In this course, the final activity required students to examine an aspect of successful supply transport management within a competitive market. I examined the internet of things as an emerging technology that is impacting transportation and logistics. The objective of this paper is to discuss and understand how the internet of things has its application in transportation and logistics management.
Knowledge/Application Area: Facility Location
This paper fits within the knowledge application area of facility location because as a supply chain manager, one must understand the right location for a manufacturing facility. This should be where the set-up will provide sufficient access to clients, staff as well as transportation. The production unit is the point where all the inputs, including materials, skilled workforce, and equipment, come together to create finished materials for consumption.
Decisions regarding the place to set up a plant play a critical role in the strategic planning and design of the preferred supply chain networks. Location is a vital component of the internet of things (IoT) as a technology that allows organizations to maximize their returns while minimizing their costs. Today, the internet of things has made it possible for managers to make such choices with much ease. Integrating location data as an additional information point for input into the aspect of analysis allows firms to get valuable insights which can lead administrators into making more informed decisions.
Methodologies: Simulation Modeling and Analysis and Other Descriptive Models (i.e., Forecasting)
This paper matches the two methodologies which include simulation modeling and analysis as well as information technology and other descriptive models, that is, forecasting. Organizations in the transportation and logistics industry often aim at running their activities in the most cost-effective manner but within their constraints. Companies operating in this field need to have a clear picture of the whole supply chain, including the ability of respond to any changes that may impact profitability.
Access to crucial present and real-time data plays a critical role in the efficiency of supply chain and transportation management through all modes including air, ground, rail as well water (Ben-Daya et al., 2019). One of the methods that managers use includes monitoring the location and progress of activities using IoT which offers real-time information.
IoT is net of physical gadgets that are linked to each other and correspond with other devices via the internet to facilitate the creation of applications and intelligent services. The system allows customers, logistics and transportation businesses to locate their products at all stages of the transportation process, as well as monitor transport conditions, including temperature, humidity, and vibrations (Dhumale et al., 2017). In the transport and logistics realm, IoT heightens the supply chain visibility, responsiveness, as well as compliance. Using geographical positioning system (GPS) innovation allows transportation and logistics companies to track their vehicles, equipment, and goods any time of the day and provide automatic updates for action.
Planning Levels: Tactical
This paper represents the tactical planning level which is critical for any company that values the need to expeditious responses. Tactical planning involves the steps that a company needs to take in order to achieve the goals stipulated in its strategic plan. Tactical plans help companies to decide the course of action to be taken to accomplish goals and targets in real-time through short-term outcomes. IoT amalgamates multiple subsystems and technologies to facilitate connectivity by anyone, anytime, anywhere, and with any device. The devices used in the system allow logistics providers to have higher operational efficiency levels (Dhumale et al., 2017). IoT plays a significant role in helping companies to enhance their competitiveness and has significantly influenced the evolution of logistics and transportation networks.
References
Ben-Daya, M., Hassini, E., & Bahroun, Z. (2019). Internet of things and supply chain Management: a literature review. International Journal of Production Research, 57(15-16), 4719-4742. Web.
Dhumale, R. B., Thombare, N. D., & Bangare, P. M. (2017). Supply chain management using internet of things. International Research Journal of Engineering and Technology, 4, 787–91. Web.