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Tive State of Visibility 2023 Report

The survey found a large gap between the demand for real-time shipment visibility and technology adoption by supply chain leaders. While reliability used to be the top priority, the pandemic highlighted the importance of visibility and traceability for supply chain resilience. Most respondents said in-transit visibility was lacking, especially for over-the-road shipments. While visibility solutions were seen as important, only 25% of shipments were tracked in real time, showing room for improved technology usage.

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0% found this document useful (0 votes)
84 views15 pages

Tive State of Visibility 2023 Report

The survey found a large gap between the demand for real-time shipment visibility and technology adoption by supply chain leaders. While reliability used to be the top priority, the pandemic highlighted the importance of visibility and traceability for supply chain resilience. Most respondents said in-transit visibility was lacking, especially for over-the-road shipments. While visibility solutions were seen as important, only 25% of shipments were tracked in real time, showing room for improved technology usage.

Uploaded by

Kiki Rojas
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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THE STATE

OF VISIBILITY
2023
www.tive.com
The State of Visibility 2023

SURVEY EXPOSES
MASSIVE GAP BETWEEN
DEMAND FOR REAL-TIME
SHIPMENT VISIBILITY &
TECHNOLOGY ADOPTION
BY SUPPLY CHAIN LEADERS
For years, reliability and efficiency were considered to be top
priorities for efficiently managing supply chains. The
COVID-19 pandemic flipped this script by exposing the
importance of supply chain resilience, leading to the World
Economic Forum (WEF) highlighting visibility and
traceability as key to achieving resilience in supply chains.

Visibility is often described as the degree to which a


company can see exactly what’s happening within its supply
chain—including real-time insights, analysis, and the ability
to predictively spot problems in real time, and act on them
immediately.

Traceability refers to the company’s ability to trace back the


path and process of every input, including the source and
origin information of all the components used in the
production or manufacture of a product.

Achieving and measuring visibility and traceability can be


operationally challenging—and can pose obstacles if the
correct approach is not followed. To help supply chain
decision makers assess the current market and identify the
visibility needed to meet their requirements, Tive
commissioned a survey called “The State of Visibility 2023.”

This survey garnered more than 260 responses from the


supply chain sector, with 15% of participants coming from
the C-Suite, 38% from the Director/VP level, 34% from the
management level, and 13% from operations and analyst
roles.

Of the industries responding to the survey, 51% came from


Transportation/Logistics/3PL, while almost 19% represented
specialist industries including food/perishables and
high-value retail, consumer, and luxury goods—all of which
have been affected tremendously by cargo theft, which has
been reported to be a $35 billion industry.

www.tive.com 02
The State of Visibility 2023

DATA SHARING &


COLLABORATION
More than 80% of survey respondents are directly involved with supply chain operations and
visibility. This large participation of supply chain personnel highlights the importance of
information and data sharing in the logistics field—as it relates to driving better cooperation
among stakeholders.

The Survey Says…


Regarding the importance of data sharing and collaboration:

73% 25% 2%

Extremely important Moderately important Not important

Benefits The Key Takeaway


Almost all survey respondents understand that Companies that prioritize data sharing and
supply chain collaboration and data sharing collaboration achieve a more resilient supply
yield significant value across verticals. These chain with the ability to:
advantages include:
More accurately forecast demand
Increased visibility
Fine-tune inventory levels
Heightened efficiency
Mitigate risk
Reduced cost
Manage by exception

Concerns
Apart from a lack of awareness of the benefits of data sharing and collaboration, companies may be
hesitant to share data due to several concerns:
Privacy issues
Cybersecurity threats
Potential liability
Loss of competitive advantage
Some also fear that collecting data and making it readily accessible to all stakeholders requires a
significant investment of time and staffing resources.

www.tive.com 03
The State of Visibility 2023

VISIBILITY
AS A SERVICE
Real-time, end-to-end supply chain visibility has become a must have for many supply chain
professionals, who also demand that their partners adopt that same approach. Our survey explored
the demand for real-time visibility among stakeholders, why they’re using it, and whether it OTIF is
an important part of their strategy.

The Survey Says…

How Often They Rely on Real-Time Visibility

46% 37% 17%

Mandatory at all times Sometimes Did not respond

Top Reasons for Using Real-Time Visibility

47% 34% 33%

Ensure customer Improve supply chain Minimize shipment


satisfaction collaboration delays & fees

www.tive.com 04
The State of Visibility 2023

Key Takeaway
Those who do not prioritize the “On Time, In Full” (OTIF) model usually are handling
cargoes that are not time sensitive or that don’t require real-time tracking—in other
words, that the load’s low value doesn’t justify the additional cost associated with
real-time tracking solutions.

