icon

Software and new technology in logistics

English

25 November 2021

Today, the environment in which we live is characterised by external competitiveness. From the simplest operation to the approach of strategies within the company, such as suppliers and customers. This means that the development of technology in software has been a fundamental key to be able to optimise these operations and promote automation and new configurations at the level of information flow.

Companies have also rethought their entire organisation, their activities and systems, from customer service and commitment to the fulfilment of their commitments as a company. Right down below, we explain in detail 3 (three) of the main new technologies applied to logistics activity now a days.

EDI systems (Electronic Data Interchange)

On the one hand, we have the EDI software or electronic data interchange. This software t is used for the electronic exchange of documents, which, since the year 2000 (two thousand), has been consolidated as the basis for networked business relations in Europe. This is because it can be adapted to the needs of each company. It is used in processes such as the following:

  • Order forecasting.
  • Order confirmation.
  • Goods dispatch notifications.
  • Goods delivery notes.
  • Some of the electronic data interchange that exist at European level include the following: ODETTE (Organisation for Data Exchange by TeleTransmission in Europe), DISH (Data Interchange in Shipping) and AECOC (Spanish Association of Commercial Coding).

The main advantages of the Electronic Data Interchange software are:

  • Saving time in processes such as those mentioned above: order confirmations, dispatch notifications, and many more.
  • The reduction or almost elimination of human errors.
  • The reduction of costs or business expenses (either internal or external).
Software

Warehouse Management System (WMS)

On the other hand, WMS are computerised warehouse management systems that are responsible for the automation of processes within the warehouse itself. Their functions include some such as the following: the receipt of materials, the materials’ storage, the preparation of orders, the dispatch of orders and the counting system.

As a consequence of the automation of processes involved in the application of warehouse management systems, they control in real time all the operations carried out in the warehouse. It is increasingly common for these programmes to be incorporated as management models for large and small warehouses.

ERP (enterprise resource planning) and SCM (supply chain management)

ERPs or enterprise resource planning are integrated data software that manage the company’s internal resources. That is: material, personnel, budgets, among others. They provide valuable information for decision making processes within a company. And it is about the internal management of the company to optimise its departments and functions, from the most basic all the way to the top.

While integrated software such as SCMs or supply chain management manage the flow of external information coming into the company itself. That is: suppliers, logistics operations, customers and many others. This type of management allows the supply chain to be optimised from stock to the distribution of goods.

Benefits of new software in logistics

So, because the logistics sector is facing new challenges every single day since technology started evolving so fast, in order to be able to adapt to these new changes, we can find different kinds of benefits of applying these technologies within the different phases of the supply chain, such as the following:

  • A greater ability to identify operations that can be improved. As well as the strategies employed.
  • Optimisation of those operations and strategies applied.
  • Improved visibility across a new value chain.
  • Better decision making.
  • Improved response time to different problems.
  • Improved stock management and storage processes.
  • Reduced costs and budgets.
  • A more accurate and agile distribution.
  • Adaptation to different market needs.
logo
You can also follow us in
social media
Linkedin
You can request a custom quote for your company
Are you looking for a
specific topic?
Contact us

Comments (0)

There are no comments yet. Be the first!

Leave a comment

Latest News

The current day-to-day news about the logistics world with our articles.

Trucks and trailers: logistics

There are different types of trucks and trailers that are used to transport goods from one place to another. There are a few of industries that work with these and logistics is one of the largest industries in the world that transport materials. Trucks and trailers can capacitate different quantities of goods. Even though the needs […]

4 Reading min

Read more

Logistics Management and its importance

By definition, logistics is a set of methods and procedures necessary and designed to achieve the organization of a company, logistics management, in order to carry out its goals or objectives. We can say that logistics management is a fundamental part to achieve efficiency in the supply of products or merchandise, from its point of […]

4 Reading min

Read more

Reverse logistics: recycling and sustainable packaging

Industries, nowadays, generate more than 30 tons of waste every year in Spain, according to the National Institute of Statistics (INE). Individuals generate more than 20 tons in the same period of time. This is where reverse logistics comes into play. Reverse logistics is that which facilitates the creation of waste collection channels. These channels […]

4 Reading min

Read more

Intermodal transport and multimodal transport: differences

In logistics, transport is characterised by the use of different means to send goods. Whether by sea, air or land, it all depends on the type of cargo. Below we explain the differences between intermodal transport and multimodal transport to find out how each of them can help us when transporting our goods. Knowing how […]

4 Reading min

Read more

Software and new technology in logistics

Today, the environment in which we live is characterised by external competitiveness. From the simplest operation to the approach of strategies within the company, such as suppliers and customers. This means that the development of technology in software has been a fundamental key to be able to optimise these operations and promote automation and new […]

4 Reading min

Read more

Military logistics: what is it and how does it work?

Military logistics has been part of the history of mankind and has evolved to become a science of application to different processes of the Operational Forces. Many of its theories and applications have been efficiently put into practice in the business world. In this article we will talk about the logistics cycle, the principles of […]

4 Reading min

Read more

Slotting: warehouse productivity

Slotting is the process of determining the best location of goods within the warehouse. This improves the warehouse productivity. A good slotting strategy is necessary to ensure the efficient installation of goods. For example, decreasing delivery times or more expensive warehouses mean that companies have to optimize the performance of their storage space to remain […]

4 Reading min

Read more

Freight broker agent: meaning

When it comes to carry freight, there are so many things that could go wrong: delays, damage, miscommunication…A freight broker is the one that facilitates the communication between carriers and shippers, in order for the freight or cargo to arrive safely and on time to its destination. What is a freight broker responsable for? A […]

3 Reading min

Read more

3 ways a TMS can improve the Supply Chain

Having a reliable software solution nowadays for your transportation management is a must; it is a necessity. Even if many users underestimate the importance of a TMS for their business. A Transportation Management System is an irreplaceable tool that, under the pressure of the pandemic crisis, has been able to reduce the transportation spending in […]

4 Reading min

Read more

Relationship between logistics and supply chain management

A supply chain covers the production and distribution of goods and services to all types of customers. And, when well executed, both logistics and supply chain management can give companies a competitive advantage and bring value to their customers. Supply chain logistics is the one that coordinates the storage and shipping of goods (and services) […]

4 Reading min

Read more

Trucks and trailers: logistics

There are different types of trucks and trailers that are used to transport goods from one place to another. There are a few of industries that work with these and logistics is one of the largest industries in the world that transport materials. Trucks and trailers can capacitate different quantities of goods. Even though the needs […]

4 Reading min

Read more

Logistics Management and its importance

By definition, logistics is a set of methods and procedures necessary and designed to achieve the organization of a company, logistics management, in order to carry out its goals or objectives. We can say that logistics management is a fundamental part to achieve efficiency in the supply of products or merchandise, from its point of […]

4 Reading min

Read more

See all articles