Why Real-Time Tracking is Essential for Efficient Supply Chain Management
With the massive increase of online shops and shoppers in the digital marketplace, the number of shipping and delivery options also grows. Online consumers enjoy being able to track their packages and watch as they get closer to their destination. Apart from the serotonin boost, it gives the customers waiting for their parcel.
Why is real-time tracking essential, especially in having a more effective supply chain management? Read on to find out.
What is Real-Time Tracking?
A real-time tracking system, sometimes called Real-time locating system (RTLS), is a tracking method that utilizes or uses GPS together with logistics databases to track or identify the exact track and location of any parcel at any given time.
The collected data, through the help of GPS and logistics databases, are updated in real-time for immediate access and assessment. The process of real-time tracking allows the customer to obtain information about the whereabouts of their parcel in the whole supply chain.
Keeping track of the packages released by the company brings a lot of impacts not only on the company’s reputation but also on the effective management of its supply chain.
The primary objective of real-time tracking is to provide transparency so necessary alternative routes can be taken when dilemmas and problems occur.
Supply chain management (SCM) includes product development, sourcing, production, and needed information systems and logistics to coordinate these activities. A chain and network of suppliers are made to manage the supply chain that transports products, raw materials, and suppliers.
How Does Supply Chain Management Work?
Supply chain management encompasses all aspects of the manufacturing process, from the procurement of raw materials to the delivery of finished items. Keeping operations operating smoothly is an essential part of supply chain management to provide customers better value and stay ahead of the competition.
According to supply chain management (SCM), most products on the market result from many companies working together to produce them.
Contrary to popular belief, firms are now starting to recognize the importance of supply chains as a strategic asset. Using supply chain management, businesses can deliver goods faster, guarantee that items are always accessible when required, eliminate quality concerns by doing regular quality checks, and make returns easier, eventually increasing value for both the business and its consumers.
How Can Real-Time Tracking Help Improve the Efficiency of Managing the Supply Chain?
Real-time tracking of any parcel or package delivery plays a vital role in the whole supply chain management.
It Reduces the Risk of Loss
Having real-time updates regarding the parcel’s precise and accurate location can help identify whether the package is going through heavy traffic or delays. Through this, alternative routes, solutions, and other necessary measures can be taken to handle the traffic.
On the company’s end, the supply chain is also being monitored by the corporation’s stakeholders.
Real-time tracking provides transparency and accurate information, which improves the reliability and good reputation in both the customers’ and the stakeholders’ mentality.
When deliveries are delayed, the company’s following the best alternative route would also leave a good and better impression regarding the company’s handling and management of a crisis.
It Enhances Effective and Productive Decision-Making
A supply chain manager must have good decision-making skills in taking movement or decisions related to the company’s goods and services.
Gathering the necessary information from the real-time tracking and assessment of these data will help the decision-maker identify the best solution or alternative way to the problem.
In line with the reduction of loss, real-time tracking also improves the ability of a company to arrive at a sound decision when delays occur.
Since real-time monitoring allows the company to find issues in no time, the company will be able to manage the problem and provide profoundly suitable solutions promptly before the situation worsens.
A deliberate method of processing the data obtained through real-time tracking will define alternatives and organize the information into thoughtful decisions.
Having a sound judgment amidst the technological errors and delays would also bring about good impacts and impressions of the company to the stakeholders, clients, and future customers.
On the other hand, arriving at a wrong and inappropriate decision can result in adverse consequences, even risking existing customers and clients.
It Practices Transparency and Improves Customer Service
Customer service is among the most pivotal components of the logistics and the management of the supply chain. Without customer service, the company would be unable to attract customers and sell its goods and services.
Real-time tracking would practice transparency, which in turn produces trust and goodwill. Aside from this, it also protects the company’s reputation among its business partners, prospects, investors, employees, and stakeholders.
Transparency also leads to better customer service since the customer would prefer to be involved in the overall process concerning their product. Customer service plays a vital role in improving the supply chain.
Good relations with the customer through exemplary customer service would also create a good image for the company.
What Do These Mean?
In a general sense, real-time tracking would improve the supply chain management efficiency since most customers value transparency as it is typically associated with openness and honesty. In addition to this, any crises that will arise during the shipment process will be immediately determined and resolved.
Despite being deployed in several places, having real-time tracking through GPS still allows the company to have direct control and management over the vehicles carrying the parcels.
Together with increased productivity, this also reduces other costs that may be triggered when problems arise. As a result, comprehensive supply chain management would become more efficient and effective.
Efficacious supply chain management primarily relies on precise and fast-tracking products, from raw materials to goods or services. Information and data concerning the parcel’s whereabouts benefit the customer, company, and stakeholders. Thus, companies need to have a reliable and transparent shipping partner.
Tive allows you to track your packages through GPS anywhere in the world. With transparency as our priority, Tive would lessen your worries and boost your excitement in waiting for your order to reach your doorstep.