Delve into the dynamic world of automobile logistics with insights from Sanjay Karkera, Senior GM, Flyjac Logistics. Discover how technology, shifting consumer trends, and the aftermath of COVID are reshaping the industry, prompting innovative solutions for seamless and timely deliveries.
In recent years, COVID has significantly transformed the automobile logistics landscape, propelling the industry towards advanced technologies and emphasising digitization
and automation. RPA, IoT, AI, and AR/VR saw notable advancements. This evolution extends beyond logistics, impacting shopping habits, manufacturing approaches, work dynamics, and economic functions.
The future of automobile logistics holds promise for transformative trends
Changing buying patterns in Tier 2, Tier 3, and Tier 4 markets require closer proximity for customer/3PL relationships, prompting warehouse and transportation facility establishments. India’s emergence as a cost-effective global manufacturing hub further revolutionises supply chain and logistics dynamics in the automobile sector.
Challenges
Logistics companies in the automobile sector face challenges, including overstocking inventory and disrupting storage planning. Inventory accuracy is crucial, prompting the development of specialised methodologies by 3PL to prevent damage and theft, particularly for high-value shipments. Obtaining accurate feedback from dealers is vital for smooth deliveries. A shortage of competent manpower hampers digitization and automation adaptation. Meticulous daily planning is required for managing after-market SKU variations and order surges due to new models. ERP integration reluctance from OEMs hinders real-time information flow and potential time and cost savings. In navigating these challenges, industry players must proactively seek innovative solutions. Whether through enhanced training programs for manpower shortage or fostering closer relationships with dealers, a resilient approach is crucial. The ever-evolving landscape demands adaptability and foresight, requiring continuous efforts to embrace and integrate emerging technologies.
Efficient deliveries
Ensuring efficient and timely automobile deliveries involves investments in state-of-the-art facilities with automation for optimised inventory management. The focus is on simplifying logistics processes, enhancing efficiency, and reducing costs through transparency and visibility. Ongoing efforts include improving accuracy, services, safety, and adapting to evolving technologies like ABOT, ATU, and VR. Complaint handling, with a constant touch with dealers through customer surveys, aims to reduce PPM. Investment in training programmes equips employees with modern logistics skills, emphasising digital tools. Collaborative alignment with OEMs and component manufacturers enhances service levels and visibility in this dynamic industry.
Tech advancements
In the dynamic landscape of automobile logistics, technological strides have revolutionised operations. The introduction of a new TMS system, equipped with GPS and mobile devices, optimises road transport management and customer orders. Milestone capture, EPod, and proactive exception management enhance efficiency. A customer portal integrates real-time insights. AI-driven analytics, augmented reality, and cybersecurity automation elevate processes. Tools like ABOPT and ATU increase productivity, while a virtual reality training centre enriches training, retention, and safety culture, reducing accidents.
Evolution
The future of automobile logistics holds promise for transformative trends. “Make in India” positions the nation as a global manufacturing hub, reducing imports and boosting exports. Significant growth in electric vehicles enhances sustainability. The 2021 vehicle scrappage policy aims to reduce emissions by replacing unfit automobiles. Digital transformations, including IoT, AI, and big data analytics, optimise supply chain operations. Ongoing road and warehouse infrastructure developments in India support the growing automobile sector. The industry anticipates a transformative 2024, contributing to the evolution of mobility in India.
