Transport Intelligence Report: Technology Trends 2022

Information Security

Infrastructure and operating platforms: Mobile devices, broadband access, and cloud applications

Critical applications: Visibility, combination WMS/fulfilment, TMS/shipping system

Web 3.0. Lyon says that in a Web 3.0 framework, “applications can search, identify, link and exchange information themselves, often aided by machine learning and ultimately, artificial intelligence.” This ability will “change how organisations use systems and potentially, how systems themselves become autonomous organisations,” he notes, and cites blockchain technologies as early examples of this type of decentralized approach.

Decentralised Knowledge Graphs. Describing these as “entities that hold data and information in a manner that is rich in context and relevance,” Lyon says a “very rich map of data entities and their connections, associations, and related interactions” can be created, which would support increased visibility for the logistics sector. In fact, since supply chains can be so complex, “…a distributed knowledge graph that exploits some of the technologies used by the decentralised blockchain networks described above, will be profound,” he writes.

Smart Reverse Logistics. Noting the burden of reverse logistics, Lyon envisions hope on the horizon using smart technologies: “…technologies such as the internet of things and real time tracking now make it possible to design returns processes that are more efficient and sustainable.”

Hybrid Networks/Ecosystems–Simplification. Although digitization of the supply chain is an imperative, Lyon says that multiple network connections result in complex “jungles” of connections that increase cybersecurity risks, since “interfaces between networks have always been a significant risk point in any network.” However, if companies can simplify their network infrastructures, “the number of openings for attackers will be reduced.”

Continuous Cyber Monitoring: Although cybersecurity audits are common, Lyon says they aren’t enough. Instead, “continuous monitoring of potential threats and attacks to networks” are needed. He cites standards from the US National Institute of Standards and Technology (NIST) for “information security continuous monitoring (ISCM)” and the UK government’s “published guidance regarding cyber risk (including specifically for supply chain operations), through the National Cyber Security Centre (NCSC).”

Machine Learning/Computer Vision “as a service.” Describing Machine Learning as a Service (MLaas) as “a range of capabilities provided by experts in various branches of artificial intelligence (AI) through Cloud service providers,” Lyon says MLaas services include “data visualisation, image recognition/computer vision, natural language processing and predictive analytics,” which could have a “profound” impact across organizations if applied in the right way.

Digital Twins. Describing digital twins as “digital representation of the real world,” Lyon says that although creating and applying this capability may not be easy, the potential impact could be significant “to reduce costs and improve efficiency.” For more on digital twins, please see our article: “Using Digital Supply Chain Twins to Anticipate and Plan for Disruptions.”

Local retail/fulfilment hubs. He says that current retail space is “starting to be reimagined as [a] combination of retail experience and local fulfilment and distribution centres. These facilities can be serviced by fleets of electric vehicles doing local pickup and deliveries, themselves serviced from larger out of town distribution centres.” Additionally, Lyon says many of these facilities are rapidly introducing robotic technologies.

Asset pooling/sharing. In a related trend, he writes that companies may start to share “facilities, delivery and distribution assets,” a concept which is now “both workable and probably desirable,” due to the many changes that have occurred. “Thanks to the general availability of Cloud services, high speed broadband and powerful mobile devices, the required networks can be established and in operation very quickly. Equally, they can be repurposed or withdrawn at will, avoiding expensive runoff costs,” Lyon writes.

Platforms as marketplaces. Describing global retail as being “in transition with the wholesale movement online and onto global platforms,” Lyon says the current acceleration of this shift “will transform the way retail logistics and supply chain management operates in this sector.”