Digitalization is the process of integrating technology to transform and improve business operations. Adopting digital technologies offers various benefits, such as improved operational efficiency, customer satisfaction, and faster response to market trends.
In logistics, digitalization is essential to maintain competitiveness and relevance. By modernizing traditional business processes, companies can make more strategic decisions while fostering a culture of innovation and creativity.
How Digitalization is Transforming Traditional Logistics
Manual processes in logistics are gradually being replaced with technological advancements. This includes repetitive tasks such as data entry, document tracking, waiting for approvals, and managing information.
Manual processes are also prone to errors, as repetition increases the risk of mistakes, affecting accuracy and raising operational costs.
Here are key differences between traditional and digital logistics:
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Shipment Tracking
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Traditional Logistics: Shipment tracking is limited to periodic updates that require manual checking.
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Digital Logistics: Companies can access real-time shipment status updates.
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Data and Document Exchange
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Traditional Logistics: Companies rely on physical resources (paper, ink, etc.) to create and share documents, which can be lost in transit.
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Digital Logistics: Documents can be easily shared online through a centralized platform across the supply chain.
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Reporting
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Traditional Logistics: Reports are created manually and require extensive physical archiving.
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Digital Logistics: Reports are generated automatically, stored securely in digital format, and accessible anytime.
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Communication
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Traditional Logistics: Communication with shippers or field agents is done via email, fax, phone, SMS, or third-party portals.
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Digital Logistics: All messages or updates are sent through one logistics platform.
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Read also: How Transcon Indonesia (TCI) Provides Solutions
Steps to Digitalization in Logistics Business
By adopting digital technology, logistics companies can improve efficiency, accuracy, and visibility in supply chain management. Here are the steps:
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Evaluate Existing Business Processes
Analyze your current logistics operations to identify inefficiencies or error-prone areas. Create detailed workflow maps to understand department interactions and logistics activities. Gather historical data to uncover trends and areas for improvement. -
Choose the Right Technology
Common systems considered in digital logistics transformation:-
Warehouse Management System (WMS): Manages inventory, receiving, and warehouse shipments.
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Transportation Management System (TMS): Manages transport planning, execution, and payment.
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Asset Tracking System: Monitors asset location and condition in real-time.
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E-commerce Platform: Simplifies online transactions and order management.
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System Integration
Ensure all selected systems are well-integrated to allow smooth data flow. Use APIs to connect systems and enable automated data sharing. Cloud computing can help scale and add flexibility. -
Gradual Implementation
Start with core processes like shipment tracking and warehouse management. Conduct limited trials before full rollout. Train staff thoroughly to use the new system. Implementation takes time—from systems to people. -
Continuous Evaluation and Improvement
Collect feedback from employees to identify areas for improvement. Use data to monitor system performance and optimization opportunities. Regularly update systems to stay aligned with tech developments.
Transcon Indonesia’s Digital Services for Your Convenience
Transcon Indonesia offers comprehensive digital solutions to support logistics businesses. Here’s how we help:
✅ Online Service Requests
Each customer gets a personalized account to quickly and easily request services.
✅ Real-Time Activity Documentation
All handling processes are recorded and sent to customers’ WhatsApp groups for transparency and up-to-date information.
✅ Document Progress Management
Customs documentation requires coordination between the customer, Transcon Indonesia, and Customs. WhatsApp-based communication ensures data accuracy and minimizes human error.
✅ Real-Time Inventory System
Track your goods anytime! Our system provides full inbound and outbound history for end-to-end visibility.
✅ 24/7 Online CCTV
Monitor goods in real-time with infrared cameras that deliver clear visuals, even in low-light. Stable and reliable system for uninterrupted monitoring.
✅ Online Booking System
Create shipping documents and pickup requests anytime, anywhere—available on our website and mobile app.
✅ Warehouse Management System (WMS)
Manage logistics easily with our ISO 27001:2022-certified system. Track shipments, pickups, and documents securely.
✅ Real-Time Tracking System
Use our website or mobile app to track shipments in real time, including accurate estimated time of arrival.