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Logistics Inventory Control

As we are aware, logistics mainly facilitates trade entrepreneurial activities amongst various parties through cargo transportation by air, land, and water, storage as well as goods delivery through business-to-customer, business-to-business, and customer-to-customer supply chain networks. Logistics inventory involves all the processes and systems that manage the flow of goods from vendors and suppliers to end customers. Effective logistics and inventory control are of utmost importance for meeting customer expectations and demands, reducing holding costs, and improving operational efficiency.   

Over time this industry has adapted to changing economic patterns and digitization. Logistics inventory and supply chain efficiency can be transformed using data-driven strategies and trending technologies. With the implementation of advanced analytics and various machine learning algorithms, logistic processes can be completely optimized in terms of costs and delivery time management. Evolved techniques like IoT, data analytics, automation software, etc. have also improved overall accuracy and responsiveness in logistics inventory management. 

The global market value of the logistics industry was recorded to be about $9 trillion in 2021 and may reach beyond $14.67 trillion in 2027. As of 2022, the Indian logistics market value was reported to be around 21K billion and is expected to reach 47K billion in 2023 surging at a CAGR of 9.4%. The supply chain management software market in India is developing in parallel and has reached a value of $276.8 million in 2024. It is increasing at a CAGR of 10% and may reach $405.4 million in 2028. Let us explore the benefits of integrating tech-driven solutions in controlling logistics operations while emphasizing sustainable supply chain management. 

 Source: Precedence Research 

Benefits of Logistics Inventory Management 

Given below are few benefits of technologies used for logistics inventory management and their benefits: 

Centralized Management 

Advanced software solutions such as Inventory Management Systems like S/4HANA and Enterprise Resource Planning like Oracle Cloud ERP, have become integral tools for warehouse management in logistics across industries. They come with features such as real-time tracking of inventory levels, automated replenishment alerts, and integration with other departments like procurement and sales. With advancements in cloud-based technologies and cloud migration solutions, inventory management software has now been made scalable, accessible, and cost-effective. Such cloud-based platforms allow businesses to centralize their inventory, enable real-time visibility to facilitators present at multiple locations, and provide collaboration amongst different stakeholders. These solutions are device agnostic as well and can be accessed through mobile or web-based applications enabling monitoring of inventory and performing critical tasks even from remote areas. 

Predictive Maintenance 

Internet of Things (IoT) enables real-time monitoring of inventory assets throughout the entire supply chain process through sensors (thermal, motion, photoelectric), beacons and RFID (Radio Frequency Identification by Seshaasai) tags that can be attached to storage bins, vehicles, packaging etc. Installers can easily collect data on important factors such as location, temperature, humidity, vibration, energy consumption etc. during motion. The status and condition of inventory can be gained in real-time as well which enables proactive warehouse management in logistics and mitigation of issues, for example, stock outs, thefts, battery, damaged goods, and spoilage, especially in the case of perishable goods due to temperature fluctuations. With such data in hand, installers can alert truck drivers or warehouse managers and preserve product quality.  

With time, as the IoT and AI-enabled inventory management programs learn the average duration of working of vehicles, refrigerators, dehumidifiers, warehouse equipment, pick-up robots, forklifts, conveyor belts, batteries, etc. from sensor data, they actively learn to predict the timeframe of occurrences of such potential issues, so that disruptions in operations and expensive downtime can be avoided. As per the received data, they can schedule alerts for proactive maintenance and equipment uptime optimization. 

Improved Demand Forecasting 

Tech-driven techniques have proved to be significantly involved in demand forecasting and inventory management. Software such as SAP IBP featuring predictive analytics and real-time data access enables organizations to render accurate demand predictions. These can help to optimize inventory levels, reduce excess stock levels, and minimize the risk of stock outs. Businesses can benefit from cost savings and increase customer satisfaction as logistics and inventory control levels are aligned with market demands. Predictive analytics utilize historical data for reliable demand forecasting by taking into account factors such as seasonality, market trends, and promotions. 

Enhanced Visibility into Insights 

The adoption of tech-driven logistics allows supply chain and logistics businesses to gain real-time insights by offering unprecedented levels of visibility into operations, emphasizing the importance of risk management and supplier collaboration. Data analytics and IoT technologies can aid organizations to respond swiftly to disruptions and provide time to strategize mitigation policies and counter changing market conditions. Enhanced responsiveness enables sustainable supply chain practices and deliveries that ultimately improvise customer services. 

