Analysis: Emerging Technology Effects on Freight Industry OTEC1016

This report, prepared by Emmanuel OluwasegunJikiemi, evaluates the impact of emerging technologies on the freight industry. It explores the evolution of digital developments, highlighting key technological trends such as cloud computing, the Internet of Things (IoT), social media networks, artifici...Read More

AN EVALUATION OF THE EFFECTS OF EMERGING TECHNOLOGY ON THE
FREIGHT INDUSTRY
OTEC1016 ASSESSMENT
STUDENT’S NAME:
Emmanuel OluwasegunJikiemi
STUDENT'S NUMBER:
001257398
WORDS COUNT: 3000
1

1.1 INTRODUCTION
A paradigm shift in the transportation industry is currently taking place, which corresponds to
changes in energy use, digital technologies and behavioral patterns. These developments have an
impact on how the logistics and freight sectors of the economy operate. To profit from the
opportunities and advantages that this shift brings, it must be thoroughly understood.The study
discusses the possibilities offered by newly developed digital technologies for supply chain
management. We eagerly await the outcome of today's decision. The review uses a wide range of
academic and practical material. The UK government has been given advice on how to use
digital freight to its advantage and improve the country's global competitiveness.Below is a
summary of the report. Section 2 summarizes major technological developments in freight
transport. A brief history of freight digitization is first reviewed, followed by an extensive
description of current systems. The report centers on the initial situation of technology landscape
in the freight industry. In future to come, some technologies may evolve to a higher level, while
others may not.The recommendations in the final paragraphs of Section 3 address industry
sustainability and highlight four key areas where the government should focus on improving the
UK's international competitiveness. A summary of how technology is impacting the freight
business can be found in the last section.
2.0 The Impacts of Emerging Technologies on The Freight Sector
2.1 The Evolution of Digital Developments
The transportation industry is undergoing a paradigm shift due to changes in energy use,
digital technologies and behavioral patterns. They begin to experience these changes.
Table 1 summarizes the historical progression of FTL digitization from the 1960s to the
future.
Typical
FTLsyste
ms
Inventory control,
accounts
receivable, and
management
Transportplanni
ngapplication,
MRPI
TMS,
WMS,MRPI
I
ERP,
DSSCR
M
ERPII,
internet-
based
ELMor
e-
Internet-
basedco
mmunity
systems,
mobileap
Industry-
wideIoT
platform,pri
vate
andpublicbl
2

logistics
network
ps ockchain,
smart
supplychains
ystems
Emergent
ITtrends
Independent
programs
Applications
that operate in
silos
Portfolios of
applications
Integrate
dsystems
,web 1.0
Object-
oriented
design
and web-
based
services
Multi-
scaleeco
logies,cl
oudcom
puting,
web
2.0,mob
ileand
socialne
tworkin
g
Blockchain,
Web3.0,IoT
,
AI,
immersivete
chnology
Integrati
onfocus
Practical Practical Practical a
company's
internal
end-to-end
integration
External
integrati
on,exten
dedvalu
echain
Multi-
enterprise
,collabora
tivevalue
network
Distributedne
tworkintegrat
ion
andautomatio
n
Businessa
pplication
Transactionauto
mation
Businessfunctio
nautomation
Automation
for
desktops
and
workgroups
Business-
wide
automatio
n
Industri
alsystem
automati
on
Cross-
industrya
utomation
,looselyco
upledflexi
bleconfig
uration
Insight-
drivensystem
sleveraging
bigdata
analytics,vis
ualisationtec
hniquesandm
achine
intelligence
Supporti
ngcomp
utertech
nology
Mainframecom
puters
Mini-
computers
computer
systems
and local
area
networks
Enterpris
e-
widecom
puting
Intern
etand
webpl
atfor
m
Internet
andweb,
mobilepl
atforms
Blockchainen
ableddistribut
ednetwork,
5Gcommunic
ationnetwork,
quantum
computing
Consistent with Merali et al. (2012), we will list the following characteristics of ICT
trends in the FTL region:
 Connectivity (between people, objects and devices);
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 Data and processing power of garage storage rooms;
 Quantity and type of information sent; Information transmission speed (rate and
quantity).
