Logistics service provider V Cargo is encouraging its peers in goods transport to digitalise their work to better cope with new business challenges, including the impact from the pandemic.
Various types of computer software are available, but many logistics companies are reluctant to use them.
"Operators are aware of the importance of technology, but many fear it partly because previous attempts had unsuccessful outcomes," said V Cargo managing director Udom Srisongkram.
Technology and how it's applied are crucial to determining whether operators can gain trust from clients, he said.
V Cargo has opted to use transport management system software, which can run on any platform including mobile phones and allows the company to easily connect with retailers who need to manage and stock their goods.
Vehicle routing problem (VRP) computer software helps plan faster routes for goods transport. The system is used in tandem with tools from Google to analyse traffic conditions on different days to find the shortest routes.
"Experienced employees need hours to plan routes to deliver goods, but VRP finishes the same job in minutes," Mr Udom said.
To do it manually means these employees "can't ask for sick leave", or the routine jobs will be affected, he said.
Better routing management can help V Cargo save 11-12% on expense for staffing per route.
There is no unnecessary cost incurred by drivers using wrong routes or losing their way, Mr Udom said.
The digital technology allowed the company to carry on operations during the outbreak in Thailand earlier this year even while reducing the workforce to follow social distancing guidelines.
Section heads who had to work from home simply monitored goods transport on computer screens and received messages on progress from drivers via Line.
Mr Udom said the company's revenue dropped during the lockdown period when clients that sell large electric appliances in malls faced a temporary shutdown.
The firm still expects to earn about 1 billion baht this year, close to what it made last year, he said.
Mr Udom plans to talk with the Land Transport Federation of Thailand about encouraging other goods transport operators to orientate themselves with new technology to restore businesses reeling from sluggish retailing.
The company's acceptance of the Prime Minister's Export Award for outstanding business development on Aug 26 shows proof that the industry needs to shift to digital transport, he said.
