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5G: The Future of Logistics?

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5G, that is, fifth-generation cellular technology, will revolutionise the logistics and supply chain industry, turning it into a far more connected sector. Increased data speeds, downloads and stable connections will change the way that companies operate and communicate with customers.

As more firms shift towards data-driven decision making processes, the role of 5G communications will become imperative in rendering safer, more reliable and efficient logistical services.

In what ways will 5G benefit the logistics industry? The adoption of the 5G network will improve speeds, capacity with a wider bandwidth, latency and density of information.


Increased connectivity and communication

Moving to the 5G network will increase the capacity of users and devices, supporting the growing demand of internet access. Likewise, the 5G network will also offer several improvements in speed, coverage and connectivity, stepping up from the 4G network.

A lot of current 5G technology builds on 4G networks - so operators can take a evolutionary approach to infrastructure investment when adopting the 5G network for improved communications in real-time.

With the 5G network, devices will be able to communicate with one another at much higher speeds - improving the accuracies of parcel tracking by minimising errors and delays.


Greater accountability

A commonplace supply chain process comprises the movement of parcels from seller, shipper delivery specialists and eventually reaching the recipient. With multiple handover processes inherent in the model, there is an increased chance of parcels getting lost somewhere along the way.

Faster data speeds and real-time updates minimise the chances of damages and loss incurred in delivery management. 5G-connected sensors facilitate the labelling, tracking and automatic recording of parcels - effectively increasing the accountability of supply chain providers.


How can we achieve it?

Understandably, the adoption of 5G will yield impressive and remarkable results in boosting the efficiency and effectiveness of how logistics and supply chain operations are conducted.

Rolling out the 5G network into the logistics scene would require the proliferation of low-cost 5G devices. Likewise, with any new technology adoption, new regulatory guidelines have to be drafted to monitor the use of devices as well as collection and interaction with personal data - ensuring that they fall within the PDPA rules.

Incorporating 5G to streamline and improve supply chain processes seems inevitable but the integration will serve to increase the productivity and progress at which operational activities can be carried out. Likewise, as with any process, anticipating challenges can ease the adoption and integration process. It is thus imperative for logistics providers to embrace changes while continuously striving to improve the user experience to sustain their relevance in the ever-evolving supply chain industry.

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