When we photographed contemporary FTL virtual structures, we found that many heterogeneous
structures coexisted and communicated with each other. Depending on the situation, there may
be varying degrees of interdependence and interconnection. As digital connections between
businesses and their supply chain partners must take many forms, current technological
advancements have made virtual connections more flexible and affordable, but they also create
problems for businesses. The open nature of complex buildings makes effective ICT deployment
difficult and challenging. The development of various software programs and standards is
fragmented, there are interoperability issues between different structures, technical expertise is
lost, and implementation time and cost are all issues. Emerging technologies are becoming
increasingly difficult due to expanding ethical, safety, environmental and legal challenges. The
ability to manage the mix of ICT structures is essential to ensure the steady flow of statistics and
substances in the supply chain. To ensure that FTL regions remain motivated, these difficult
situations require effective coverage interventions and infrastructure enhancements.
2.2 Major Technological Trends
Seven generations of innovation are expected to have an impact on the UK's freight industry.
Like others, some technologies which includes the IoT and the cloud computing have made
progress, while others are still in their infancy. For the industry, these present both possibility
and disruption.
Cloud computing
A cloud-based, entirely online logistics market is a typical illustration of cloud computing in a
multimodal shipping context (ELM). ELMs are entirely ICT-based web-based structures that
give shippers, businesses, and customers linkages for carriers to use in spot trading.
Compared to other technologies, the era of cloud computing in freight may be the most
advanced. Cost-effectiveness is the most frequently mentioned advantage of cloud computing,
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particularly in terms of reductions in human costs, electricity and cooling bills, and capital
expenditures.(Leimbach et al., 2014). Cloud computing offers SMBs excessive security at the
expense of in-house expertise.Cloud computing offers SMBs excessive security at the expense of
in-house expertise. With cloud computing, businesses can easily and quickly scale up or down,
speeding up the testing and introduction of new products and services. New start-ups may also
arise, and there will undoubtedly be new craft opportunities.
Internet of Things
Real-time routing, dynamic vehicle scheduling, control of trailers, containers, and other heavy
property, cargo monitoring, and inventory control and management inside the supply chain are a
few examples of contemporary IoT installations.The cost of railways can be calculated using
IoT. The most commonly used smart item in the supply chain is radio frequency
identification.The temperature and humidity of frozen or liquid substances, as well as the
mechanical condition of the car, can be determined using an embedded chip in the tag. An
example of a contemporary IoT application is the car2go carrier released by Daimler, which uses
it to remotely display and control motors and allows users to apply shared motors as needed.This
is another business strategy for Daimler, which used to make cars. The adoption of IoT by
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retailers is on the cusp. Sensors test customers before replenishing retail inventory. Shelf sensors
ensure inventory is on display, and cellular payments simplify the checkout process.
A cloud-based ELM (Wang et al., 2010)
Social Media Networks
Freight operators and service providers could use social networks internally for knowledge-
sharing, problem-solving and project management. Equally, they could deploy such networks
externally for tasks such as taking orders and providing instantaneous, personalised customer
service. If this personalised service is further augmented by AI, we may see a radical change in
how freight service providers interact with their customers. Social networks are also a popular
choice for freight service providers to engage with future employees by humanising their brand
image and displaying a corporate culture.
Artificial intelligence
With AI, machines can gather data based on experience, draw conclusions, recognize complex
information, speak to people in natural language, and notify users of strange tasks. Modern
programs include self-sufficient camping, banking, education, predictive maintenance, medical
diagnostics, crime programs, consumer services, and automated enrollment centers. AI is almost
at tipping point and ready to contribute to business plans in six yearsof development (Thomas &
Liang, 2016).
Categories of AI applications in FTL
Table2: Categories of AI applications in FTL
Purpose Use scenarios in FTL Areas of
development
Processinformation Text analytics, natural-language processing, speech
recognitionandsemanticstechnology
Examples:
 real-timevoicetranslationsothatthe
internationalstaffofaregionalwarehousecanund
Computervision
andlanguage
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erstandeachother;and
 image-
processingtoautoselecttheproperboxsizeforp
ackingspecificitemsforshipment.
ActonInformation Robotic process automation that mimics the activity
of a humanbeingincarryingoutatask within aprocess.
