CAN ELECTRIC VEHICLES INCREASE SUPPLY CHAIN EFFICIENCY?
Electric vehicles, the environment friendly alternative to their petrol and diesel counterparts, can revolutionize the current delivery systems. This green tech can bring about a radical transformation for both logistics service providers and the economy as a whole. No wonder, the global electric vehicle industry stood at $118,864 million in 2017, with expectations of it touching a whopping $567,299 million by 2025, according to a report by Allied Market Research.
One great way to optimize delivery is to ensure a planned route and use GPS data to avoid traffic, according to an article by Key Software Systems. Electric cars can ensure unparalleled experiences by ensuring three times faster rides, with greater focus on road safety.
Here are a few areas in which electric cars can have a powerful impact on supply chains.
Thousands of Americans meet with road accidents each year. The main cause is driver negligence, due to intoxication, distraction or exhaustion. Electric cars prioritize human safety and ensure there are less road crashes. Traditional components like the gear box and combustion engine are removed. Instead, brake by wire, adaptive cruise control and lane guidance features are adopted for enhanced safety.
Most electric cars have the potential to reduce carbon dioxide emissions by as much as 90%. Along with hitting your business goals, you help preserve the environment too. Consumers today are on the lookout for logistic companies that are environmentally conscious and committed to being eco-friendly. It is a great initiative towards fighting climate change and is already popular among environmentalists, according to an article on NPR. When you are committed to social wellbeing, your company definitely earns a good reputation.
Electric vehicles can save you quite a few bucks. Most cars come with their own lithium-ion battery packs, which only need to be recharged. Therefore, they cost must less than gasoline vehicles. Although the initial cost could be high, running the car will not burn a hole in your pocket. They are perfect for deliveries, since the cars can run for miles on a daily basis. When compared to traditional vehicles, it will cost less than half as much to travel equal distances. Vehicles equipped with large batteries can run for 100 miles till the next plug in. In fact, the more efficient ones can run for 200 miles on single charge.
Electric vehicles are soon to become mainstream and widespread. Undoubtedly, they will bring about a great technological shift in the supply chain industry.