How the shipping and logistics industry has changed in recent years.

The cause and effect of the changing world for the shipping industry explained

In most industries, the pressure to ride the tide of change presents a serious challenge. Businesses must dedicate substantial time and resources to adapting to shifts in their field while attempting to accurately anticipate the next trend.

In the shipping and logistics industry, this is certainly the case. Since the turn of the 21st century, there have been significant changes affecting the efficiency and effectiveness in which companies send and receive products. These changes come in several different forms. Here are three of the most compelling changes in the shipping and logistics arena.


The close relationship between technology and logistics is obvious to those in the know. The present landscape is one of hyper-connectivity and is extremely efficiency driven. Technologies like Internet of Things (IoT), Radio Frequency Identification (RFID), and Automatic Identification and Data Capture (AIDC) have become extremely popular because of their ability to streamline the shipping process.

The Internet of Things (IoT) enables multiple technologies to communicate together, such as RFID and AIDC. This has made it easy for companies to cut down on downtime and make their production time less wasteful.

Not until recently has the use of Radio Frequency Identification (RFID) become in demand. In the past, working with this technology didn’t make sense for many players in the industry as it was unaffordable for some and not cost effective for others. Now all of that has changed. The price of RFID has plummeted in recent years making it quite popular. In the future it is predicted to be the industry standard as more and more businesses will use it without raising the price of service.

As other technologies like RFID and Bluetooth become more popular in shipping, Automatic Identification and Data Capture (AIDC) won’t be far behind. AIDC will provide accurate updates and other tracking information throughout the entire shipping process. This data can then be applied to restructuring the logistical process and other ways of ensuring timely delivery.


Along with the era of hyper-connectivity comes the need for strong and reliable security systems. New technology makes life easier, but with it comes new risks and dangers. In this highly digitized world we are in even the largest companies have to take calculated measures to ensure security. In recent years, companies like Target and Ebay were victims of cyber-attacks.

It is important for logistics companies to pour serious resources into loss prevention and to make sure their shipments are insured. Software manufacturers continue to develop programs which assist in protecting accumulated data. If all parties work together to protect against data tempering and leakage, it will minimize the chance of problems.


With escalating oil prices and volatile markets there have been major shifts in transporting methods in recent years. Companies are moving toward near-shoring instead of off-shoring in an effort to reduce the amount of miles their shipments travel. These companies are also attempting to make shipments more light weight and shipping-friendly whereas before the focus of shipments included marketability aspects. There is also a shift to the lean hybrid shipment process.

Author Credits ::

Glenn Baxter
Owner at Best West Logistics