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Logistics Companies Use Drones to Deliver Products: A SWOT Analysis
The expansion of international trade and modern technology has assisted organizations in the world in creation of large supply chains that has helped them in competing with their rival companies across the world. In the business world every detail can make a difference and when innovation is brought into operation it plays a crucial role in getting a competitive advantage over the rival companies. Because of the logistics, supply chain and distribution being a field that provides excellent results, new ideas are important if they are properly applied. Time is an important factor that can be utilized to achieve competitive advantage. Recently organizations have been looking for ways they can cut cost when delivering goods and also ensure that their customers are satisfied. This has been achieved by the proposal of drones in the delivery sector. Most companies are in need of delivery services because their clients might request for a product online and would like it be delivered in some few hours or even days. Once the delivery services are effective, most customers would prefer it because of their convenience. Many companies spend millions to equip their delivery department. The companies still face challenges in delivering the products in time since delivery by road transport is sometimes faced with a lot of challenges such as traffic jam or even the car could break down. So, after realizing such weakness in delivery services, I decided to consider using drone delivery in the UK.
As the world is embracing technology, drone delivery is one of the most reliable delivery systems. This is because it does not encounter any problems the normal delivery systems occur. It also has little manpower needed hence cutting down the cost of operation. Drones also conserve energy. As compared to other forms of delivery drone does not use fuel which later pollutes the environment. So, the proposed development of the drone delivery services is to have more drones with latest technology delivering products in virtual remote locations. There would be a control center to ensure that all services run smoothly.
SWOT Analysis
Strength
The main advantage of delivery through drones is reliability. Over the past few years, customers have been complaining of lack of reliability of the delivery services. The other advantage is the time used by the drones in delivering goods such as parcel. It is quick since they do not face any traffic jam or any obstacle. The speed they travel in cuts time.
Weakness
Current technology limits the ability to fly and carry drones. Because time is an unknown factor and the life of a drone battery is short, shipping may be subject to serious obstacles. In addition, the drone must land in a safe place, which is not always possible.
Opportunity
Drones are a new technology that can be enhanced in many ways. Working with suppliers and developers of this technology offers the opportunity to enter a market that seems to be at the beginning of a remarkable expansion. This technology can quickly become a domestic and even international means of transportation, and the company can greatly benefit from its understanding of this technology.
Threats
Current and future legislation is one of the main obstacles to the continued implementation of drone traffic. UAVs used to transport small packages of commercial products may also be used to transport hazardous materials, so their use may be considered a threat to the state or society and therefore prohibited or restricted by the government. In addition, the risk of vandalism against drones or theft of the product you carry can be difficult and costly to overcome, and the possible escape from a private consultation that may follow a flight can lead to unpredictable complications. Finally, in this section, you can list the lack of experienced drone use and maintenance personnel, which makes replacement difficult if necessary.
Conclusion
These are some of the many comments anyone can make about the use of drones by logistics companies for product delivery. In this case, its use can only be limited to areas of the distribution center, which are usually large foreign trade companies and therefore far from potential customers. From a financial standpoint, managing and maintaining drones’ costs less than the initial investment to buy, which makes them interesting. As with all innovative solutions, the use of drones has several positive and negative characteristics and is surrounded by speculation. Only the final implementation can demonstrate the real benefits of its use and demonstrate its feasibility.
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