IoT in Logistics “The Maersk Case Study”

Last year in the course of Senior Management and information Technologies in the Master of Business, Product & Service Management at the UPV, we analyzed how Maersk was planning to innovate its business model (click here to see the case analysis) and why it was important to them offer the possibility to its customers to monitor its goods while being transported. Now we can see how they implemented the “IoT” to deliver a better service.

According to the article “How IoT can improve the logistic process” the internet of things (IoT) provides data, which describes objects “physical assets” for example a good to be transported and distributed worldwide. As a consequence, asset data can be available in real time and at low cost in a central location, enabling completely new use cases and business models.

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Maersk has been the largest container shipping line and vessel operator in the world since 1996. There experience in this area of logistics is vast, this company is constantly innovating and integrating new technologies within their business in order to enhance its value proposition and make the customer experience better. For this reason Maersk has started implementing IoT into their supply chain management business model.

Maersk has teamed up with Microsoft by using its cloud computing services Azure. This platform allows Maersk to integrate several devices and get access to a high volume of data so it can better manage its services. Let’s take a close look at how IoT helps this company improve its business.

  • Visibility: Customers are provided with insights of their goods in real time, so they now what is happening at any time.
  • Conditions control: now the humidity and temperature can be controlled online.
  • IoT 380 000 devices: a vast quantity of devices can be synchronized to obtain valuable data and to operate flawlessly.
  • Security: IoT offers security for both the company and the customer.
  • Cloud based services: this makes easier for the customers to get data faster.
  • Co-creation: Maersk is able to detect and study better what its customers need, so it facilitates the co-creation of new products and services adjusted to tackle a particular issue.

The video below better explains how Maersk is disrupting this industry with the use of IoT integrated into its supply chain.

Here are some further lectures for you to read in case you are interested about this amazing subject.

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