Examples:
 automated specific repetitive human tasks
within logisticsprocessessuchas warehouse
orderpicking;
 autonomous forklifts and other self-piloted
equipment
inwarehouseoperations(potentiallyincludingdr
ones);and
 truckplatooning anddeliverybydrone.
Robotics
andautonomousvehic
les
Interact
oninformation
Computer programs that can converse
with humansExamples:
 virtual personal assistants to help
employees do theirjobsmoreeffectively;and
 virtual customer assistants take customer
orders,
andprovidecustomerswithfastandaccuratere
solutions.
Virtualagents
Learn
frominformation
Use completely rule-based programming when learning
statistics. After using published styles to predict
information about fate or to make different types of
decisions in the face of uncertainty, it is a good idea to
automatically search for styles in your data. Improve
numerous programs in some way. Typical supply chain
planning includes forecasting, corrective action
planning and scheduling, operational performance and
consumer insights.
For instance:
Identify trends and associate them with certain
customers and orders.
Before placing an order, please understand the
contents of the order and make your choice.
In last mile delivery, each step of the process is
demonstrated to provide a dynamic routing plan
tailored specifically for each receiver.
IoT is included when equipment or motors need
repair or maintenance.
The computer signals are created by the
transported musicians.
If the temperature of the box or trailer is
affected, it is recommended
Machinelearning
(witha subfield
ofdeeplearning)
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Big data analytics
This wealth of information enables preventive maintenance and increased vehicle usage. A fully
telemetric monitoring system run by the highest transport authority, constantly gathers
information from the car's sensors about the general operation of the engine and the way it is
driven. It is used for buoyancy training and active car protection.With real-time car monitoring
data, a company might be able to dynamically time and (re)run cars with adventure mechanisms
and store logs for precise forecasting. The company was able to deliver on time. The fashion
industry is trying to use real-time buyer return metrics to divert returns from one customer to
fulfill another consumer's order without having to wait a long time for inventory processing.
(Cullinane et al., 2017).
Immersive technologies
Technology provides a dynamic, multimodal virtual environment that individuals may
experience. Although little research has been done on the impact of immersive technologies on
the FTL field, there are many software-related applications such as virtual customer and partner
engagement, real-time technical coaching, navigation and signage assistance, and job
training.Augmented reality should significantly improve the order picking and route tracking
methods used in warehouses. This increases team productivity and facilitates the ability of
employees to perform their duties. One sorting device that utilizes augmented reality is KiSoft.
(KNAPP, 2013).
Distributed ledger technology (DLT)
One of the most revolutionary technologies, DLT has made it possible for decentralized
currencies, self-executing digital contracts, and the online exchange of fragile products. DLT can
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be viewed as the provider layer over the neighborhood protocols that support financial
transactions. It can be used as a reference point for a variety of objects, both digital and tangible
and intangible. Friends can increase stats even if they choose not to play the third game.
The implications of studying at the expense of developing your DLT abilities are severe even
while penetration levels are currently low. In order to investigate the application of blockchain
generation in shipping and ascertain the ramifications of the statistics, the International Transport
Forum of the Organization for Economic Cooperation and Development (OECD) has partnered.
3.0 Recommendation
 Invest in research and development
It is often not known how much cargo area a certain generation will cost. In order for the
package to work, the bed must be checked. The efforts of the Learning Council, the Digital
Catapult, and the Hartree Center can improve and adopt the detected technology. Investments
must be focused on technological solutions that provide integrated and smooth intermodal
transport for the movement of goods and their sustainability.SMBs face significant barriers to
deploying technology. Their virtual skills, which are vital to staying competitive in the global
economy, will be developed and enhanced with the help of knowledge and generational change
programs. The results of the pilot package and modifications will increase adoption by SMEs.
To support international data flows, investing in IT infrastructure is critical. The UK has been at
the forefront of maximising digital capabilities and the government is working hard to maintain
its position as a world leader. In a document titled 5G to replace the UK, released last December,
the Department for Digital, Culture, Media and Sport outlined various areas of coverage to
enable 5G development and the journey to 5G destinations. (gov.uk 2017).
