As traditional offline and paper processes fail to keep up with demands for speed and visibility, some freight and logistics companies have incorporated new high-tech solutions to streamline operations. But many have also been hesitant.
With changes accelerating and investment pouring in, freight forwarders need to start digitizing now to remain competitive and thrive in the imminent digitized logistics environment.
Emerging technology leaves an “uneven” playing field
For decades, many freight forwarding companies did not feel the urgency to adopt new, emerging technology outside of their operating systems. Instead they held on to their current and proven processes, not wanting to risk the potential complications and downsides that can come with integrating new tech – like losing the human touch to their services.
But the pressure to digitize is growing and seems to be coming from all sides.
These investments in the industry, along with COVID-19 and supply chain disruptions, have all served to increase the demand from freight forwarder customers for more visibility and a better digital customer experience.
Finding even ground
Letting technology maximize productivity and combat operational inefficiencies will be a benefit for both freight forwarding teams and their customers.
According to Alvarez, technology should be viewed as a way to enhance the human touch and customer experience, not replace it.
“The digitization of customer-facing applications is not going to be stopped,” Alvarez said. “If you look five to 10 years out, everyone is going to have to have a platform where they can service their customers online in a really seamless way. There are companies that believe in making that change now and there are others that believe they can wait. Ultimately, they will all have to make that change. It’s just a matter of how much pressure they’ll have to feel first.”
He also added that lagging technology restricts growth. Many companies are not able to scale up because, without adding more people, older processes are not able to accommodate for additional clients.
Despite efforts to make the process as seamless as possible, leveling up your technology requires change and change can be challenging. A lot of care and attention needs to be placed on making the transition with minimal disruption to the business and a short time-to-value for the new tech. Partnering with companies like Logixboard that understand the best processes for change management is critical, Alvarez said.
Winning with technology
The freight forwarding companies that are behind in technology possess the expertise to remain competitive. All they need now are the proper tools.
Logixboard integrates with customers’ existing technology, using the system that houses their data and complementing it with third-party data to deliver a customized, seamless and modern interface to customers.
Digitizing ensures that traditional freight forwarders are able to combine their existing expertise and networks with new technology to create a competitive advantage. Or, at least an even playing field to stand on.
