Blog Post
Creating a greater sustainable supply chain with the use of returnable assets
Adapt Ideations • Sep 22, 2019
Whether you wish to simply keep track of your RSAs or your valuable products in transit, smart asset tracking is becoming a necessity more than you think.
Everyone that has worked in a role related to a supply chain will know what returnable assets are. Many I’m sure would consider them a pain point within warehouses where at times they may sit in a corner untouched until they need to be used or returned. Returnable assets and reusable supply chain assets (RSAs) are assets that can be used time and time again assisting companies in transporting their goods. RSAs include anything from reusable boxes, containers, and pallets. In fact, the term has been around for quite some time. RSAs were previously used to reduce damage of products and increase operational efficiency. Companies are beginning to realise the real benefits around the use of RSAs as the environmental impact and sustainability of companies are increasingly becoming a hot topic for many consumers and clients across the globe.
A significant challenge of using RSAs however is the returnable assets will remain unused for any period of time between one week to a few months depending on the reverse logistics processes of companies and agreements they have in place with various clients. Reverse logistics as it suggests is the process by which products can be successfully returned to any previous element in a supply chain.
What is the underlying problem?
The real challenge for most companies is the visibility of these assets. Many companies in fact have returnable assets in place but do not have a secure plan to keep track of these assets in their supply chain highlighting a significant challenge. A reusable asset with a low cost may not seem like an issue to many, however it does become a problem when warehouses don’t know the exact number of returnable assets in circulation. Therefore, the cost associated with these potential lost assets could be costing the company thousands depending on the number of these assets and their value. As mentioned in a research study undertaken by Telsyte for Telstra
it’s believed companies alone in Australia lose an average of 4.3 billion in assets each year. This brings me to the importance of visibility and transparency of these reusable assets. Without these two elements how must companies be able to account for their RSAs and transform themselves into a greater sustainable company.
It is no longer simply about companies’ internal processes. Consumers are more empowered than ever as they have become highly connected and informed consumers through the increasing availability of information. More than ever consumers and businesses are looking towards purchasing from companies which are sustainable and incorporate environmentally friendly practices. Through the use of RSAs and asset tracking practices, companies alike can transform their processes ultimately helping them to get closer to reaching their bottom line while also decreasing unnecessary waste.
Without a doubt many companies use RFID technology to keep track of these RSAs within the supply chain however the technology can be challenging to implement particularly for larger companies and supply chains operating across multiple sites whether this this is nationally or globally. What makes Adapt Ideations
different is the use of the most advanced technology to successfully create an always connected supply chain for companies. In essence Adapt Ideations transforms and assists in digitalising your supply chain. Whether you wish to simply keep track of your RSAs or your valuable products in transit, smart asset tracking is becoming a necessity more than you think. This is increasingly linked to the alarming statistic highlighted in a white paper published by IBM
that 15-20% of RSAs are in fact lost. Consider how much the total cost would amount to!
Why is this becoming a challenge now?
We live in an era where consumers have become more eco-conscious than ever due to the highly evolving digital world around us that allows individuals instantaneously to attain information at their fingertips. Consumers, governments and companies alike are pushing brands to adopt more sustainable practices through this heightened pressure to become increasingly more sustainable. Many companies have in turn established the use of RSAs to become more sustainable by reducing waste of packaging and material used in the transport of their products. Tellape
highlights the whopping total for plastic pallets and container loss between 800 million to 1.5 billion annually in the US alone. It’s no wonder companies are feeling the pressure.
It’s one thing to implement RSAs into a company’s supply chain process but to further this, IoT and further related technology is assisting companies to step up to the next level ensuring visibility and transparency at every stage of the supply chain in turn streamlining their processes and the tracking of RSAs. The benefits go well above simply reducing waste. As such companies can reduce loss of their products, establish where inefficiencies within the supply chain are occurring, improve operational efficiency, and even accomplish end-to-end visibility of their supply chain essentially adding value for their clients and customers. As emerging technology continues to evolve including IoT, AI, and blockchain, almost every industry will look to incorporate these to transform how they do business.
Opportunities for achieving supply chain visibility with Adapt Ideations
Adapt Ideations
specialises in innovative end-to-end customisable solutions using the most advanced technology. Here at Adapt Ideations we have an array of solutions available that can be applied to almost every industry. Our smartest asset tracker KELVIN
is specifically designed for the bio-pharmaceutical, food & beverage industry assists companies with temperature sensitive products. KELVIN allows greater transparency to be developed in turn assisting companies to ensure the quality of their products. Core benefits include near real-time tracking of location, light, and shock.
