Supply chains and logistics are the backbones of the modern economy. But -- things are changing, and fast. As The Wall Street Journal has even noted, the “on-demand economy” is reshaping the firm and even society at a global level. Customers often have a requirement of shorter delivery time, and e-commerce is booming. If you work within logistics, then, you often have this challenge: you need to be more efficient and more productive at a time when your supply chains are becoming more and more complicated. It’s not easy, but technology can help. Digital transformation and automation play in majorly here. Let’s take a look at some of the major trends in the space and how innovative uses of technology and software development are helping leaders in logistics and supply chain meet their biggest challenges.
Warehouse execution system (WES) software
Today, orders are smaller, order-to-delivery cycles are shorter, and distribution centers are busier. As a result, they require highly dynamic, real-time workflows. Distribution center leaders are thus investing in automation to help them make the transformation to “wave-less” or “order-streaming” — where workflow is planned as orders are received. WES is the underlying platform that ensures automation technologies and labor are synchronized and optimized in real time within the distribution center and outside systems. It’s important to see WES at play in warehouses because the traditional way of technologically organizing a distribution center, doesn’t work as well with automation. It does a good job on inventory management, but it lacks real-time visibility into what’s happening. WES is better towards this end.
Our expertise in logistics: 40 locations worldwide, 4,200+ employees
KNAPP AG develops and markets automation technology and software solutions for logistics and production facilities. The company serves the core areas of healthcare, textiles and fashion, trade, e-commerce and omnichannel retail, food retail, and production.
This is an increasing trend in the supply chain and logistics world. It’s actually the key to efficiently scaling both individual businesses and the supply chain at large. With real-time data, employees are more empowered and more productive. Potential problems can be anticipated and converted into customer service opportunities. Inefficiencies can be more readily identified and remedied. And customers can easily know where their goods are, which increases customer satisfaction and builds longer-lasting, quality customer relationships.
Why do you need outsourced software development for logistics and supply chain?
Because it’s moving too quickly. When we worked with KNAPP in the example above, their internal hiring strategy at the time was to find people who would stay at least five years -- in logistics, that’s a huge amount of different waves and trends across a half-decade. It’s hard to find that kind of sticky institutional knowledge in today’s economy, so it’s better to outsource a team with expertise in multiple areas and coding languages, as well as specific expertise in logistics.
But how do you know what you need in an outsourced team? What factors should you be looking for? We created a checklist to look through and determine the best outsourced software development team for your business needs.