IT in Vehicle Logistics Management
Current IT landscapes
IT is a necessary business tool (61%), that helps in optimizing (58%) and automating (55%) processes. These are three predominant perceptions of IT in the companies surveyed. Although as many as 9% also stated that they were disappointed by IT, the overall results clearly indicate the great importance of IT for the companies surveyed.
Which of the following descriptions best reflects your perception of IT in your business?
Respondents 2023: n = 106 - Multiple selections possible.
IT is a necessary business tool
IT helps in optimizing processes
IT helps in automating process
IT helps us to improve our business
IT is rucial to staying ahead of our competitors
IT can be used as a sales tool to win new customers
IT is overrated, too expensive and fails expectations
Other
In line with the above result, almost all respondents (83%) deploy specialized software systems for vehicle logistics (see Chart 11). Just over half (54%) rely on self-developed systems, while a quarter (23%) uses standard software from third-party providers. Of the respondents who felt they belonged to the "Other" category, half (6%) opted for a mix of self-developed and standard software.
Compared to previous years, it is noticeable that no one stated that they manage logistics manually on the basis of paper for the first time. Digitalization finally seems to have fully arrived in the industry, although it is surprising that an unchanged proportion of around 10 % still has to depend on Excel-like applications.
The fact that the proportion of in-house developed systems is declining, presumably in favor of standard software or a mix of both, can often be explained by the fact that old legacy systems can no longer keep pace with the increasing demands of the industry. At the same time, the expense of new developments is often not worthwhile, especially as there is a lack of personnel for maintenance.
How are you organizing your vehicle logistics?
Respondents 2023: n = 106; 2018 = 88; 2013 = 118. The option “Other” was only available in 2023.
With a standard software system
2023
2018
2013
With a self-developed software system
2023
2018
2013
Using Microsoft Excel (or similar applications)
2023
2018
2013
Manually (paper based)
2023
2018
2013
Other
(only surveyed in 2023)
2023
Among those companies that have implemented software for vehicle logistics, a very advanced quarter (27%) have been working with such a system for more than eleven years. However, the question of whether this software still meets current requirements remains unanswered for the time being but will be answered in the next chapter of this report. Over half (58%) have installed it in the last one to ten years, and only 14% have done so in the last twelve months.
When was your company’s software system for vehicle logistics implemented? (n=74)
Respondents 2023: n = 74
In the last 12 month
1 - 5 years ago
6 - 10 years ago
11 - 20 years ago
More than 20 years ago
Other
In the area of tracking technology, which provides the software mentioned above, systems with valuable data, barcode scanning is still in first place (53%) but has decreased significantly in frequency compared to the two previous studies from five and ten years ago. Other technologies were used more frequently than before.
Are you using identification / tracking technology?
Respondents 2023: n = 106; 2018 = 63; 2013 = 118. Multiple selections possible. In 2013, less options were given than in 2018 and 2023
Barcode
2023
2018
2013
Truck-based GPS telematics
2023
2018
2013
Electronic proof of delivery (ePOD)
2023
2018
2013
RFID
2023
2018
2013
Electronic freight documents (eCMR)
2023
2018
2013
No, not yet
2023
2018
2013
Vehicle-based GPS telematics
2023
2018
2013
Other
2023
2018
2013
Future Requirements and Developments
If we look ahead again, we can identify a number of challenges that respondents want to tackle with software (see Chart 14). Respondents almost unanimously see the following as "important" or "very important" when using IT: better data analysis (95 %), increased operational efficiency (94 %), and support for strategic and tactical decisions (94 %). If we only look at future challenges that were prioritized as "very important", we see that operational efficiency (63 %) again but also the desire for more end-to-end transparency in processes (55 %) are at the top of the list.
This corresponds with the statement that AI will be one of the important technologies of the future, but also with the general economic challenges identified (see Charts 8 and 9). While most of the requirements were largely rated the same as in the 2018 survey, it stands out that the importance of CO2-saving networks appears to have increased rapidly. Although this challenge was surveyed for the first time in 2023, more than three quarters of respondents (76 %) already rate it as important or very important.