 Develop specific intervention in innovation ‘weak spots’
When innovation is sluggish, the industry is more inclined to take concrete actions. Rail freight
innovation has been slower than other delivery methods due to the highly controlled
environment. Network Rail is implementing the European Rail Traffic Management System. For
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passenger lines this is acceptable, but not for rail freight. (House of Commons Transport
Committee, 2016).
 Consider various mechanisms to accelerate adoption
Governments are prioritizing investments in AI, IoT, and self-driving cars, while not giving the
same priority to the DLT generation. The governments of the Netherlands, South Korea and
Singapore have actively researched distributed ledger technology through the collaboration of
public officials, a powerful tool for technological advancement.For example, the Federal Holding
Investment Company (FPIM) and the Antwerp Port Authority jointly invested in NxtPort, a
virtual reality platform for the port industry, in 2017. The total contribution of these new partners
is EUR 5.25 million (Port Authority 75%, FPIM 25%), including subprime mortgages.
(portofantwerp.com 2017).
Another strategy to support virtual distribution is to force builds. Authorities require Building
Information Modeling (BIM) up to level 2 in all central procurement plans until April 2016.
 Making cyber security a top priority
Data breaches, financial fraud, market manipulation, and the theft of personal information are all
consequences of cybercrime that jeopardizes public safety and security.Last June, 188 high-
profile attacks on the UK were severe enough to require assistance from the National Cyber
Security Centre. Freighter aircraft's vulnerability was recently demonstrated by the NotPetYa
cyber attack, which hit the world's largest live supply line. This resulted in $300 millionin lost
revenue as a result of this attack. (Milne, 2017).
The best way to fight cybercrime in the UK is through collaboration between business, regulators
and authorities. These funds are used to fund research that promotes innovation. He will need to
work closely with international enemies to address new challenges and a prominent proportion of
technological activities and solutions. Regulators may want to develop norms to protect user
data.Since the introduction of the General Data Protection Regulation last May, news
organizations and businesses must obtain explicit consent before deleting records of personal
data upon request. Groups at the forefront of cybersecurity for freight operations can use the
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NCSC Guidelines or the IT and Cybersecurity Requirements Chain. They seek to cultivate their
virtual vigilance and resilience through an all-encompassing strategy. (Wang, 2017).
Talent development
To meet the growing demand for talent with a data background, the UK intends to emphasize
interdisciplinary technical competencies. Education and school regulations must teach new skills.
Programs to build skills must adapt to changing company needs and retrain people to respond to
those changes.
The authority's aim is to encourage better universities to open new master's and postgraduate
programmes in higher FTL sectors. There are funding programs available to support current
research in this area. The position of higher education institutions in the field of engineering and
control sciences is crucial for the development of the Indian IT industry. (Arora &Athreye,
2002). More than 284 colleges and universities in China offer logistics control majors, and 58
universities offer logistics engineering majors to meet the huge demand for logistics
professionals. (PwC, 2012).
Training and professional development programs, delivered with the help of change
organizations or experts such as CILT, FTA, CII, IEEE, and IATA, are also essential to address
short- and medium-term skills improvement and retraining.In addition to virtual storage efforts
and re:Start programs, an enterprise-led virtual capacity program is critical. Under the UK's
digital initiative, partnerships to enhance virtual skills will be established to foster collaboration
and coordination. Regions involved in freight are looking for someone with the required
expertise.
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4.1 Conclusion
A new wave of virtual technology is currently sweeping the freight and logistics (FTL) space.
This wave is dramatically increasing the capabilities of computer systems and has the potential to
replace traditional methods of monitoring, understanding, analyzing and improving plant
sustainability.
The extensive review translates into leveraging a wide range of academic and practical resources
to understand the promise of harnessing this emerging technology for handling supply chains and
freight. A brief overview of the historical development of digitization in the freight sector is
provided to help viewers understand the strength of document views before providing high-
quality descriptions of complex systems.
In addition to a high-quality synthesis of the digitization of freight and logistics, this provides a
comprehensive examination of major technological advancements. A summary of the most
important technological developments in the freight industry.To enable UK authorities to provide
global guidance for virtual freight operations and improve the UK’s global competitiveness, the
dossier recommends the following coverage guidelines: Investing in and fostering innovation,
addressing talent shortages and retraining staff, prioritizing cybersecurity, upskilling, Raise the
bar and don't forget the various mechanisms driving adoption.
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