The Importance of On Time, In Full Deliveries

87% 9% 4%

Extremely important Moderately important Not important

www.tive.com 05
The State of Visibility 2023

KEY ISSUE: LACK OF


IN-TRANSIT VISIBILITY
Without question, today’s supply chain professionals are most concerned about a lack of
real-time visibility into in-transit shipments—99% of our survey respondents said so.

The Survey Says…


While almost all stakeholders agree a lack of in-transit visibility is a problem, respondents said the
least amount of visibility varies by transportation mode:

46% 25% 22% 7%

Over the road Ocean shipping Rail freight Air freight

Barriers to Achieving Visibility


Despite advances in shipment tracking
technologies, the lack of widespread adoption
and integration appear to be due to several
issues, including:
Inadequate infrastructure
Network coverage gaps
Incompatible systems between
carriers and partners
Cost constraints (especially for
smaller carriers)
In addition, the logistical complexities involving
multiple stakeholders and handoffs in the
supply chain, data privacy/security concerns,
and organizational resistance are also driving
this lack of visibility.

Key Takeaway
Expanded collaboration, improved data sharing, usage of suitable digital technologies, and adoption
of common data standards will go a long way in addressing these issues.

www.tive.com 06
The State of Visibility 2023

VISIBILITY SOLUTIONS &


TECHNOLOGY USAGE
Most of the supply chain professionals who responded to our survey indicated they
understand the importance of a visibility solution—yet 75% of them are missing out on
the value of real-time tracking.

The Survey Says…

Real-Time Visibility: A Priority or Not?

77% 23%

Nice to have
Must have

Using Visibility Solutions & Tools?

70% 27% 3%

Did not respond


Yes No (but they plan to)

www.tive.com 07
The State of Visibility 2023

Percentage of Shipments Tracked

14% 29% 27% 22%

Track 91-100% bit Track 61-90% bit Track 31-60% bit Track 11-30% bit

Investing in Real-Time Visibility Solutions


Among our survey respondents, 74% confirmed they plan to either increase or maintain their
spending on real-time visibility solutions in 2023.

51% 23%

Increase spend Maintain spend

Using Real-Time Trackers?

25% 75%

Yes No

Key Takeaway
Shippers and LSPs who don’t use a real-time visibility solution to track a shipment’s location and
condition instead rely on websites, emails, phone calls, and other assorted legacy software to track
the status of goods. These inconsistent and oftentimes outdated methods create risk for LSPs in the
form of decreased end-customer satisfaction—and, for the business development (sales) teams at
LSPs, barriers to winning new customer business.

www.tive.com 08
The State of Visibility 2023

ALERTS &
NOTIFICATIONS
A visibility solution that lacks real-time notifications fails to give stakeholders the actionable insights
needed to make timely, informed decisions.

The Survey Says…


66% of respondents receive information on a weekly basis about cargo damage
39% receive alerts about cargo damage, deviations, or delays
13% receive no alerts
48% receive alerts once the cargo has been delivered

Key Takeaway
While knowing when a
shipment has been delivered is
important, an alert or
notification doesn’t ensure that
the goods have arrived
safely—and is in top quality
condition. For example, with
refrigerated or light-sensitive
cargo, any deviations in
temperature settings, humidity,
or exposure to light could
severely compromise the
cargo.

Shippers and LSPs who


receive immediate alerts
real-time when deviations
occur during transport can take
corrective action, such as
contacting the driver to check
the cargo and cooling systems
for problems. Mitigation steps
might also include notifying
recipients in advance so they
can take preemptive action on
their side.

www.tive.com 09
The State of Visibility 2023

KEY METRICS FOR


MONITORING THEFT & DAMAGE
Theft and damage are possible with any shipment. Real-time visibility and tracking provide an added
layer of protection.

Key Takeaways The Survey Says…


Cold chain shipments of perishable food, Slightly more than half (54%) of
pharmaceuticals, biological materials, survey respondents said cargo
and other medical goods require security or loss prevention drove
maintaining specific temperatures their need for real-time visibility.
throughout the supply chain journey. To Other significant findings related to
successfully move these crucial theft and damage included:
shipments, LSPs and shippers need
real-time, hyper-accurate location, 75% percent of respondents said
temperature, and humidity they lose between 1-10 loads per
monitoring—and need to provide this month due to product damage or
visibility to their end customers, so all theft—both of which could be
stakeholders can actively monitor prevented by using a real-time
in-transit shipments and act quickly visibility solution with IoT
when deviations occur. tracking devices

82% said the ability to track the


hyper-accurate location of goods
was the top-ranked feature for
real-time monitoring—to help
prevent theft

