New opportunities for

Physical Logistics


Editor’s note: Listed here line in the Physical Internet Initiative by Maria Jesus Saenz was initially published because of the Zaragosa Logistics Center. Its reprinted with authorization.

Imagine if the supply chain community could imitate the “Internet world” and create a universal, available logistics network that's economically, eco, and socially efficient and lasting? Such a thought is present, and it’s known as the Physical Web. Today the Physical online is a vision for an end-to-end international logistic community, but there are intends to change it into a reality by 2050.

Companies continuously make an effort to improve performance regarding the logistics companies that move their items globally. Although overall performance amounts have increased significantly over current years, these are typically definately not satisfactory. For example, a lot of pots and cargo automobiles transport empty area or are idle considering functional delays. Frequently, disruptions prevent items from achieving customer markets, adding to the waste that pervades numerous logistics networks.

The bodily Internet proposes to get rid of these inefficiencies in quite similar way that the web transformed the circulation of data around the globe.

Before the arrival of the Internet data networks were highly fragmented. Communicating data across companies, especially on an international scale, was relatively costly, slow, and hampered by capacity limitations. Then came the information superhighway; a metaphor taken from the transportation space. The digital highway swept away these barriers by providing a standardized pathway for data transmissions that encircled the world. With a modest investment in equipment, any organization could join the highway. The speed and volume of data flows grew exponentially, as did the rate of innovation in data communications.

The Physical Internet is a “superhighway” for the activity and storage of actual objects. It absolutely was originally proposed in 2011 by Benoit Montreuil, currently the Coca-Cola Material Handling& Distribution Chair and Professor, Georgia Tech into the U.S. ever since then the idea has actually gained numerous supporters, additionally the Third bodily online meeting will need put on August June 29 to July 1, 2016, at Atlanta, U.S. countless people from around the world representing numerous industries are anticipated to go to the big event.

In Europe, the Alliance for Logistics Innovation through Collaboration (ALICE), launched by the European Commission in 2013, features used the concept and it is working towards a real-world Physical online by 2050.

The Zaragoza Logistics Center (ZLC), Zaragoza, Spain, among ALICE founders, is looking into the horizontal collaboration and powerful business models which is required while the Physical Internet takes form. Horizontal collaboration requires disparate logistics companies to work on enhancing the effectiveness and durability of cargo transportation. To evolve towards a real-world Physical Web the altering roles of key people and stakeholders must be incorporated, and dynamic company models are required to achieve this integration.

ZLC normally dealing with MHI, the greatest material handling logistics, and supply sequence organization into the U.S., to advertise horizontal collaboration concepts and practices. MHI has created a residential area of business believed frontrunners called the U.S. Roadmap for information Handling & Logistics which advancing the Physical online idea. ZLC and MHI may performing a study to identify possible intercontinental synergies between businesses. As an example, a comparison of horizontal logistics practices when you look at the U.S. additionally the European Union is a component of this study.

But garnering assistance for idea is only step one; now comes the job of building a real-world global logistics system centered on typical criteria and global interconnectivity.

This may need an open-market for freight transport, also available, configurable and shared distribution systems. Products may be carried in modular, standard and smart containers equipped with “smart” technology that permits every device to be exactly tracked. Products will have to be designed to fit into these pots being capture huge gains in enhanced area application and cargo control output. The design of shared infrastructure such as logistics facilities also will have to conform to the system’s demands. Harnessing the achievements of technological innovations such as the Internet of Things is also important, especially in areas such as supply chain visibility. And, definitely, industry and regulators will need to develop worldwide protocols for the system’s operation.



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