Supporting Mobility

The technological advances of the past several years have fundamentally changed the way we interact on a professional basis by creating an unprecedented level of expectation from business relationships. Customers today are more demanding in terms of the level of service they require and the speed at which they expect it to be provided. One of the primary services expected by transportation and logistics customers is timely status updates within the supply chain. One must be diligent and cautious when dealing with the fragile nature of modern business models. Little, if no, leeway is offered for mistakes or missteps within business that depend heavily upon the supply chain management industry.

The biggest advantage to having effective mobility solutions relates specifically to the logistics needs of most modern businesses. Unlike supply chains of the past, heavy inventory is discouraged. A warehouse full of product waiting to be sold or deployed costs money to store and is wasteful in terms of capital utilization..

The modern business model

From the moment a company decides to offer a product, the expenses begin to pile up. They have to pay for research and development, testing, equipment set-up, employees to manufacture the product, and the factory and the standard utilities within the factory. They have to pay for moving the product and storing inventory in a warehouse or on store shelves (if they have their own stores). The ONLY time the product makes money is when the end user purchases it.

Due to the lean business ideology of today, many companies keep a flowing supply chain that moves product to stores or retail outlets via Just-in-Time (JIT) shipping. The faster a product can be placed in the hands of the customer, the less it will impact the bottom line. Some products are taken from the assembly line to the shipping dock immediately, shipped to the store, and then placed on the shelf almost as fast as it is removed from the truck. This does create some major logistics problems.

One of the biggest issues that shippers face is the chance that there will be a breakdown somewhere in the supply chain. This may be a late drop off, delays due to transportation accidents, inclement weather, or worker strikes. Needless to say, in the JIT world, delays can be very costly in terms of revenue, but also in terms of customer loyalty.

Due to the tumultuous nature of JIT shipping, it is essential that shipping customers be able to get current status data as soon as possible. Finding out that a shipment is late AFTER it is due to arrive, can spell doom for some companies. Say one of the major cellular carriers was scheduled to release a much anticipated Smartphone a week before their competitor's comparable model. With the marketing hype typically associated with new product release, imagine the repercussions of failing to deliver the anticipated device when advertised. The timely availability of the competitor's Smartphone could result in a sizable shift in the carrier's overall profit potential. Rolling out new product usually equates to a healthy growth in profit, but failing to roll it out on time can equate to marketing suicide.

Mobile connection to the supply chain

Mobile solutions offer the shipping customer the ability to stay connected to their supply chain wherever and whenever they need it most. There are few executives or upper management in the business world that do not have some form of mobile connectivity, whether via handheld devices or laptop computers. Of course, there are disadvantages to either device when selecting one over the other, but most feel it is impractical to carry a laptop everywhere they go. Handheld mobile devices offer the ability to stay connected without feeling shackled to a desktop or laptop computer. Face it, even the smallest of laptops is not likely to fit into a suit pocket.