Cold chain logistics is responsible for managing highly sensitive goods—perishable products that can trigger health alerts if not maintained under controlled conditions. This presents a dual challenge for companies in the cold chain: meeting the demands of Logistics 4.0 while adhering to industry-specific requirements. In this article, we’ll explore the key areas of focus for logistics managers in this sector:
Four Elements for Effective Cold Chain Logistics Management
The following trends are reshaping the operations of cold chain businesses:
- Energy Efficiency in Warehouse Design and Points of Sale
- Containing storage and transportation costs is a common goal across supply chains. However, cold chain logistics requires substantial investments in warehouses, industrial vehicles, and retail points due to the necessity of maintaining a cooled environment.
- For cold storage facilities, the design focuses on reorganizing space to control energy consumption. Many companies opt for high-density storage systems (especially when dealing with numerous pallets of few SKUs), clad-rack warehouses (which emphasize vertical space), and insulation materials during construction to minimize temperature loss.
- Exhaustive Process Control: Temperature, Traceability, and Stock Movements
- As perishable goods travel through the supply chain, they encounter critical points that could disrupt the cold chain. To mitigate this risk:
- Maintain Controlled Temperatures: Rapid delivery times and omnichannel logistics trends also apply in the cold chain sector. It’s crucial to monitor storage and transportation conditions, utilizing specialized sensors to capture and relay data to relevant software.
- Ensure Rigorous Goods Traceability: RFID technology is increasingly utilized in cold chain logistics for its automatic identification capabilities. Smart labels provide essential product information (like production batch, expiration date, and characteristics) and interact with various software systems in a contactless manner.
- Thorough Process Control: Inadequate stock management heightens the risk of spoilage. Therefore, strict adherence to FIFO/FEFO rules is vital, from production to consumer. Software solutions simplify information management, with Warehouse Management Systems (WMS) serving as excellent tools for stock control.
- As perishable goods travel through the supply chain, they encounter critical points that could disrupt the cold chain. To mitigate this risk:
- Maximum Speed in Cold Chain Logistics Operations: Automation
- The implementation of automated systems in warehouses has significantly enhanced agility and safety in handling perishable goods at controlled temperatures. In addition to versatile stacker cranes and pallet conveyors, solutions include:
- Pallet Shuttle: When paired with high-density storage systems, the Pallet Shuttle accelerates stock replenishment and dispatch operations by minimizing the movements of forklift operators.
- Mobile Racks: These are primarily used in freezer stores with medium and low-turnover SKUs, allowing for denser storage and substantial space and cost savings.
- Voice Picking: This system aids in picking tasks in cold stores, where gloves can hinder the operation of reading and scanning devices.
- The implementation of automated systems in warehouses has significantly enhanced agility and safety in handling perishable goods at controlled temperatures. In addition to versatile stacker cranes and pallet conveyors, solutions include:
- Awareness and Training of Professionals
- Despite the latest technological tools and organizational enhancements, the human factor remains crucial. Cold chain logistics demands workers who are knowledgeable about processes and fully aware of what it takes to ensure optimal continuity of the cold chain from their respective roles.
- Consequently, Talent 4.0 plays a vital role in this challenge, as emerging technologies require increasingly digital skills from the workforce.