The transport industry operates in an extremely competitive environment. On one hand, it is subject to extremely short delivery times, and on the other, transport companies are governed by strict regulations affecting drivers’ working hours and costs. An opportunity to increase competitiveness and expand into international markets lies in the use of the Internet of Things and analytical systems that allow for the processing of data collected by smart devices.
Transport companies must constantly look for savings by optimizing internal processes and improving customer service. Solutions from the Internet of Things sector come to the rescue. IoT (Internet of Things) consists of: a network of connected devices that allow for active data collection and transmission, and advanced analytical tools that enable the unlocking of the knowledge contained within them.
Smart locomotives
An example of a company using the potential of the Internet of Things in its daily work is GE Transportation, an American manufacturer of equipment for the rail, marine, mining, and energy industries. GE Transportation locomotives are equipped with sensors that allow for the collection of data regarding, among other things, fuel consumption. SAS® Event Stream Processing software allows for the processing of this information in real-time and maintaining locomotive efficiency at the highest level. This enables not only cost optimization but also the reduction of downtime or delays.
Administration looks for savings in transport
Utilizing the potential of the Internet of Things in transport would not be possible without the support of analytical platforms. This is confirmed by the example of the North Carolina Department of Transportation, where forecasts regarding costs and revenues allow for finding funds for further investments. Thanks to data analysis, the organization plans to obtain an additional 267 million dollars for new construction projects over the next two years.
– When looking for savings or additional funds, one must start by eliminating errors. If a discrepancy of 1 percent can equal 15-20 million dollars in losses, then budget forecasts should be carried out as accurately as possible. That is why the public transport department in North Carolina decided to implement the SAS Viya platform, whose task was to analyze 1,300 projects – explains Magdalena Rempuszewska, a business consultant at SAS Poland.
Beyond expense optimization, the use of analytics at the North Carolina Department of Transportation also brings other benefits, which include:
• Analysis of data regarding accidents and the factors contributing to their occurrence, which allows for providing countermeasures that influence the reduction of the number of victims in road accidents. This data can be collected in the system and, in the event of an accident, be transferred to the appropriate authorities.
• Collecting, analyzing, and reporting data on highways, freight traffic on bridges, and roads.
• Real-time road data analysis to make more informed decisions regarding mobility and rerouting in the event of traffic congestion.
• Gathering information about vehicle safety.
Data is the fuel of the transport industry
According to Cisco Systems estimates, by 2020, 50 billion IoT devices will be connected to the network. The potential of this technology should not be ignored, especially in the context of the transport industry, where the optimization of working time and costs is extremely important, and delays in the delivery of goods are associated with severe penalties.
The issue of penalties in the transport industry is regulated by Polish transport law and the CMR convention. In practice, one can observe a tendency to use provisions aimed at circumventing these regulations. For example, principals provide for contractual penalties not for a delay in the delivery of goods, but for the vehicle arriving too late for loading.
– Transport companies must do everything to ensure maximum delivery punctuality. This task is significantly hindered when a company does not use analytical systems that allow for, among other things, planning drivers’ working time or managing warehouse stocks. In the era of the Internet of Things, data is the fuel, and analytics is the engine driving the transport industry – concludes Magdalena Rempuszewska.
Sources:
SAS® helps GE Transportation optimize equipment operation in Industrial IoT era
North Carolina DoT’s Transportation Analytics Center enlists SAS to pave a way forward
Key issues related to the Internet of Things