A digital revolution in the fuel logistics supply chain   

A lot has changed over the past two years due to the COVID-19 pandemic and Brexit, and fuel logistics has not escaped the impact. Recent fuel supply issues in the UK has shown that the complex supply chain needs to continue to adapt to better serve customers and prevent further disruption in the future.

To an extent, digital revolution within the fuel logistics industry is still in it’s formative stage.. Although many parts of the supply chain have implemented technology to reduce manual processes, there is always more that can be done to link up different areas of the supply chain for real-time visibility and information sharing.  

Why is digitalisation so important for fuel logistics?  

The fuel supply chain can be complex and lengthy, and achieving full data visibility can be challenging. Information silos and manual processes are just a couple of areas that are preventing full supply chain visibility with consequent increases in risk and unnecessary complexity for participants in the supply chain. This can also impact customer satisfaction, slow down the wider supply chain and cause issues with no clear solution. This is where digitalisation comes into play.

By leveraging technology and allowing information to flow, as well as optimising data capture, the fuel logistics industry can start improving the real-time visibility it needs for long-term success. Much of this is possible with current technology. It is important for any business looking to develop its digital footprint to put together a thoroughly considered digital transformation plan to ensure all areas are covered and fit within any existing technology currently in use. Digitalisation is there to support and develop a business, not hinder it, and a well-developed plan will help ensure this.  

Digitalising fuel logistics

Supply chain resilience

Fuel logistics is volatile in nature, and 2020/2021 has shown how unstable and unpredictable it can be. The COVID-19 pandemic has interrupted supply chains and caused consumer demand for fuel to rise and fall erratically. From all of this, many businesses within the fuel supply chain have realized that more than ever, having a resilient supply chain is vital for business success.

Introducing and investing in digital capabilities that allow for end-to-end supply chain visibility and flexibility, also help manage the impact and fallout of any future disruption, allowing businesses and consumers to stay on the road.   

Big Data and Internet of Things

Data is key to business survival. Predicting profits and cash flow, improving productivity and increasing efficiency are all key supply chain objectives.  The more data available to facilitate those objectives, the better. This is where the Internet of Things (IoT) and Big Data come in.

By working together, IoT and Big Data are able to collect, store and process large amounts of data that will deliver real-time insights into business performance and enable more informed decision making. Within the fuel industry, the impact of IoT and Big Data can already be seen with vehicle telematics & tracking, tank telemetry, metering, Point of Sale (POS) and Electronic Proof of Delivery (EPOD) systems. With these digital systems already in place and more to be developed in the future, the digital use of data will continue to grow and enhance how the fuel supply chain works.  

The cloud

The transition from on-site data storage to cloud storage has gained rapid momentum over the past decade. In the future, this digital transformation is likely to continue to grow at a fast pace. Enabling businesses to stay connected online, cloud-based software enables businesses within fuel logistics to gather real-time information and deliver continuity across the supply chain.

Cloud-based software also often reduces costs for businesses by reducing maintenance and hardware fees and is also known for being very secure and good for protecting sensitive data. This should be a priority for the fuel logistics industry to help minimize the risks of a data breach and to keep the supply chain performing as it should.  

How can FuelStar help?

Here at TouchStar, we pride ourselves in supply chain optimisation in both the oil and gas sectors, so why not get in touch to talk to our expert team about how our Fuelstar system and technology can help your business to develop and progress in the future.