Impact of technology on efficiency of transport component in supply chain

Abstract

In today's hyper-connected and rapidly evolving business landscape, the efficiency of the transport component within the supply chain plays a pivotal role in driving organizations towards success and competitiveness. The study evaluates the trans-formative impact of technology on the efficiency of the transport component in the supply chain, emphasizing its critical role within organizations. By integrating advanced technologies such as GPS tracking, Transport Management Systems, and real-time analytics, companies have achieved significant improvements in streamlining of transport processes. Through a comprehensive analysis of data collected from Third Party Logistics companies, the research highlights the significant improvements in route optimization, on-time deliveries and transit times at post-technology integration. Analysis of data from 20 3PL companies revealed that 70% of these companies use multiple technologies, leading to a mean reduction of 6.55 km for every 100 trip kms in post-implementation time period. Additionally, on-time deliveries improved by 9.55%, and transit times decreased by 0.4 days on average, both showing statistically significant enhancements (p < 0.05). These findings underscore the vital role of technology in driving transport component efficiency and performance within the supply chain landscape.