5G and the Future of Supply Chains
Experts suggest 5G will cause a paradigm shift that will transform industries and ultimately, how the world functions to operate. 5G will be felt across the logistics sector from tracking items with microchips to the deployment of augmented reality inside the warehouse.
5G technology is an upgrade to the current technology status quo. For the user, it will appear as faster, better, and simpler connectivity, but nothing too dramatic. For companies, 5G isn’t about the speed of connectivity as much as it is about the density of devices. This alone holds a promise to transform workloads.
5G is a catalyst for digital transformation initiatives. "The potential of 5G is the ubiquitous level of physical to digital connectivity in terms of product tracking and monitoring," said Andrew Stevens, a senior research director at Gartner. The technology will be a particularly useful play in supply chain management by creating visibility and driving access.
Here are some of the ways 5G will disrupt global supply chains and logistics.
1. Logistics
For logistics, 5G networks will solve several problems: lost cargo, misplaced containers, counterfeiting, etc. With 5G, companies can effectively streamline logistics from start to finish by labeling and tracking packages automatically and recording the data to inform fulfillment.
2. Inventory
You most likely have already heard the term smart warehouse or smart inventory. 5G is claiming to transform inventory and warehouse management as most companies know it. 5G plans to do this by introducing hyper-efficiency to enterprises. The technology’s network introduces transparency to the collection, delivery, and product archive process; promising organizations optimization with remote maintenance and the deployment of autonomous vehicles for transport.
3. Fleet
5G will present fleet management with sensors to allow real-time responses to vehicle safety as well as proactive insights regarding collision avoidance. 5G prototypes used for testing the technology application found autonomous vehicles to be safer and more agile compared to human capabilities. This opens doors to autonomous cargo fleet logistics and so much more.
We are in the early stage of 5G adoption; however, as early adopters begin experimenting with the deployment of the technology there are some steps they will need to take to successfully implement the new tech such as making sure their data infrastructure is up to date and will pair well with 5G. This will accelerate their path to success along with 5G connectivity.