Tracking Systems: How to Leverage Data for Better Logistics Management

applandeo
5 min readJun 5, 2023

In today’s information-driven society, data holds the key to growth. For companies aiming to conquer their market or even keep up with competitors, a data-driven approach is essential. This is particularly true in the logistics industry, where even small operational changes can determine the success or failure of a business.

Our latest blog post, “Tracking Systems: How to Utilize Data for Enhanced Logistics Management,” delves into the significance of implementing tracking systems to gather and optimize data in logistics companies. Discover the fundamentals of tracking systems, their invaluable applications, and how they can drive improvements in your logistics operations.

Tracking Systems

Tracking systems comprise intricate networks that integrate data collection hardware and software for handling large datasets. Equipped with built-in, plug-in, or wearable sensors, these systems can monitor various aspects of goods, vehicles, and even personnel. From location tracking to meeting specific conditions, tracking systems offer versatility to meet the unique needs of your company.

Types of Tracking Systems

The logistics tracking systems market is teeming with innovation, offering an array of solutions each year. From GPS and RFID to geofencing, RTLS, and barcodes, staying abreast of the latest technologies can be a challenge. Our blog post provides a quick overview of available tracking solutions, accompanied by examples of industry leaders who have successfully implemented them.

Vehicles

No matter whether you operate a fleet of trucks, vessels, or specialize in car rentals, incorporating location tracking is crucial. GPS, a global satellite-based navigation system, enables real-time tracking and facilitates monitoring of costs, driving hours, and mileage. Discover how Home Clean Heroes, a U.S. company offering cleaning services, leveraged a customized vehicle tracking solution to optimize routes, increase customer capacity, and boost margins by up to 65%.

Packages/Shipments

In the era of e-commerce, real-time tracking of shipments is indispensable. Barcode tracking systems enable efficient monitoring of package movement throughout the supply chain. Learn from the success of InPost, a transportation company known for its network of pick-up lockers, as they keep customers informed about their parcel’s journey, enhancing transparency and convenience.

Inventory

Taking inventory tracking a step further, RFID (Radio Frequency Identification) technology utilizes track tags to automate identification and data capture. RFID tracking systems enable precise monitoring of inventory movement within warehouses and are also employed to deter theft in retail stores. Walmart, a retail giant, implemented RFID technology and AI to enhance inventory visibility, reduce out-of-stock levels by 16%, and offer convenient grocery pick-up services.

Equipment and Tools

If your business necessitates tracking both location and condition of machinery, asset tracking systems provide the answer. Specialized sensors offer insights into equipment usage, mileage, and condition, enabling proactive planning of maintenance and repairs. Furthermore, inventory management software can measure atmospheric conditions, vibrations of construction equipment, and even determine whether a machine is currently in use or being transported.

People

With mobile devices becoming ubiquitous, tracking employees and their work has become a reality. Biometric tracking systems, including wearables, mobile apps, and GPS tracking software, facilitate real-time locating and automatic tracking of objects or people. Courier and warehouse worker tracking exemplify the applications of biometric tracking systems, ensuring efficient operations and optimizing customer service.

Pets and Farm Animals

For logistics businesses involved in transporting livestock, tracking systems play a crucial role. RFID microchips fulfill veterinary requirements in markets like the European Union and the United States. Additionally, combining GPS trackers with geofencing solutions helps keep livestock within specified boundaries on unfenced pastures. Tracking systems can also be employed to monitor the location of pets, ensuring their safety and well-being.

How Tracking Systems Enhance Logistics Operations

Logistics tracking systems offer a plethora of technologies and possibilities for gathering diverse data. But how can this data be effectively leveraged to improve your transportation or warehouse business? Let’s delve into the key benefits.

Safety Improvement

Safety should always be a top priority. By incorporating a GPS vehicle tracking system, you gain the ability to monitor fleet routes, driver working hours, and habits. This enables quick responses to unpredictable road conditions and the provision of assistance when needed. Tracking systems also ensure employee well-being and fleet maintenance.

Cost Optimization

Every business aims for maximum profits. Implementing vehicle tracking solutions allows you to efficiently monitor and manage your fleet, ensuring optimal vehicle utilization and minimizing unnecessary expenses. These systems help identify inefficiencies, reduce idle time, enhance fuel efficiency, and subsequently decrease operating costs and environmental impact.

Road Dispatch

Fleet management systems go beyond vehicle tracking and can automatically plan optimal routes for your transportation business. Custom logistics software integrates GPS vehicle tracking systems with AI that assesses traffic conditions, weather, vehicle availability, and workforce capacity. As a result, route planning software dynamically optimizes your entire fleet, reducing carbon emissions and saving on fuel and labor costs.

Real-time Location Tracking

If your business requires constant monitoring of assets, Real-time Locating Systems (RTLS) provide up-to-date information on the whereabouts of various entities such as couriers, packages, vehicles, machinery, and even children or pets. This data empowers informed decision-making, operational optimization, and ensures the movement and safety of valuable assets, people, or animals.

Notifications and Planning

Managing equipment conditions, necessary repairs, and check-ups can be a daunting task for large logistics companies. Fortunately, tracking software simplifies this process by consolidating all the information in one application and allowing you to set notifications for your maintenance team.

Better Customer Experience

Customer experience reigns supreme. Logistics tracking software plays a pivotal role in treating customers as kings by providing real-time updates, enhancing delivery accuracy, and fostering trust and transparency. With easy access to package tracking, location information, and estimated arrival times, customers enjoy a seamless experience. Simultaneously, you gain valuable insights for process optimization and delivering faster, punctual customer service.

Summary

Cutting-edge technologies abound to help you elevate your logistics business and take the lead in your industry. Whether it’s GPS vehicle tracking systems, RTLS, barcodes, or employee tracking, you can choose the solutions that best suit your field. These advancements ensure cost-efficiency and the safety of your assets and personnel.

If you already have an idea for a custom logistics tracking solution and need assistance with its development, our team of logistics software experts is ready to help.

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