By: Libin Chacko Kurian
December 12, 2020: Here Technologies is a Netherlands-based company that provides mapping and location data and related services to individuals and companies. With the transport & logistics sector as one of the key focus areas, HERE provides enterprise-grade maps, technical and professional services to companies in the sector.
In an exclusive interaction with the Indian Transport & Logistics News, Nikhil Kumar, country head, India of HERE Technologies, talks about Indian logistics, the importance of location intelligence, solutions provided by Here Technologies and their future plans.
Tell us about the importance of location intelligence in the Indian transport logistics industry.
The logistics industry is critical to almost every other industry we have whether it is manufacturing, supply chain, e-commerce, etc. In other words, the logistics industry is omnipresent, moving essential products, services and now, as we move into the post-Covid-19 era: for vaccine distribution.
However, despite the position it holds, the industry is riddled with challenges around infrastructure maintenance, energy consumption, environmental challenges, safety regulations, etc. The pandemic has further added fuel to fire, by disrupting supply chains, thanks to lockdowns, business shutdowns, remote working models, and social distancing norms. This is where logistics driven by geospatial data and analytics can provide otherwise difficult business insights that can influence the company’s bottom lines.
What is the market potential for the same? How profitable is it?
As per industry estimates, the location-based services market size was valued at $28.95 billion in 2019 and is projected to reach $183.81 billion by 2027, growing at a CAGR of 26.3 percent from 2020 to 2027. The advent of digitalization boosts the need for location-based services (LBS), owing to its capability to offer customized marketing strategy solutions, which, in turn, creates new revenue growth opportunities for players opting for these solutions.
Kindly divide the logistics into different segments like last mile, first mile or fleet, help us to understand the requirements of location intelligence in each and how you serve them?
To put things in perspective, let us consider how location-enabled fleets and logistics can allow businesses to continue growing and survive shocks (pandemic, seasonal or otherwise):
- Optimizing first-mile delivery: For any business and its supply chain, the first mile is important and problems at this stage, are largely unpredictable. Things like loading times, unexpected delays at the customs, or an intermediary centre can cascade into last-mile challenges such as stock-outs, short orders, etc. Innovative location platforms can deliver accurate insights into the availability of closest packaging centres and real-time location tracking mobile apps can offer businesses and logistics vendors complete control over the entire supply chain. While we manage first-mile deliveries, fleet management is an important aspect of the process. Making use of in-vehicle cameras, location tracking technologies, fleet managers can gain insight into operations, real-time traffic, and weather conditions. With customizable mobile solutions embedded in-vehicles that integrate re-routing, geo-fencing, etc., logistics managers can track driver behaviours in different locations to mitigate accident rates and increase driver retention rates.
- Middle mile-delivery: Once the shipments are en-route to their destination, using cloud-based location solutions and automatics clusters, companies can ensure driver safety, route optimizing, keep a check on road conditions and traffic density. Managing shipments at this stage are crucial to ensure deliveries are made on time and any possible delays or issues are sorted out real-time.
- Streamlining last-mile deliveries: Cloud-based location…