It is hard to predict the speed at which technology in logistics is changing. In 2015, the EDI (Electronic Data Interchange) was the core of any advanced transport management system, but it is becoming irrelevant. Shipping APIs are taking over the shipping industry, becoming the most effective tech practice among shippers. In a research conducted with 200 supply chain managers, 85% are using EDI but 43% were unsatisfied with them. 55% of the respondents believe APIs is a practical option to use instead of the EDIs. The main reasons for the replacement is the need to function in real time, compatibility to use competitive TAT, and big data tech compared to EDIs.
The recent progress in the logistics field is credited to enhancements in efficiency. One of the key factors for improving efficiency is the capability to work in real time. With the shipping industry aiming to provide same day delivery models even for the goods that require a small ticket, it becomes crucial that almost all the delays in the delivery chain be reduced. Thus, most supply chains start to roll out different stages at the same time. For example, when a purchase order is in the preparation process, the load rendering and the insurance surcharge is in the completion stage.
A system with components that work simultaneously experiences two main problems: having a seamless integration as well as access to the latest process updates. Fortunately, API technology overcomes these challenges. API helps two different systems communicate in real time and efficiently. Since it can deliver the output in real time, all the supply chain components remain in sync with the shipping progress. The main features of the delivery process are real-time tracking and routing, which are integrated with the API without disruption.
APIs – Increasing Visibility and Mobility
Shipment tracking APIs and rating APIs are crucial for shippers who can require higher visibility in their operations. The comprehensive and improved rating information gives them control in selecting the most effective transporter, faster dispatch, and requesting rates without delay. The tracking APIs makes sure that all freight stakeholders are up to date with the real time location of the freight, which improves the consumer experience.
The feasibility provided by the introduction of Internet in the API systems has a huge impact. The increased use of smart devices like smartphones and tablets will allow shippers to seamlessly track down the commodities while in transit. This cutting-edge tech will enable shippers to easily keep track of their goods without any cost-intensive setup. This speeds the implementation of tracking services and ensures that new vehicles will not go through the integration of communication and tracking devices. Smart devices carried by truck drivers connect easily with cloud-based and GPS services.