Learnings that cab companies can adopt from logistics

 

Hello ladies & gentlemen!

This week we are going to have a look at some of the learnings that taxi companies can adopt from logistics. Though both are different, there is a lot common in the transportation and logistics and taxi industry. They both rely on effective movement from one place to another and are ready to experience massive industry disruptions. Whether by truck, plane, rail, or ship, transport and logistics rely on a combination of supply chain management, warehousing, and distribution planning. It is the business of acquiring products and sometimes people from source to destination. How can the taxi company learn from transportation and logistics?

Information is the key

• Integrating data into the movement of goods and packages has changed the face of transportation and logistics. 
• Key elements such as Big Data, the Internet of Things, and Artificial Intelligence (AI) are becoming common in the industry. 
• United Parcel Service (UPS) is an industry leader in integrating data into an advanced transmission system. 
• UPS's route optimization system, called ORION (On-Road Integrated Optimization and Navigation), analyzes data on a daily basis to create efficient routes. 
• Orion has over 250 million unique address points, analyzed to suit customers' shipping needs, and customized compilation of map data. 
• The Orion system recommends ways to save UPS 10 million gallons of gas per year and 100,000 metric tons of greenhouse gas emissions.

Learning: Taxi companies need to recognize the benefits offered by Intelligent Dispatch Systems. These systems not only increase efficiency but also greatly improve the service provided to customers. When taxis take less time to pick up and transport customers, everyone benefits.

Greater importance to the king

• Generally, when it comes to business, the customer is considered to be the king.
• In transportation and logistics, meeting customer needs means faster delivery to their doorsteps. 
• The next day and, in some cases, the same day delivery service is becoming more of an expectation than a luxury. 
• Flexible and convenient delivery options are also required. 
• Customers can choose their delivery time and track the exact location of their shipment during the delivery process. 
• While young consumer buyers are looking for the most user-friendly and convenient option, transportation and logistics companies are finding innovative ways to meet these needs. 
• Amazon, for example, allows its delivery drivers to open a customer's home or car and place a package inside.

Learning: Customer service is important to meet customer needs and attract new customers, especially when getting Millennials on board. Providing a great experience is clearly important, but expectations of technology are also growing. When it comes to things like transportation, customers now seek out a user-friendly app that allows them to travel quickly and easily. Big or unfair, every customer solution is compared to what tech giants offer.

The Road ahead

• On the edge of transportation and logistics, startups around the world are experimenting with new, innovative ways to deliver packages and goods to your front door. 
• In Iceland, a local startup called Aha uses drones to deliver hot food, groceries, and electronics.
• Another startup, Udelv, is experimenting with supplying groceries through autonomous vehicles in the city of Oklahoma. 
• Other companies are using common innovations to overcome modern challenges. 
• A company in London has launched a two-hour delivery service that uses cargo bicycles to avoid traffic problems and deliver goods to the city.

Learning: Taxi companies need to focus on innovations in their own industry and others when planning to respond to upcoming disruptions. Adding new ideas and technologies not only ensures that your company is relevant in the future, but also allows your brand to gain the recognition associated with early adopters. Fully electric aircraft or Multi-model integration are opportunities that are endless and evolving quickly. With autonomous vehicles, flying taxis, futuristic tunnels, and more horizons, companies that are flexible and adaptive will continue to grow.

Both the transportation and logistics industry and the taxi business are on the verge of big changes. The two streams can learn a lot from each other to integrate data-based fleet management, attract younger customers, and prepare for industry disruptions.

Adios, Amigo!

- Varadharaju R