Data analytics is a powerful tool for making informed decisions related to optimizing inventory control by leveraging historical logistics inventory and sales data, market trends, customer demands etc. Furthermore, prescriptive analytics techniques can help businesses to optimize policies related to inventory replenishment strategies for warehouse management in logistics considering factors such as cost-effectiveness, lead times, quantities, holding costs etc. Certain software can simulate scenarios by evaluating parameters, this helps businesses to fine-tune inventory control strategies. 

Scalable Automation 

Automation streamlines inventory control processes and reduces manual intervention, for example, technologies such as barcode scanning, RFID, automated storage and retrieval systems (AS/RS or co-bots like FANUC’s) have revolutionized warehouse management in logistics, related operations and enabled accurate inventory tracking and management, down to the level of single products or entities. For instance, any supply chain participant (or vision-based container scanning machines) can scan the barcode or RFID tags and instantly get to know the location, quantity, model, type, color, weight (dry or wet), movement, spoilage percent with electrical bacterial growth sensor etc. enabling real-time inventory updates without any manual data entry-related errors. AS/RS systems utilize robotic mechanisms for goods transportation from designated storage locations, maximizing storage density, reducing labor costs and error-prone risks. 

Sustainable Practices 

Nowadays entire supply chain operations revolve around sustainable deliveries since these not only aid in cost optimization but also govern the environment-related ethics of the business. Tech-driven approaches contribute potentially to realizing such practices. Advanced data analytics help businesses to reduce their carbon footprint, reduce environmental impact, optimize transportation routes, and aid in making ethical sourcing decisions. This is very much in alignment with the exponentially increasing customer demand and regulatory expectations concerning environmentally responsible supply chain operations and warehouse management in logistics. 

Data Privacy 

Ethical data collection and privacy consideration in sharing practices are important aspects of tech-driven operations which in turn offer substantial benefits. It is necessary for businesses to balance the privacy rights of stakeholders and required data utilization through robust data governance policies and quality assurance mechanisms. To uphold this, Blockchain technology has been adopted by businesses across the globe to transform logistics and inventory control as it offers a secure (ECDSA) and transparent platform or decentralized ledger by custom app development companies for verification (tamper-proofing) of inventory movements and recording (auditable) transactions across the supply chain.  

This ensures trust and transparency amongst all supply chain participants such as production, distribution and retail, since transactional manipulation becomes retroactively impossible. Businesses can enhance the integrity and security of inventory data as the risk of fraud, counterfeiting and unauthorized access is made close to nil. Blockchain technology also allows smart contracts that automate and enforce agreements between parties involved in inventory-related transactions, thus streamlining operations and removing additional transactional costs. 


Exponential growth in tech-driven analytical capabilities and data availability is empowering supply chain and logistics management. Businesses across industries are harnessing advanced technologies like the Internet of Things, Industry 4.0 solutions, data science, artificial intelligence, machine learning, automation, etc. to optimize their logistics operations and manage inventory to an unprecedented degree. Most of them are now either transitioning from the traditional model of reactive logistics functioning to an integrated approach or enhancing their existing tech-driven processes to the next level. It is necessary in the context that failing to embrace such transformations may generate the risk of falling behind in the market against competitors that leverage analytics and automation and achieve cost and lead time reductions, improvised customer satisfaction, and operational agility. Long-term vision to attain effective change management, process digitization, fostering analytical culture, data standardization, privacy and security, partnership management, environmental ethics, and responsible governance are of paramount importance for supply chain decision-making.   

KritiKal Solutions is a leading custom software development company that helps businesses explore and realize the possibilities of innovation and harness automation to unlock greater levels of efficiency and resilience across global logistics and supply chain networks. It provides advanced technologies like automated logistics inventory management, stock-out alerts, vendor management, inventory tracking, last-mile delivery, route optimization, demand forecasting, logistics web app development services etc. to aid them undergo this paradigm shift and global complexities in terms of rising customer expectations and the need for sustainable operations through tech-driven solutions for better agility and adaptability. Avail tangible benefits by embracing our tech-driven logistics inventory management strategies and technological solutions, as we help you realize the full potential of your investment in this ever-evolving realm. Please mail us at sales@kritikalsolutions.com to avail of our services. 

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