The Indian Logistics sector is undergoing a phenomenal transformation on account of several reforms and technological advancements over the years. As reported by the Economic Survey, the Indian logistics sector provides employment to over 22 million people and improving the sector would assist in a 10% decrease in indirect costs. Consequently, a growth of 5-8% in exports is anticipated. Furthermore, the Survey predicts that the worth of Indian logistics market would reach to US$ 215 billion in next couple of years.
With e-Commerce expanding its operations across the country, and with the parallel rise in demand for space, the warehousing sub sector is estimated to pull in US$ 10 billion in the next 4 – 5 years. In reference to this, retailers like Amazon have expanded their logistics space. With addition of around 200 million sq ft warehousing space across India, total supply is expected to nearly double by the next 3 years.
As a result from the constant evolution on institutional reforms in the logistics sector, India has observed a total growth of 8-9% in the transportation sub sector in the last ten years. The country’s progress in transport however varies by sub-sector, with road, air and sea transport moving ahead steadily. At present, around 1.5 million trucks operate on the Indian roads and the number of trucks increases around 10% a year.
Indian Logistics Industry: Technology Trends and Skills
The Indian Logistics sector, over the past few years, has observed several trends which helped fostering the industry, and in turn the country’s economy. In this regard, the Indian logistics market has been observing a measurable emphasis on technology lately. Companies have begun to embrace digital revolution and automated technology. They are now working towards automating and digitalizing several backend as well as on floor activities, leading to cost and time efficiency and consequently, more productivity.
Read on to understand the technological trends those have been followed by the industry and how they have facilitated its overall development.
Machine learning has revolutionized in the industry to such an extent that the involvement of machines is now indispensable. Machine learning is not only contributing to the growth of the sector but is also creating employment by introducing a whole new range of job opportunities such as goods packaging machine operator, grab unloader, crane operator, vessel operator as so on.
Artificial intelligence is picking up its pace in the logistics realm and is beginning to become an essential part of it. Artificial Intelligence now has a holistic impact on the sector as companies are starting to use AI extensively, in every stage. The current trends are pointing towards a lot more potential that can be tapped out of Artificial Intelligence
More and more businesses are taking advantage of something called process automation, which helps organizations integrate the processes and systems required to make order-taking and fulfilment more efficient, The global supply chain is continually furthering and the advances in technology, more specifically automation, prove to save materials and energy as well as enhance the quality and accuracy of the business processes. Moreover, it ensuring time and cost effectiveness, speeding up the growth process. Logistics managers are bringing in the best value by focusing on more important issues as automation is now taking care of everyday courses of action.