Another smart asset tracker LISA
is aimed at companies transporting a range of products. Core benefits includes near real-time tracking, temperature, and geo-fencing capabilities. LISA can be used to enhance visibility and transparency for companies in a wide range of industries. With essential and easy reporting measures incorporated into our portal, insights can be established allowing companies to increase their operational efficiency and transform their every day data into operational intelligence.
Contact us at enquiries@adaptideations.com
for further information and discover how smart asset tracking could enhance your operations.
Powerful and reliable, asset tracking and monitoring solutions.
Innovative monitoring solutions for high-value & temperature-sensitive assets.
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Awards & Recognition
Best Temperature Monitoring Solution Provider
Awarded by India Biologics & Vaccines Outstanding Industry Awards 2022
Adapt Ideations Recognised As A Supply Chain Leader
by Alcott Global on Supplify's Supply Chain Tech Map 2.0
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The global landscape of healthcare is evolving rapidly, with vaccines playing a pivotal role in preventing and mitigating diseases. The World Health Organization (WHO) underscores the critical need for vaccines to be stored and transported at specific temperatures to ensure their efficacy and safety. The COVID-19 pandemic has underscored the fragility of global vaccine distribution, emphasizing the importance of maintaining the cold chain during transportation and storage. Importance of Cold Chain in Vaccine Distribution The efficacy of vaccines is intricately linked to the maintenance of the cold chain. The global cold chain packaging market is projected to grow at a substantial CAGR of 14.8% from 2023 to 2033, driven by the escalating demand for temperature-controlled packaging solutions, especially in the pharmaceutical industry. This growth is indicative of the increasing recognition of the significance of the cold chain in preserving the efficacy of vaccines. The Role of Active Track & Trace Solutions Amid the challenges posed by maintaining the cold chain, the emergence of the active track and trace solutions has become a game-changer in ensuring the integrity of vaccines. 1. Real-Time Monitoring for Vaccine Integrity Active track and trace solutions provide real-time monitoring, offering a dynamic and immediate response to deviations from the recommended conditions. This capability is instrumental in preventing temperature excursions that could compromise the quality of vaccines during transportation and storage. 2. Automated Alerts for Swift Intervention One of the key benefits of active track and trace solutions is their ability to generate automated alerts. In the event of any deviations from the optimal temperature and other vital conditions, stakeholders receive instant notifications. This swift intervention minimizes the risk of vaccine wastage and ensures that corrective measures are taken promptly. 3. Data Analytics Enhancing Decision-Making Beyond real-time monitoring and alerts, active track and trace solutions contribute to data analytics. The integration of analytics provides valuable insights into the performance of the cold chain. Decision makers can leverage this data to optimize supply chain processes, further enhancing the efficiency of vaccine distribution systems. Challenges in Vaccine Tracking The pharmaceutical industry faces unique challenges in tracking and distributing vaccines, especially in the wake of global health crises like the COVID-19 pandemic. 1. Increased Demand and Market Growth The global vaccine market is expected to grow at a CAGR of 5.74% from 2024 to 2030, fueled by the escalating demand for vaccines worldwide. The Asia-Pacific region, with its rapidly growing market, is at the forefront of this expansion. The surge in demand poses challenges in efficiently meeting the needs of diverse populations. 2. Vaccine Distribution Challenges The COVID-19 pandemic had triggered a surge in demand for vaccines globally, highlighting the need for efficient and effective distribution systems. Advanced technologies, including active track and trace solutions, play a pivotal role in overcoming the challenges posed by increased demand and ensuring a seamless distribution process. The Intersection of Technology and Vaccine Distribution To overcome the challenges of vaccine tracking and distribution, the pharmaceutical industry is increasingly turning to advanced technologies. 1. Blockchain and AI for Enhanced Efficiency and Security The utilization of technologies such as blockchain and artificial intelligence (AI) holds great promise in improving the efficiency and security of vaccine distribution systems. Blockchain, with its tamper-proof ledger, enhances supply chain security. AI, on the other hand, analyzes vast datasets, providing insights that can be utilized to optimize supply chain operations. 2. Global Cold Chain Logistics Market Growth The global cold chain logistics market is projected to grow at a significant CAGR of 15.1% from 2021 to 2028, emphasizing the increasing demand for temperature-controlled logistics solutions. This growth further underscores the need for advanced technologies to ensure the integrity of temperature-sensitive products, with active track and trace solutions at the forefront. Maersk's Perspective on Cold Chain Logistics Maersk's whitepaper on the state of cold chain logistics provides insights into the pressing need for advanced technology adoption in the global supply chain. 1. Technology Enhancement Goals With 75% of the global supply chain seeking more technological enhancements by 2026, the demand for IoT solutions, including active track and trace solutions, is becoming more critical. Maersk emphasizes the need for a technological revolution to address the challenges posed by the increasing complexity of the global supply chain. 