Muneeb ur Rehman

Digitalization has the potential to transform the logistics sector by bringing efficiency and cost effectiveness, says Muaz Zafar, CEO and founder of 24SEVEN, while talking to WealthPK. 24SEVEN is a leading supply chain/logistics company based in Islamabad.

Muaz said digital technologies, such as electronic data interchange (EDI), internet-based platforms, and other digital tools, were instrumental in optimizing the logistics operations in the services industry. Services constitute a major part of Pakistan’s GDP. In FY2022-23, its share stood at 58.61%, showing a growth rate of just 0.86%, far below the previous years' growth rates.

Muaz said e-logistics facilitates efficient order processing and tracking. Digital platforms enable real-time order placement, automatic order routing, and order status updates, thus ensuring coordination among the service providers, suppliers, and end consumers. “E-logistics enables an improved customer service by providing the customers with real-time updates on the order status, delivery schedules, and returns. The customer communication channels, such as email notifications, SMS alerts, and chatbots, facilitate quick and efficient communication, leading to enhanced customer satisfaction,” Muaz added.

Given the prevailing cross-border inefficiencies in transportation of goods into and out of Pakistan, the digital tools play a greater role in bringing optimal trade outcomes, he emphasized. “Efficient cross-border logistics will greatly improve exports. Pakistan has a lot to offer, but the current state of operational issues on trade points hampers cross-border e-commerce,” he added. “In order to forecast the demand for products by the businesses in Pakistan, digital tools can be instrumental. E-logistics generates vast amounts of data, which can be analysed to gain valuable insights.

By leveraging analytics tools, service providers can identify trends, optimize operational processes, and forecast demand,” the 24SEVEN chief executive officer said. In line with the global practices, the supply chain and logistics providers in Pakistan need to digitalize their processes, he suggested. In summary, introducing digitalisation can play a crucial role in the logistics sector by enhancing operational efficiency, improving customer experience, reducing costs, and enhancing cross-border trade.

Credit: INP-WealthPk