77% mentioned temperature,


shock, humidity, and light as
metrics relevant to product
damage—especially for
shipments transported by truck
(62%) and ocean liner (52%)

www.tive.com 10
The State of Visibility 2023

CONSIDERATIONS WHEN SELECTING


A REAL-TIME VISIBILITY SOLUTION
The Survey Says…

Main Considerations

57% 46% 33% 31%

Cost Functionality Ease of use Consistent


performance

Most Important Aspects of Functionality

61% 44% 41%

Consistent performance Reporting efficiency Real-time alerts

Annual Budget for Real-Time Visibility

11% 51% 38%

$151,000+ $11,000 - $150,000 $10,000

Key Takeaways
Timely alerts may mean various things to different parties—leading to different plans of action
depending on whether they are an LSP or a buyer/retailer. For instance, LSPs are duty bound to
advise their customers about alerts received and propose alternate solutions/recommendations in
dire situations—as well as how to handle any potential loss/claims. For buyers, it could mean they
make alternate arrangements for cargo, including placing rush orders if required—to ensure
sufficient inventory.

www.tive.com 11
The State of Visibility 2023

CURRENT VISIBILITY
SOLUTIONS & SUSTAINABILITY
While real-time visibility is widely
considered essential, successful
implementation relies on the cooperation
and collaboration of all parties involved in
the supply chain. Inadequate engagement
and collaboration among stakeholders
frequently results in delays and
unnecessary duplication—undermining
the effectiveness of real-time visibility
efforts. This was reflected in the survey
responses, with 47% of respondents
identifying stakeholder engagement as a
critical concern—and expressing a desire
to improve engagement using real-time
visibility solutions.

The Survey Says…

Preferred Method of System Integration

38% 33% 30%

APIs Legacy EDI ERPs

The survey also identified an overwhelming need from LSPs


and shippers for a wider range of visibility products (38%) that
includes increased coverage, especially in areas of conflict
(33%)—and also a need for more service providers (26%). 38%
Although visibility is considered by the WEF as the heart of
sustainable supply chains when it comes to improving reliability
and efficiency, only 58% of respondents currently have Visibility products
established sustainability goals that could be met by
implementing some aspects of real-time shipment visibility.

www.tive.com 12
The State of Visibility 2023

SUMMARY
This groundbreaking industry research provides valuable insights into survey respondents’
viewpoints—irrespective of their current level of use of real-time visibility solutions.

The survey findings highlight a pronounced


demand for real-time visibility—with 77% of
respondents deeming it a "must-have," not an
extravagance. This indicates that real-time visibility 77%
into shipments is becoming increasingly crucial for
both LSPs and shippers to emphasize real-time
visibility in their operations—especially to their
customers, who are increasingly demanding
deemed RTTV a
innovative, value-added services. 'must-have'

This research also exposes that a mere 25% of customers currently utilize IoT
trackers/devices for real-time shipment tracking—leaving 75% of industry participants
without suitable technology to oversee cargo in real time.

These numbers emphasize a considerable gap in supply chain visibility and


traceability, even though the WEF has stressed their significance for sustainable,
resilient supply chains.

www.tive.com 13
The State of Visibility 2023

IN LIGHT OF THESE FINDINGS,


IT IS RECOMMENDED THAT
LSPS AND SHIPPERS SHOULD
Assess and invest in innovative tracking technologies
Solutions and real-time tracking systems to enhance visibility during transit—across all
modes of transport.

Encourage collaboration Emphasize sustainability


Among stakeholders
Given that only 58% of respondents have
Collaborate with industry partners, sustainability goals achievable through
exchange information, and streamline real-time shipment visibility, LSPs and
processes to boost the overall efficacy of shippers ought to reassess their sustainability
real-time visibility solutions. targets and contemplate how increased
visibility can foster a more eco-friendly supply
chain.

Examine existing Tackle cost concerns


Solutions and providers
While costs remain a significant factor,
Seek more efficient, user-friendly, and reliable potential users should focus on the long-term
real-time visibility solutions—and investigate advantages of enhanced efficiency, risk
the services of new providers in this area. reduction, and customer satisfaction
associated with improved visibility.

The survey underscores a robust demand for real-time visibility and IoT-based solutions within the
supply chain industry—but that a considerable gap in both adoption and utilization persists.

The advantages of such progress are


indisputable—delivering value to LSPs, their
clientele, and end consumers through
enhanced efficiency, dependability, and
resilience across supply chains. By bridging
the chasm between demand and adoption,
the industry can progress toward a future
where supply chains are more transparent,
sustainable, and capable of handling the
complexities of an ever-evolving world.

The time has come to prioritize visibility and


traceability, adopt proven technology to
support your efforts, and cultivate
collaboration throughout the
industry—ensuring a more vibrant,
interconnected future for global supply chains.

www.tive.com 14
CONTACT US
+1 617-631-8483
[email protected]
www.tive.com
500 Rutherford Ave, Suite 209
Boston, MA 02129 USA

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