both efficient and sustainable.

Digitalizing the Production Process

The writing was already on the wall with the invention of computers and the internet in terms of the future digitalization of production processes. Now that these technologies have become mainstream, we can use them in large-scale manufacturing processes. 

This includes having real-time data on demand, the production process, inventory, purchases, deliveries, and so on. Having a digitalized production process is something we already see various businesses doing. Transitioning over to logistics 4.0, though, will require further digitalization among corporations worldwide.

Automation of Warehouse Processes

Traditionally, warehouse processes have heavily depended on active human involvement throughout each step of the production process. When the industrial revolution left us with machines, though, it seemed inevitable that eventually, we would reach a point of full automation in production processes. 

Today, the technology is already in place and ready for us to use. Having fully automatic warehouses will require lots of checks and proofs before top executives worldwide make it mainstream. To integrate into a fully functional logistics 4.0 system, this will be one of the necessary steps.

Anticipatory Supply Chain Management

Previously, it has been popular for companies to use a system of past data and the combination of future predictions to plan out their production processes in anticipation of higher or lower demand for their products. The problem with this is that it is still subject to human error.

With anticipatory supply chain management boasted by logistics 4.0, human action can be balanced out with the calculation of machines to optimize things like production, delivery planning, etc. Having advanced AI systems, for example, might make it a lot easier for corporations to anticipate how to manage their supply chain much more effectively.

Connecting People, Data, and Computers

In the past, the consumer market had a way of handling itself. With the invention of computers and the internet, it became inevitable for new ways of handling production, evolving demand, the warehouse processes. The answer to these things is logistics 4.0.

Essentially, we can connect all of these things to create a system of production and delivery that is more efficient and more sustainable. We can cut back on using resources and materials previously necessary and return using a system run by machines that can handle and optimize tasks much better than humans.

Future Scenarios of Logistics 4.0: Three Predictions

Logistics 4.0 will inevitably help us create a business world where we can still mass-produce and ship products globally. The best part about the logistics 4.0 ideas is that they can be done sustainably. In the future, we will need to focus more on how our actions as corporations impact the global ecosystem, not just revenue and profits. 

Now that we have broken down what logistics 4.0 entails, many people might find themselves wondering what this means for businesses’ future. Accordingly, let’s go ahead and discuss three scenarios in the future that are likely to occur due to logistics 4.0. However, keep in mind that these are just predictions and not definitive facts on what will occur in the future.

1. Use of Automated Vehicles

In the future, vehicles are likely only to become more sustainable and automated. This includes the heavy use of renewable energy sources and even the elimination of human drivers. As far as corporations should be concerned, this also means that their production processes in the future with a logistics 4.0 system will include these things.

However, this will require new infrastructure that allows both corporations and private retail buyers to invest in automatic vehicles. In reality, this may still be several years ahead in the future. The technology has already arrived and is being tested, though.

What Is Logistics 4.0?-2

2. Taking Manual Labor out of Production Warehouses

As things begin to become more and more digitalized, we can predict that manual labor will no longer be needed in production warehouses. In fact, automation might become so good that it eliminates human error plaguing warehouse facilities for centuries. Instead, automation can employ people in different aspects, letting executives still invest the same amount for employees, but in different manners.

For example, marketing and business growth will still require a bit of human creativity. New product designs and helping businesses create products that humans want to purchase will likely require a human touch. However, we anticipate the need for humans to be less and less inside production warehouses as a whole.

3. Shifting From Production Warehouses to Predictive Production

This last one might be a little more of a longshot than the previous two predictions. However, if we move over to a fully functional form of logistics 4.0, then predictive production processes might make it so that warehouses themselves are unnecessary.

Instead, we will be working with predictive delivery services that work with smarter production processes eliminating waste of space that would otherwise be needed in the production warehouse. It doesn’t seem that far-fetched for corporations to improve upon how they use space in the future in this regard.

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