Technology has changed the world as we know it, and it is evident that there is no other option but to embrace all what technology has to offer
By: Dr. Walaa Yehia, Assistant professor at the Faculty of Mass Communication, Cairo University
Mon, Jan. 11, 2021
Technological advancements have radically affected business enterprises of all kinds, paving the way for a significantly growing dependence on technology applications, including artificial intelligence, virtual reality and augmented reality.
A few decades ago, smart glasses, self-driving trucks, virtual meetings, etc. were merely some creative ideas introduced in science fiction movies. Today, they are almost as unimpressive as the old wire phone, with the near future holding many more radical changes.
One of the business areas that have been greatly affected by the technological change is ‘logistics services’, referring to the science and art of managing the flow of resources, including goods, energy, information and human services from production to consumption.
Artificial intelligence applications in logistical services range from dynamic supply planning using real-time demand analysis technology; to warehouse robots technology that sorts and stores goods; damage detection technology or visual inspection which is done through thermal sensors that distinguish damaged and unusable packages; self-driving trucks which have proven greatly successful compared to traditional trucks; delivery drones from fast food orders to furniture and heavy loads; and smart points technology that sends notifications about the arrival of trucks, date, time and itinerary supported by VPS technology — the developed version of GPS —.
The global warehouse robotics market was valued at $3,580.32 million in 2019; and it is expected to reach $6,858.05 million by 2025, registering a CAGR of 11.55 percent during the period between 2020 -2025. Amazon is one of the leading companies in applying this technology in its warehouses.
Moreover, the autonomous trucks/cars market is estimated to reach $60 billion by 2030. As for drones, Asia Pacific was the largest region in the commercial drones market in 2019, followed by North America; and it is expected to remain the largest during the next five years.
The commercial drones market in Asia Pacific is forecasted to register the highest CAGR during 2019-2023.
Apart from logistics services, the promotion and advertising business is also seeing significant technological advancement. Virtual reality technology has enabled customers to venture into a replica world equipped with high sensitivity sensors through smart wearable devices.
Similarly, augmented reality technology is offering unlimited opportunities to all kinds of businesses.
For instance, IKEA now allows customers to try furniture pieces anywhere and anytime, needing nothing but their smart phone. In general, almost all industrialists are becoming very keen on integrating AI application in their businesses for better and faster performance.
AI helps reduce stress and take better decisions; it can be used to monitor assignments, allows for multitasking, and ensures accuracy. For instance, in any company, the most time-consuming process, which is also prone to human error, is cash flow forecasting. With AI technology, this can be done accurately without any need for manual interference.
That said, and with Covid-19 accelerating the shift towards digitization even further, business organizations have no choice but to embrace the technological transformation.
The initiative is better taken from top to bottom, starting with a strong leader, often a CEO or director of digital transformation, who carries on the implementation of a road map to integrate available technologies into the business process.