From Roads to the Sky: The Drone Revolution in Logistics and Its Hidden Impact

The logistics industry is not standing still and drones are becoming the core of all changes in this industry. Previously detected as a concept restricted to military force and sci-fi imagination, drones came out of the shadows of conventional logistics and have the true potential of changing the way people are transporting, tracking and delivering things. However, as much as the noise around this aerial technology introduces, the ultimate question that is in the minds of business people is whether drones are going to upset the current supply chain models or on the contrary, improve them. As it may appear, the answer is not as simple.

The Facts: 

The thing is that drones are of great advantage. They are swift, effective and can reach places where they can easily deliver which are inaccessible using the traditional delivery trucks. When it comes to time sensitive deliveries like medicine, emergency delivery and other perishable goods, drones are unable to achieve faster delivery times. Amazon and Zipline companies are already testing drone delivery in some areas, or it has even started. Such initial applications indicate that drones have the potential of cutting delivery times significantly and potentially reduce last-mile delivery costs, which is the most costly component of the logistics chain.

The issues

Nonetheless, large-scale implementation of drone logistics is not an easy task. The major obstacles of mainstream drone delivery are airspace regulations, battery life, payload, and infrastructure. The rules of the controlled drone flights in not every region are evident, and the number of drones which should be controlled in the big cities with inhabitants is a safety and privacy issue. Without proper planning and regulation, these problems may come to a halt implementation or even regress improvement.

However, to existing supply chain enterprises, the emergence of drones does not always hold the doom. Instead, it may open up new perspectives and new opportunities of cooperation. Drones can also be incorporated into the organization as an on-demand service of delivering urgent or small-sized packages, giving the players in the conventional logistics business an opportunity to complement their services with new ones but not eliminating them. Drones might also form an important supplement to the existing delivery system in the hard-to-reach or rural locations since drones could enhance the delivery without replacing trucks or warehouses.

However, the other gloomy aspect of logistics of drones is possible to overlook. Loss of jobs is a serious apprehension. Jobs as a driver and in the warehouse may be in jeopardy since there would be increased automation and less reliance on the human worker in last-mile delivery. Moreover, the high level of surveillance capabilities that drones provide pose the ethical and legal issues concerning information gathering and the privacy of a person. The environmental effect too. Though the electric drones are green, the materials that they are made with and their short battery life have their share of addiction to electronic garbage unless they are recycled well.

Final Thoughts

In summary, drones did not come to kill the supply chain industry but to redefine it. Although, the transition is going to be a complicated, loaded with potential and problems. To the existing businesses, the most appropriate strategy is not to fight back but to change. The strategic adoption of the drone technology, as well as the mitigation of the risks and constraints of the technology, may prove to be a competitive advantage of logistics providers in the dynamic environment. The sky is most likely to be the new supply chain, however, only people who will plan smartly will become ready to take off.

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