Technological Impact on Logistic Industry

Teguh Himawan is a professional in the field of warehouse and distribution management. He has expertise in overseeing and optimizing logistics operations to ensure the efficient movement of goods and meet customer demands. With a background in the industry, Teguh Himawan brings valuable experience in developing strategies and implementing solutions to improve supply chain efficiency and drive customer satisfaction. His role at A.P. Moller - Maersk involves managing warehouse operations and distribution networks, contributing to the success of the company's logistics services.

How has the logistics industry transformed through the years?

Over the past few years, logistics has experienced a noticeable shift due to the increasing demand for personalized and efficient service from customers. The logistics industry has been significantly impacted by technology in various ways, as each customer has unique expectations. The focus now is on expediting procedures, quickly creating effective systems, and adapting to the disruption caused by e-commerce to traditional logistics processes. Customers today expect end-to-end visibility to track their shipments and access real-time data about their logistics operations. As a result, the logistics sector has transformed tremendously to meet changing customer expectations and leverage technological advancements for enhanced productivity and customer satisfaction. Those which able to fulfil customers need, able to be agile and shifting the pattern following their requirement, will surely gain customers’ trust.

What are some of the challenges impacting the logistics industry?

The challenges of putting change into effect might vary greatly from country to country.

"Over the past few years, logistics has experienced a noticeable shift due to the increasing demand for personalized and efficient service from customers"

For instance, in countries like Indonesia and China that have enormous populations, the biggest issue comes from the people themselves because of the abundant workforce that is accessible at relatively low rates. As a direct consequence, there is typically opposition to change whenever new technology is introduced. In spite of this, throughout the course of time, people have a tendency to change their minds as they become more aware of the benefits that technology provides. This transition is taking place as a direct result of the continued increase in the cost of labor, while the cost of technology has either decreased or remained stable. As a consequence of this, relying completely on technology becomes a more cost-effective solution when contrasted with the use of manual labor.

What are some of the technology that you have implemented to make day-to-day work easier and streamline operations?

Other than the common tech we already have for years like end to end system and goods traceability, in our warehouse, we have implemented robotic technology, specifically an AGV robot. It supplants manual labor, such as forklift operators. With AGV, we simply position our goods on the robot, which transports them to the designated shelves. We input the location into the system, and the robot accordingly stores the cargo. This system drastically improves productivity by eliminating the need for manual labor. We only need one administrator to oversee and report on operations, as the system handles everything else automatically.

How has your knowledge of agronomics helped you add value to client operations?

Agronomics is the study of land distribution, management, and productivity. By integrating agronomics into our operations, we can improve the efficacy of our distribution models and boost our output. It enables us to gain a deeper understanding of our customer's logistics requirements and establish a network of logistics centers to optimize their distribution processes. This connectivity enables customers to routinely evaluate and enhance their logistical paths, fostering a closer relationship with their logistics operations.

What would be your advice for other senior leaders and CXOs working in the logistics sector?

In the fast-paced world of logistics, it's crucial for businesses to stay relevant and meet the needs of their customers. COVID-19 has caused significant changes in both customer demands and the market. To remain competitive, it's necessary to be adaptable and able to adjust to new circumstances. Failure to adapt and meet the changing requirements of the market may cause a company to fall behind its competitors. Therefore, being responsive to customers' needs and flexible in the face of shifting market conditions are essential for long-term success in the logistics industry.