Travancore Analytics

From Conception to Transformation: Embedded Technology in Logistics Start-ups

November 3rd, 2023

Category: embedded systems

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Posted by: Team TA

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Efficient logistics is essential in today’s globalized world to maintain smooth supply chains and keep businesses competitive. Logistics involves managing the flow of goods, services, and information from the point of origin to the destination. It is a critical component of modern business, ensuring punctual delivery, optimal resource utilization, and customer satisfaction. However, logistics start-ups frequently face obstacles such as manual processes, inadequate real-time visibility, inefficient route planning, and high operational expenses that can impede their progress.

A Capgemini report indicates that almost 60% of logistics companies struggle with optimizing routes and lowering transportation costs. Embedded technology has the potential to revolutionize the logistics industry by providing real-time tracking, automation, and data analytics. According to DHL’s Logistics Trend Radar, 79% of companies believe IoT will have a significant impact on supply chain operations. This technology enables efficient route planning, reduces manual errors, and enhances overall operational efficiency. Integrating embedded technology in logistics startups can make the industry more efficient and customer-focused, with IoT spending projected to reach $15 billion by 2024 (IDC).

What does the logistics industry lag without embedded technology?

1.) Limited Real-time Visibility

Without embedded technology, logistics companies struggle to track shipments in real time. According to a survey by Zebra Technologies, only 39% of logistics firms have real-time visibility into their supply chains, leading to delays and customer dissatisfaction.

2.) Inefficient Manual Processes

Many logistics operations still rely on manual data entry and paper-based systems. These methods are error-prone, time-consuming, and hinder effective decision-making.

3.) Inefficient Route Planning: 

Without embedded technology’s route optimization algorithms, logistics companies waste fuel and time. The American Transportation Research Institute estimates that congestion and inefficient routing cost the trucking industry over $74 billion annually.

4.) Lack of Data-Driven Insights: 

The absence of embedded technology limits data collection and analysis capabilities. In the age of data-driven decision-making, logistics companies miss out on opportunities to optimize routes, predict demand, and identify areas for improvement.

5.) Customer Experience Issues:

Modern customers expect real-time updates, accurate delivery windows, and efficient returns processes. Without integrated technology, logistics providers struggle to meet these expectations, leading to dissatisfied customers and decreased loyalty.

Why embedded technology should be included in your logistics startups?

In the logistics industry, various platforms such as enterprise resource planning (ERP), customer relationship management (CRM), warehouse management systems (WMS), and transportation management systems (TMS) are commonly used. These platforms can be integrated through embedded technology, which improves communication and workflow between departments. This technology ensures transparency in all company transactions and prevents any processes from operating in isolation.

Using embedded technology in your logistics company can accomplish the following:

  1. Real-time Tracking and Visibility-

Embedded integration provides real-time visibility into shipments, enabling precise tracking throughout the supply chain. This helps start-ups monitor the movement of goods, anticipate potential delays, and offer accurate delivery updates to customers. For instance, Maersk Line, a shipping company, integrated IoT sensors in its containers, providing real-time tracking information and reducing the risk of lost cargo.

  1. Efficient Operations and Automation-

Automation through embedded technology streamlines repetitive tasks, minimizing human errors and reducing operational costs. Start-ups can automate inventory management, order processing, and even warehouse operations. This can save you time and improve customer service with fast, accurate order processing. For instance, Amazon’s fulfillment centers utilize robotics and embedded systems to automate order picking, leading to quicker order fulfillment and higher efficiency.

  1. Decisions Driven by Data Insights-

According to DHL’s Logistics Trend Radar, 79% of companies believe that IoT (Internet of Things) will significantly impact supply chain operations, highlighting the growing importance of data-driven approaches. Embedded integration allows logistics startups to collect real-time data from various sources such as GPS trackers, warehouse sensors, and customer orders, creating a comprehensive overview of their logistics processes. This data can then be analyzed to optimize route planning, inventory management, and resource allocation. Moreover, accurate demand forecasting based on historical data can lead to reduced inventory costs and improved order fulfillment.

  1. Ensure Superior Customer Service-

A robust customer care mechanism can significantly improve a customer’s journey through the ecosystem. The use of embedded technology can facilitate a quicker onboarding process for partners or consumers, leading to smooth information interchange. This, in turn, improves information processing and company operation. The greater visibility provided by the technology makes it easier to identify customer-centric improvements in the business, resulting in a better customer experience. By adopting embedded technology, onboarding time for new customers can be reduced by 45%, while complaints can be lowered by 28%. Communication can also be improved by 25-30%.

  1. Secure and Flexible Communication Protocols and Transactions-

Incorporating embedded integration technology thus allows businesses to foster seamless communication while maintaining the highest standards of security. By utilizing embedded integration technologies, you can seamlessly connect, transform, and integrate data while still complying with strict service level agreements (SLAs). You can exercise business-grade control through user-friendly panels and get real-time 24/7 monitoring of the entire process. Supporting a range of advanced protocols like AS2 and OFTP2, you can directly exchange EDI data and conduct business with enterprises across the globe with ease.

Getting Started with Embedded Integration Technology

It is important to make sure that any logistics solution that you choose can support various communication protocols and data formats. Scalability is also crucial, as it allows for seamless growth as the logistic operations expand. Customization options should be available to tailor the solution to the specific logistics needs. In addition, security features such as encryption and authentication should be in place to safeguard sensitive data. User-friendliness is also a key factor to consider, as it simplifies adoption and management. Compatibility with existing applications and cloud embedding processes ensures smooth integration. Lastly, it’s important to assess the provider’s support and licensing terms to ensure a reliable and flexible partnership.


The logistics industry is gearing up for upcoming trends in embedded technology. One such trend is the integration of autonomous vehicles. For instance, Amazon’s deployment of delivery drones showcases how embedded technology is transforming logistics. These drones navigate through complex routes, making last-mile deliveries more efficient and cost-effective. Additionally, the adoption of blockchain technology is on the rise, ensuring secure and transparent supply chain management. These trends underscore the industry’s shift towards innovation, improving operational efficiency and customer experience.

The capacity of embedded technology to seamlessly connect processes, deliver real-time information, and improve operational efficiency can redefine how logistics start-ups operate. Embracing such innovation becomes critical for long-term success as it empowers these companies to stay agile, adaptable, and customer centric.

To unlock these benefits, partner with Travancore Analytics, a distinguished embedded software development company in this domain that stands ready to cater to the logistic needs of budding start-ups. Our expertise in developing customized embedded solutions can propel your company toward efficiency, competitiveness, and growth.

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