Summary
In the course LGMT 636 Transportation Management, the final activity is the Research paper which describes the importance and peculiarities of the IoT as an emerging technology impacting transportation and logistics. I researched the current area of knowledge regarding the IoT in transportation and logistics. The objective of this paper was to describe the benefits the IoT provides for companies and explain the existing issues related to its work procedures.
Knowledge / Application Area: Transportation Management
This research paper operates in the transportation management area of knowledge and application. IoT greatly applies to transportation management area as this technology allows many companies saving on transportation costs. Moreover, IoT helps securing transportation processes by collecting information about data from the external environment during the transportation of goods. IoT also saves energy by developing optimal routes that consider factors such as geo-location or fuel consumption.
Transportation managers can easily use the IoT as it is a system of sensors and technologies built for each facility used to transport goods. Thanks to the IoT, various objects such as pallets and cargo compartments can exchange information, which gives managers a clear and comprehensive view of the transportation process. The study cites examples of offshore and onshore logistics companies that use IoT (Saul, 2017). In addition to controlling physical characteristics, IoT can analyze factors such as climate and customs control. Notably, the sensor data is stored in the cloud, accessed by transportation managers. IoT uses cloud computing for data analysis, and the analysis results are stored in the cloud. The IoT concept includes the development of various data analysis tools, since number and variety of data makes it easier to develop new solutions.
Methodology: Optimization Modeling and Solution Techniques, Information Technologies
This paper uses the methodology of optimization modeling and solution techniques and information technologies because such an approach is highly applicable to analyze the IoT practices and procedures. Analyzing the ways that companies are using to implement and operate with IoT will lead to optimal solutions applicable to companies whose business is transportation. The efficiency of IoT use by companies directly affects their financial success and profit margins, as it can significantly reduce fuel costs by reducing downtime and managing routes.
Moreover, smart solutions that provide IoT technologies can be an area of interest for information technologies, since the speed and efficiency of processing information stored on cloud servers is the basis for developing optimal solutions. This methodology also allows identifying the benefits and problems associated with IoT technology. It is very important as IoT disruptions in some cases may result in costs ranging from $ 50 billion to $ 120 billion (Roe, 2018).
Planning Level: Operational
The operational planning level is utilized by this paper. It was chosen since it fits company operational decisions related to transportation management. IoT is all about operating the logistics chain and improving the processes in this chain. The optimal solution is usually found when analyzing the operational level planning and activity. Therefore, the current operational activity with the use of IoT becomes the basis for further research in this field.
Operational planning can be greatly facilitated and reinforced by IoT since they consider all operational stages and all objects utilized to create a sustainable logistics chain. Today, there are some problems related to the compatibility of modern and older IoT systems. Another important issue is the safety of data gathered by systems. Solving these problems will save companies huge amounts of money, and therefore is an extremely pressing issue.
References
Roe, D. (2018). “Seven big problems with the Internet of Things.” CMS Wire. Web.
Saul, Jonathan (2017). “Global shipping feels fallout from Maersk Cyber Attack.” Reuters. Web.