WATCH: How Drones Could Revolutionize the Supply Chain
A new video from CNBC demonstrates how autonomous drones could revolutionize the supply chain and provide much-needed disruption to an industry that has remained largely unchanged since the 1950s.
In the video, titled ‘How Drones Could Change The Shipping Industry’, CNBC talks to a host of supply chain experts and tech entrepreneurs that believe the answer to many problems in cargo transportation could be autonomous drones.
The global drone and logistics market was worth US$24 million in 2018, a number that is expected to grow to $1.6 billion by 2027.
Behind this growth is an ever-increasing need to transport goods more efficiently and in an environmentally friendly way.
Along the supply chain, cargo will be transported on several different modes, including ships, trucks and, more so than in the past, rail.
The boom in e-commerce has increased consumer expectation – a concept explored in a recent PTI insight on the rise of digital logistics – and this has meant goods have to move quicker than traditional methods allow.
While drones are already utilized to transport high-value or emergency cargo, they could potentially be used throughout the supply chain.
In 2016, only five million tons of goods were moved via air, compared to 740 million tons via cargo ship, 1.8 billion by train and 11.6 billion by truck.
With the roads and seas highly congested, drones have the potential to increase efficiency, as well as cut emissions, costs and waste.