2. Roadblocks: Personnel and Change Management While the benefits of IoT technology are evident, roadblocks such as personnel and change management hinder the full-scale adoption of these technologies. Overcoming these challenges requires a strategic approach to training and organizational change, ensuring seamless integration into existing supply chain processes. Digital Transformation in Pharma Supply Chain The pharmaceutical industry is undergoing a significant transformation, driven by the need for a more resilient and agile supply chain. 1. Supply Chain Challenges and Opportunities The pharmaceutical industry faces numerous challenges in optimizing its supply chain processes. These challenges include counterfeit drugs, lack of visibility, product recalls, supply chain disruptions, complex inventory management, data security, and stakeholder collaboration. However, amidst these challenges lie numerous opportunities for improvement through digital transformation. 2. Opportunities Unveiled by Digital Transformation Digital transformation offers the pharmaceutical sector multiple opportunities to enhance its supply chain. Technologies such as IoT, blockchain, and AI can revolutionize the industry. a. Enhanced Visibility Through IoT Digital technologies such as IoT provide real-time visibility into the entire supply chain, enabling greater transparency and accountability. This is particularly crucial in ensuring the integrity of temperature-sensitive products like vaccines. b. Reduced Lead Times and Improved Quality Control By automating and streamlining repetitive processes, digital technologies can significantly reduce lead times, resulting in faster product delivery and increased customer satisfaction. AI and machine learning can enhance quality control by analyzing large datasets, identifying patterns, and enabling proactive quality management. c. Cost Savings and Sustainability Digital transformation can result in significant cost savings for pharmaceutical companies by reducing waste, improving inventory management, and optimizing processes. This is crucial for ensuring the profitability and sustainability of the industry.
Explore the future of smart warehousing with real-time visibility trends and innovations. Unlock efficiency and sustainability with Adapt Ideations' KELVIN range of solutions.
Overview After experiencing multiple lockdowns and restrictions globally during the pandemic Adapt Ideations saw a clear answer to overcoming challenges such as manufacturing delays or orders requiring a quick turnaround. This led the company to identify regional manufacturing support that could be utilized to meet these necessary requirements. Adapt Ideations turned to Circuitwise , a local Australian manufacturing company to diversify our manufacturing. Problem A significant takeaway from the global pandemic highlighted the need for regional manufacturing support due to prior reliance on international manufacturers. Not only were periodic delays experienced, but turnaround times between product testing and challenges with global logistics to our regional hubs were felt throughout the pandemic. This led Adapt Ideations to seek regional manufacturing support in order to combat future challenges experienced from solely relying on overseas based suppliers for manufacturing our products. Regional support can also be utilized for smaller orders or when a quick turnaround is essential for orders placed. In most cases our clients have a significant number of devices in circulation at any point of time. An important aspect of the devices in circulation is managing them effectively particularly over a number of different sites. In order to achieve this, Adapt Ideations provides customers the ability to use mass charging boards in which a number of devices can be charged at the same time without individually having to connect each device to a USB cable and subsequently into a power socket to charge. Solution In a company first, Adapt Ideations partnered with Circuitwise , a local Australian manufacturing company to meet the requirements of an order for mass chargers that needed to be fast tracked. With Adapt Ideations largely working with clients who handle cold chain products that are often highly regulated, partnering with a supplier who maintains a high level of reliability & safety standards and has demonstrated experience working with similar industries is paramount to ensure consistent high standards are maintained. The benefits of partnering with a regional manufacturing supplier can be measured on a number of metrics such as experiencing a quicker turnaround to better meet the needs of our clients when required, eliminating the need for globally importing products and cost savings associated with smaller orders placed. Future After the first successful project working alongside Circuitwise, Adapt Ideations hopes to expand the partnership and work with Circuitwise on a number of future projects. Their commitment to high quality standards and collaborative approach has been fundamental in supporting us throughout our first project with Circuitwise. “Increasing supply chain resilience post pandemic has been a significant focus area for Adapt Ideations. Our collaboration with Circuitwise provides a strategic assurance to our ANZ supply network while supporting the drive to promote manufacturing in Australia. We look forward to more exciting projects in the coming days.” - Anirban Gupta Co-Founder and Director, Adapt Ideations Circuitwise CEO Serena Ross said she was pleased to see another company realize the benefits of manufacturing in Australia, particularly for small to medium-sized production runs. “There are many good reasons for manufacturing in Australia ,” Serena said, “including speed and reliability, responsiveness, ease of communication, reduced tariffs and intellectual property protection.”
