Humans and Technology

What does the evolution of technology mean for logistics professionals in 2024?

PackageX was recently featured in a New York Tech article that noted how the retail landscape transitioned from a 'just-in-time' to a 'just-in-case' inventory strategy over the past few years.

After the ecommerce boom in 2020 and 2021, retail giants like Target, Walmart, and Macy's grappled with surplus stock that arrived after supply chain disruptions when demand for products was lower. This resulted in a significant amount of markdowns. Even brands like Nike activated heavy discounts to clear out excess inventory.

Inventory management automation reemerged as a pivotal solution to ensure overstocking to this degree never happened again. These automation technologies — everything from logistics software to inventory scanning devices and robots — enabled businesses to more efficiently manage and move the stock they already had and know exactly when to order more.

There was a prevalent concern, however. Would the evolution of this technology replace human labor? 

“The reality is that technology cannot replicate human cognitive abilities, and conversely, humans cannot mimic the precision and consistency of technology. It's a symbiotic relationship, not a replacement scenario.”

This is true whether you’re talking about logistics software that captures and digitizes shipping label data, artificial intelligence that recommends actions based on data, or the robots and machinery that perform the actions. In each case, humans are needed to manage the technology which is a more interesting and layered assignment.

For example, imagine a warehouse worker manually cross-checking inventory against manifests. This is a complex and tedious task, not to mention highly prone to error. Instead, scanning software and devices can be used to aid in monitoring inventory levels, data ingestion, and decision making.

In a tech-driven era, human ingenuity remains pivotal. Businesses shouldn't fear automation but embrace it as a tool to augment human capabilities. By harmonizing human and machine intelligence, we can fortify supply chains that rely more on human creativity and less on rote manual labor.

What’s the sentiment around new logistics technology, artificial intelligence, and robotics in your company?