In a Just-In-Time (JIT) global market economy, the pace and precision at which raw materials and finished goods move through the supply chain directly impacts cost, not only of the landed material costs or the shipping itself, but also the secondary and tertiary cost effects of these delays and inaccuracies can have down the line. The real-time comprehensive information provided by GT Sense results in a staggering overall improvement in efficiencies and can drive ROI to recovery periods in less than a year.
Studies by MIT, Stanford, A.T. Kearney, and the Aberdeen Group have quantified the improvements in logistics and cost savings from real-time cargo monitoring. Their results have yielded an average savings of anywhere from $300 to $1,000 per container trip when using advanced supply chain digitization, for an average trip cost that is a small fraction of this. In industries where competition is stiff and margins are slim, reducing overhead costs, such as insurance, spoilage, and theft, and increasing the speed at which cargo moves becomes an attractive method of increasing profitability.
Much as the use of bar codes, known as Universal Product Codes (“UPC”), have revolutionized the retails and inventory process, so will supply chain digitization transform global supply chain management. Globe Tracker offers the capability to provide the same level of precision and granularity with systems such as bar codes. The integration of these capabilities inevitably results in a paradigm level shift as to how businesses can management their global supply chain to drive quality and increased profitability.
At Globe Tracker, we believe that someday soon all containers will have tracking and monitoring devices on them and the primary market driver of the digitization of the global supply chain is the reality that it remains a highly interactive and manual process. The market is ripe for a major transformation and early adopters will overtake those companies who do not embrace this technology as rapidly. Talk to Globe Tracker today about transforming your supply chain.