Explore global trends in cold chain packaging, ensuring product integrity. Discover innovative solutions with Adapt Ideations for real-time visibility and sustainable logistics.
Temperature-controlled logistics is a crucial aspect of global supply chains, particularly in the pharmaceutical industry. Maintaining the correct temperature during transportation is not just a logistical issue but also a critical factor in ensuring the safety and efficacy of life-saving vaccines and other temperature-sensitive products. As the demand for temperature-sensitive products like vaccines and biologics continues to surge, ensuring their safe transportation is paramount. Any deviation in temperature during transit can compromise the efficacy of these products, leading to significant financial losses and potential health risks. This blog delves into the evolution of temperature-controlled logistics, critical challenges faced in this sector, and groundbreaking innovations that address these challenges. With a focus on real-time monitoring through IoT solutions, we aim to showcase the advancements that contribute to the efficiency and compliance of global pharmaceutical supply chains. Evolution of Temperature-Controlled Logistics Temperature control has undergone a remarkable transformation in the last two decades. Stringent global regulations, customer demand for new temperature ranges, emerging markets with extreme temperatures, and the growing value of drugs like biologics have been essential driving forces. These factors have spurred the evolution of temperature-controlled logistics to meet the demands of a rapidly changing world. The landscape of temperature-controlled logistics is evolving, thanks to technological advancements. Trends include the growing availability of prequalified shippers simplifying the validation process, sophisticated supply chain services, a rising interest in reusable packaging, and advances in temperature-monitoring technology. These innovations contribute to the industry's ability to adapt and thrive in a dynamic environment. Temperature-controlled logistics involves managing the flow of products through a cold chain. Divided into food and pharmaceutical sectors, the global market size of cold chain logistics is projected to grow significantly. From USD 242.39 billion in 2021 to USD 647.47 billion by 2028, exhibiting a CAGR of 15.1%, the industry is expanding rapidly, reflecting its critical role in modern commerce. 3 Key Challenges in Temperature-Controlled Logistics Compliance Issues Stringent Regulatory Standards: Global temperature-controlled logistics operates within a framework of strict regulations set by health and safety authorities. Meeting diverse regulatory requirements across international borders poses a significant challenge for companies in this sector. Documentation & Reporting: Compliance involves meticulous documentation and reporting of temperature-sensitive shipments. Keeping up with the evolving documentation standards requires streamlined processes and robust systems. Validation & Qualification: Ensuring the validation and qualification of equipment and processes according to regulatory standards is an ongoing challenge. The need for continuous validation adds complexity and time constraints to logistics operations. Risks of Temperature Deviations Product Integrity: Temperature-sensitive products, especially pharmaceuticals and biologics, are highly susceptible to temperature deviations. Even brief exposure to temperature breaches during transit can compromise the integrity and efficacy of these products. Financial Implications: Temperature deviations can lead to significant financial losses for companies. Replacing or disposing of compromised products and potential legal repercussions contribute to financial challenges. Supply Chain Disruptions: Temperature deviations can disrupt the entire supply chain, leading to delays in product availability. This not only affects businesses but can have critical implications for healthcare providers and patients relying on timely access to medications. Security & Theft Concerns Value of Cargo: Temperature-sensitive cargo, such as pharmaceuticals, vaccines, and high-value perishable goods, can become a target for theft. The significant value of these products heightens security concerns throughout the supply chain. Vulnerability During Transit: The vulnerability of cargo during transit, particularly in unsecured areas, poses a constant risk. The potential for theft during transportation adds complexity to securing temperature-controlled shipments. Need for Tracking & Monitoring: Ensuring the security of temperature-sensitive cargo requires robust tracking and monitoring systems. Integrating security features, such as real-time location tracking and tamper-evident technologies, is essential to mitigate theft risks. In navigating the intricate landscape of temperature-controlled logistics, companies must address these multifaceted challenges to uphold compliance, safeguard product integrity, and ensure the security of valuable shipments. Innovative solutions, such as advanced monitoring technologies and comprehensive security measures, are crucial in overcoming these challenges and fostering a resilient and efficient supply chain.
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