(3) Key points of IT utilization in logistics operations in the U.S.

The environment surrounding logistics in the U.S.

(1) Basic knowledge of logistics in the U.S. and deregulation of logistics
(2) Laws, regulations, and rules that you should know for warehouse management in the U.S.
(3) Key points of IT utilization in logistics operations in the U.S.
(4) WMS, with a track record of adoption in many countries and regions, now also available in the U.S.!
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*This information is as of August 2023
*Reference: Japan External Trade Organization (JETRO) websitehttps://www.jetro.go.jp/indexj.html (Japanese)

This article explains the key points of IT utilization in logistics operations in the U.S.

A more strategic approach to IT utilization is critical

It is necessary to conduct a risk analysis and adopt a strategic approach at the planning stage of a business model related to SCM and logistics. Investment in technology and organizational culture transformation are also important.

(1) Data security and privacy

To successfully implement a business model for logistics operations, it is essential to utilize data, including customer information, transaction information, and traceability information, through the use of IT technology. However, it requires management based on proper data protection and control in accordance with relevant laws and regulations. Applicable information systems must be chosen carefully.

(2) Consistency between technologies and systems

The use of innovative technologies and information systems can make a huge difference. However, it is also important to ensure consistency with existing systems and processes, integrate systems and centralize data within the organization, train employees, and transform business processes.

(3) Partner information sharing

Information sharing with multiple parties and partners, such as suppliers, carriers, and warehouse operators, is essential for improving operations in the SCM and logistics fields. The key is to select IT vendors with knowledge in the SCM and logistics fields and good communication skills.

A shortage of human resources in the logistics industry

Global supply chain disruptions and e-commerce growth due to emergencies, such as the COVID-19 pandemic, are also increasingly impacting the logistics sector. Demand for people to handle logistics operations, such as warehouse and IT personnel, is also growing, but it is difficult to secure the proper number of workers. Behind this are many factors, such as a shortage of human resources with expertise and skills, a decreasing and aging population, changing preferences of young workers, attraction and retention of talented people, and increases in costs for recruitment and training.

(1) Diversification of the labor market

To acquire necessary human resources, a wider range of ages, such as young and senior people, must be targeted. It is important to standardize business processes to create a mechanism that allows anyone to work with the same quality.

(2) Skill development and training programs

Since the demand for human resources with expertise and skills is high, it is necessary to enhance skill development and training programs for employees and to expand training and certification programs specific to logistics. The business process suggestion function provided through the use of information systems dedicated to logistics operations is key to shortening the operational training period and standardizing the operations.

(3) Utilization of information systems, IoT, and automation equipment

To save manpower by improving the productivity of logistics operations (reducing unreasonableness, wastefulness, and inconsistency) and improving work quality (preventing business recovery processing from occurring) through the use of IoT devices and automation equipment, it is essential to utilize logistics-specific information systems that support these devices.