February 26, 2020

Budget 2020

BUDGET 2020

Budget 2020

Finance minister Nirmala Sitharaman delivered her Union Budget 2020-21 speech on February 1.

Higher logistics costs lead to higher export expenses, which impacts the intensity of Indian products in foreign markets. While the logistics sector is ruled by transportation, containing 85% as worth, trailed by warehousing that contributes the rest 15%, key changes in the transportation can help to significantly cut down the general logistics cost.

Consequently, the budget has accompanied various positive updates for the logistics and transport sector. INR 1.7 lakh crores of funds are allocated for logistics and transportation infrastructure including railway infra upgrade, and investments in warehousing and logistics. Budget 2020 Going ahead, we anticipate a progression of strong activities, as compelling execution of National Logistics Policy (NLP),

Rationalization and relaxation of duties for warehousing , push for digitization in the sector & boosting green supply chain initiatives and spotlight on making a skilled workforce for logistics and supply chain. Explaining further on the key regions of change as under:

1. Focused approach for logistics development :

While there are a ton of logistics infrastructure projects in the pipeline declared in this budget with a goal of improving transportation network, an engaged way to deal with logistics would assist with quick developments. The Union Budget also declared the apportionment of Rs 1.7 lakh crores for transport infrastructure, promising to monetize 12 highways, spread over 6,000 KMs, by 2024. A critical way will be to push towards infrastructure development, which, besides the roads and railway network, will also include creating supporting bases in terms of warehouses, storage facilities etc.

2. Streamline process to GST and warehouse leasing :

While the execution of GST has streamlined a few procedures, it has affected the renting of warehouses. Tax subsidies and relaxation in the indirect taxes for warehouse renting can support the development of 3PL providers and warehousing operators. India has an estimated capacity of 162 million MT of agri warehousing, cold storage, reefer van facilities etc. NABARD will undertake an exercise to map and geo-tag them. With introduction of National Logistics Policy (NLP) under which development of warehouses would provide impetus for increasing warehousing supply which is expected to rise from 211 million sq. ft in 2019 to 379 million sq. ft in 2023. Net absorption of 36 million sq. ft in 2019 will get a further boost.

3. Encouraging Digitization (Automation) :

In a bid to ramp up the pace of the Digital India initiative, the government has now increased the outlay for the budget to INR 3,958 Cr for the financial year 2020-21 which will include the promotion of automation and digitization for the logistics industry. While a few global players, driven to a great extent by the eCommerce boom, have actualized implemented the latest technologies like IoT, AI based Transport software and Cloud Logistics ERP System for smart warehousing and logistics, supporting policies and encouragement for digitization is currently the need of great importance. To guarantee India figure out how to reach at objective of reducing Logistic expenses to 10% of GDP from the current 14%, executing tech-enabled smart logistics solutions are important.

4. Developing Skills, A key challenge :

Lack of un-qualified labor stays a big challenge for the industry. With technology and innovations in the cold supply chain, specialized warehousing, and digitization, it has become compulsory to have a skilled workforce that is well prepared and productive. While logistics keeps on being one of the biggest employment generators, a large portion of its labor is utilized in transportation. Specialized and fast developing sectors catering pharma, agriculture, meat and dairy, remain crippled with a handicapped workforce.

5. Promoting Green SCM :

Road Transportation stays probably one of the biggest contributors of air pollution, particularly in urban regions. While freight forwarding across railways and roadways is a more environmentally feasible option, these are at present ill-fitted and damaged with long journeys and delays.

Moreover, setting up of a green supply chain, with reasonable warehousing, utilization of electric vehicles and recycling of packaging material and so on., is yet to become standard and cost-efficient.

LogixGRID’s complete logistics software and transport software are capable to manage all types of logistics business and operations single handedly. LogixERP (Cloud Logistics ERP) which can handle your supply chain demands and warehousing operations and can be integrated easily with all the third-party software to give more insights about your business along with all the invoicing, billing and accounting. Logix.Network (AI-Based Transport Management System) is an advanced TMS for Manufacturers and Shippers to manage complete Inbound and Outbound Logistics and gives an upper hand to manage their operations more efficiently and gives upper hand amongst their competitors by saving cost and operational time.

February 17, 2020

Close Watch on Logistics & Supply Chain Evolution over a Decade

LOGISTICS SUPPLY CHAIN EVOLUTION

Logistics Supply Chain

Logistics and Supply chain innovation is consistently developing over a decade, changes to address the issues of the worldwide supply chain, and offering huge advantages. We will take a close watch on Logistics and Supply chain Evolution happened over a decade.

1. Paperless Warehouses Will Influence Automation :

Ground breaking 3PLs need to use the immense data flow through their logistics and supply chains to settle on informed choices, better foresee future demands, potential issues, and manage workflows to satisfy such demands.

Sadly, some supply chains keep working with an obsolete processing model, using paper. Who needs paper in the present time? 3PLs that desire to remain advanced must develop their operations past the nuances of paper-based tracking and deploy fresh framework and the digitalization took place.

2. Growing E-Commerce Customer Expectations :

The normal volume of online business packages has expanded, and with all associations hoping to accomplish 100% transparency, clients hope to know it all. The expectations of customers expand further keep on growing, and customers play an imperative job in building brand reputation.

