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How Container Track & Trace Tech is Improving Automotive Logistics

September 23, 2021

Adopting container track and trace technology continues to gain rapid momentum among manufacturers in many industries. The trend is accelerating due to the need to protect against costly expenses within the supply chain. 

Ocean container tracking is a vital and often overlooked aspect of the supply chain.  It has an enormous impact on the distribution of nearly any type of goods. As a result, improving container tracking can make an impact even on niche industries such as automotive aftermarket logistics, which relies heavily on such shipping services to acquire much-needed parts from external manufacturers around the globe. This lack of control over their cargo affects the bottom line of these businesses and negatively impacts global trade flows, coming at the expense of efficiency, supply balances, and sustainability. 

As supply chains contract and manufacturing operations move nearshore, supply-demand levels become more volatile, and routes need efficient course-correcting to keep pace with the pandemic. It has never been more vital for businesses to have precise and actionable visibility over their cargo. Container track and trace technology is improving automotive logistics in several powerful ways.

1. Container Track and Trace Reduces Risk for Rolled Cargo With Real-Time Status Updates

Many domestic and international shippers must have some track and track system in place. One of the most significant issues facing shippers and carriers is dealing with delays caused by rolled cargo and other delays at ports and intermediary locations along the supply chain. Ensuring real-time status updates are enabled and up-to-date container track and trace data are available remain a primary focus for logistics managers in automotive logistics. Shippers can help reduce delays and provide customers and other team members of any delays that may occur.

2. Traceability Reduces Confusion in Managing Drayage

Drayage is the short-distance transportation of freight within the supply chain network. Often it occurs at the end of the journey, such as from ship or plane to the final distribution warehouse, but it can happen earlier in the process. Traceability during drayage transportation, as well as automated container track and trace protocols, allows team members and the customer as well to prepare for final delivery. Access to precise and reliable data makes it easier to organize and coordinate these short delivery trips and ensure the last mile preparations are made effectively. 

3. Improve Overall Transparency to Customers

Today’s consumers are demanding more. They want to know exactly where their vehicle was built, who built it, how it was transported to their local dealer, etc. As a result, the automotive manufacturing community is now seeking ways to boost efficiency and customer satisfaction while managing costs simultaneously. This means transitioning from decades-old internal logistics systems and processes to more sophisticated supply chain technologies capable of providing real-time insights into all aspects of their wholesale and retail supply chains, including the visibility provided to importers and freight forwarders who are looking to extend that transparency to customers.

4. Container Tracking is Providing a Competitive Edge

Track-and-trace technology can assist managers and logistics providers to find and capitalize on areas of strength within the supply chain and improve on areas that need additional integration. According to Manufacturing.net, experts predict that the global market value for automated track-and-trace technology will grow nearly 20 percent. It is believed that by 2021, roughly half of all major players in the worldwide supply chain will require some automated container trace system from shippers, carriers, and forwarders. 

Container tracking is an essential tool for companies looking to improve their supply chain management processes or gain a competitive edge through greater visibility and better control of their containers’ movements.

In spite of these challenges, there is hope. Change is coming and it’s in the form of new technology. Automotive importers are fighting back by adopting smart container tracking to gain the visibility they need to manage global supply chains with greater efficiency, accuracy, and agility.

5. Automotive Logistics Managers Can Further Use Container Tracking for Vehicle Status

On-demand tracking and real-time container trackingdata can help keep logistics managers, customers, retailers, and third parties up to date on vehicle status at any time. Access to this container trace data is invaluable in meeting regulatory filing dates to government agencies and maintaining high customer trust and satisfaction levels. In high-value and delicate shipping markets, such as medical and food services, automated logistics and real-time data management can provide on-time delivery peace of mind and assurance.

6. Integrating Visibility into Other Supply Chain Systems

The visibility gained from container track and trace technology is just one piece of the puzzle. The benefits of more visibility begin to fade away when importers and complex automotive OEMs’ supply chains are having to sift through multiple systems to track containers. OEMs (original equipment manufacturers) must often navigate multiple software and hardware systems that do not always integrate seamlessly. Achieving the seamless integration of these systems can be an uphill battle that is a drain on resources, in terms of both time and cost.

Many supply chain systems today integrate well via API. When container track and trace is easily piped into other systems, importers can manage, execute, settle, and see containers in real-time in their system of choice. With stronger integration of technology, managers are more confident in their ability to build resiliency into their supply chain.

Maximize Profits and Success Rates Today While Preparing for Growth Tomorrow With Real-Time Container Tracking Technology

Everything from product recalls, quality incidents, poor supply chain visibility, and unethical production practices can find solutions within modern automotive logistics. Implementing container trace and track monitoring systems provides ample opportunities to maximize profits and secure capacity today while also planning with real-time data management and consumer trend monitoring. 

Learn how OpenTrack improves track and trace for shippers in the automotive industry by requesting a demo

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