What are the main challenges you expect to face within the next five years with respect to software systems?
Respondents 2023: n = 106; 2018 = 61
Achieve visibility and tracking
2023
Very important
Important
Less or not important
2018
Very important
Important
Less or not important
Better data analysis
2023
Very important
Important
Less or not important
2018
Very important
Important
Less or not important
Better utilization of the parking area
2023
Very important
Important
Less or not important
2018
Very important
Important
Less or not important
Create IT infrastructure for robotization of the yard
(only surveyed in 2023)
2023
Very important
Important
Less or not important
Implement more paperless processes
2023
Very important
Important
Less or not important
2018
Very important
Important
Less or not important
Implementation of identification technology (RFID / Barcode etc.)
2023
Very important
Important
Less or not important
2018
Very important
Important
Less or not important
Increasing operational efficiency
2023
Very important
Important
Less or not important
2018
Very important
Important
Less or not important
Meet business needs e.g. time of delivery
2023
Very important
Important
Less or not important
2018
Very important
Important
Less or not important
More collaborated decision making with partners via web
2023
Very important
Important
Less or not important
2018
Very important
Important
Less or not important
More internationalization (expanding, cooperating globally)
2023
Very important
Important
Less or not important
2018
Very important
Important
Less or not important
Prepare for raising CO2 costs by adjusting processes and transport networks (only surveyed in 2023)
2023
Very important
Important
Less or not important
Reduce software costs
2023
Very important
Important
Less or not important
2018
Very important
Important
Less or not important
Replace existing systems
2023
Very important
Important
Less or not important
2018
Very important
Important
Less or not important
Support for strategic and tactical decisions
2023
Very important
Important
Less or not important
2018
Very important
Important
Less or not important
But do the current systems cover all this satisfactorily? It doesn't look like they do, especially as dissatisfaction with the companies' own software systems for vehicle logistics increases slightly from survey to survey (see Chart 15). While 28 % of respondents were still completely satisfied in 2013, today the figure is only 11 %. A lack of reporting, data mining and analytics options (41 %) is the most common complaint, which again speaks in favor of the future use of AI. A lack of web portals for partners (40 %) and poor usability (38 %) are criticized second and third most frequently. However, it is also worth noting that a full third of respondents (33 %) do not consider their IT to be fit for the future.
However, it seems that there are some hurdles on the way to renewal (see Chart 16). In particular, perceived high investments (44 %), missing internal resources (41 %), and restricted IT budgets (39 %) are the most frequently mentioned barriers to implementing new systems. Although the data does not differ greatly from the results in 2013 and 2018, it is noticeable that internal capacities appear to be becoming increasingly scarce, which will probably argue against in-house developed systems in the future.
In your opinion, what are the weaknesses of your company’s existing software system for vehicle logistics?
Respondents 2023: n = 85; 2018 = 52; 2013 = 118. Multiple selections possible.
Limited reporting, data mining, analytics
2023
2018
2013
No web portal to interact with partners
2023
2018
2013
Usability could be better
2023
2018
2013
Limited functionalities
2023
2018
2013
It is not future-proof
2023
2018
2013
Difficult to integrate new customer data and business processes
2023
2018
2013
Limited automated decision support
2023
2018
2013
Data is not visible in real-time
2023
2018
2013
High yearly maintenance and operational costs
2023
2018
2013
Originally designed for a different industry sector
2023
2018
2013
No weaknesses, completely satisfied
2023
2018
2013
Other
2023
2018
2013
In your opinion, what are the weaknesses of your company’s existing software system for vehicle logistics?
Respondents 2023: n = 106; 2018 = 44; 2013 = 118. Multiple selections possible.
Perceived high investment
2023
2018
2013
Missing internal resources
2023
2018
2013
Restricted IT budgets
2023
2018
2013
Bad experience with software implementation in the past
2023
2018
2013
Not enough information on the benefits of new software
2023
2018
2013
No awarness of the positive impact software has on the company
2023
2018
2013
Other
2023
2018
2013