3. Business Intelligence and Analytics Will Govern 3PL :

The majority of shippers and 3PLs, concur analytics are important to progress. The rationale for these issues may change, including a lack of analytics information, inability to understand data, and poor arrangement of data.

4. Integration Between Systems Will Finally Get Grip :

Integration stands apart is another trend influencing supply chain innovation all through the coming year. As organizations search for better approaches to deliver more value to customers and B2B partners, the integration will be critical to streamlining picking, packing, and shipping operations.

To stay efficacious, shippers and 3PLs should guarantee integration with various sets of systems, including supplier and B2B partner connection technologies, such API and EDI frameworks, third-party picking, packing, and transport software, customer e-com business sites, for example, marketplaces, online shopping carts. While a few shippers may have at least one of these integrations, only the full set of integration can guarantee success.

5. Dynamic Workflows Will Enable More Improvement :

When standard rules were set to govern logistics and supply chain management. Sadly, the continuing evolution of the supply chain and growing interest for more web-based business development and abilities require shippers and other supply chain partners to work together and process more orders faster.

In other way systems must advance, utilizing AI, machine learning, virtual and augmented reality, robotics, and other trend-setting innovations, to empower ceaseless improvement. Such capacities are just conceivable through powerful work processes that adjust to the changing necessities of the supply chain.

6. Billing Automation to Enhance Accounting :

Another prevailing trend to expect in 2020 returns to automated billing and accounting. Previously, the utilization of auditing processes and accounting software stood apart as a key area of added value for customers, and the market hadn’t grabbed hold of the opportunities for automation in accounting.

The right applications of technology, inclusive of analytics, Cloud Logistics ERP, advanced Transport Management Systems, and automation, will make the biggest difference and help shippers stay competitive and survive.

LogixGRID’s innovative cloud-based logistics software is capable of managing your whole logistics and supply chain operations with ease. LogixERP is fully capable of handling all aspects of your logistics business from automating operations to automating billings and accounting, invoicing and optimizing business workflows.

Logix Platform is fully customizable according to your organizational needs. It comes up with e-commerce and carrier integrations to enhance your business experience. Also, Logix Platform can easily help supply chain managers with Digital Supply Network by predictive AI where enterprises can easily avoid such catastrophic events and keep their business running without hampering customer experience.

Are you looking for the best eCommerce Logistics Platform to manage the logistics operations of your eCommerce/Shopify store?

eComGlobus is an All-in-One eCommerce logistics platform that offers advanced eCommerce logistics features which will support you to manage your warehouse operations, fulfillment, procurements, last-mile delivery, return and refund management.

February 6, 2020

5G Technology is reforming logistics business

5G TECHNOLOGY

5G Technology

The next mobility revolution is here, and it could profoundly change how you offer logistics services. It’s Known as 5G (the fifth era of mobile innovation), a wide range of smart phones, connected gadgets will see immense upgrades in speed, responsiveness, capacity, and different regions.

It will be broadly received over numerous industries, including logistics, and can possibly change how your logistics business currently works.

Before getting into the particulars of how logistics service providers (LSPs) can be benefited from 5G, it worth discovering the general advantages that it gives.

1. A Brief Overview of 5G Benefits :

5G gives much preferred mobile network over 4G, over various regions:

Speed : 5G network will permit gadgets to download data 100 times quicker than existing 4G services, empowering them to download huge files instantly.

Capacity : 5G will have a lot more extensive transfer speed, permitting devices to transfer and download different streams of complex information at the same time.

Latency : The connection speeds across 5G are a lot snappier than existing systems. Thus, you will get a lot quicker response to anything that you do on a cell phone.

Slicing : “Network Slicing” implies that cell phones will have the option to utilize various 5G networks at the same time, incredibly expanding the “density” of data. For instance, one network could concentrate on location awareness, while another manages environmental monitoring.

Let’s delve into how Logistics Service Providers (LSPs) will have the option to utilize the fifth era of cell technology into logistics business.

2. Real-Time Tracking for Shipments :

Numerous logistics organizations as of now rely on the Internet of Things (IoT) devices to follow the location of shipments utilizing a combination of GPS and wireless connectivity. 5G technology in logistics takes that to the new level, as low latency implies constant, up-to-the-second tracking of goods.

3. Real-Time Tracking and Detailed Data at the Distinct Product Level :

It’s not only shipments that you can keep track of, however 5G IoT devices can likewise be appended to individual items for exact identification and location. This can altogether improve warehouse center racking, stock management, and picking and packing processes, with a definite comprehension of precisely where a particular item is consistently. Likewise, tracking innovation will improve warehouse management, while streamlining inbound and outbound distribution.

4. Revolutionary Last-Mile Delivery :

LSPs have quite struggled with the “Last-Mile Delivery” issue – how to maximize the speed and proficiency of getting products from a local distribution center to their final destination. 5G can assist by supporting new innovation like drone deliveries. A remote pilot could fly a drone utilizing a video and haptic input; on the other hand, drones may even turn out to be completely autonomous, with 5G supporting their sensors and communications.

As should be obvious, 5G technology in logistics is incredibly empowering. It’s a great opportunity to embrace the change and perceive how your logistics service providers can utilize 5G technology in logistics to make an upper hand.

LogixERP creates a strong network for logistics offerings, tracking, POD authentication, and settlement inception. By interfacing a worldwide network of multi-modal transporters to deal with each move, LogixERP joins carriers – from across the logistics industries – with first and last-mile deliveries and cost saving.