Adapt Ideations Position in The Cold Chain Industry

The industry is rapidly growing due to changing trends and the need for companies to comply with stringent regulations.

The cold chain industry encapsulates the storage, warehousing and temperature monitoring of warehouses, cool-rooms, cold chain facilities, and refrigerated transport. The industry is rapidly growing due to changing trends and the need for companies to comply with stringent regulations. The global cold chain industry is currently valued at USD $233.8 billion and is projected to reach USD $340.3 billion by 2025, as reported by Markets and Markets in 2020.

The report further highlights that the industry is expected to rise in value at an unprecedented rate of 7.8% CAGR in the next 5 years, as the utilisation of cold chain facilities grows. As the industry further develops and evolves, the need for innovative solutions that can address these growing trends and challenges also becomes increasingly prominent. The need for change in the cold chain industry is imperative as it will allow companies to better cater to their clients growing demands. This article will highlight the developing trends, rising challenges affecting the cold chain industry and the innovative solutions that are on the rise.

The cold chain industry’s largest sectors:

One of the largest sectors that utilise cold storage and cold chain logistics is the meat and seafood industry. For the Australian economy, this is a highly valuable industry as we export over 60% of our beef, as reported by PwC. This statistic is important when considering the cold chain industry, as the distribution of perishable goods is the industry’s fastest growing sector. Effective cold chain management ensures meat and seafood are kept at consistent temperatures throughout the cold chain.

The Australian meat and seafood industry are reliant on the successful monitoring of conditions of cold storage facilities as global exports grows. A report by MHD supply chain discusses that due to the Trans-Pacific Partnership and increased free-trade agreements, global borders are diminishing which in turn increases global trade. Meat and seafood may be the most ordinary item on our weekly shopping list, but for the industry they are high value perishable goods that require stringent care to be taken during cold chain logistics. The utilisation of innovative solutions that identify in near real-time when parameters such as temperature or humidity have been exceeded, will allow more consistent cold chain monitoring to take place.

The pharmaceutical industry

Another major sector within the cold chain sector is the pharmaceutical industry. Innovative solutions such as an IoT enabled wireless temperature monitoring system can greatly reduce the occurrence of wastage as instant alerts are sent out when cold chain breaches occur allowing necessary action to take place. Cold chain monitoring devices empowered by IoT capabilities provide much needed visibility in a sector that otherwise relies on manual compliance checks. Innovative solutions that enable data to be viewed in near real-time is needed for the pharmaceutical industry much more than solutions which require data to be analysed at a later point of time.

An article released by The International Air Transport Association (IATA) states that the pharmaceutical industry loses $2.5 billion to $12.5 billion every year due to problems with temperature control in transit. The article projects that the industry incurs $35 billion in costs every year, merely from temperature related issues. The pharmaceutical industry plays a vital role in the economic development and health of the global community, meaning that effective and efficient operational processes of companies within the industry is vital.

Cold chain monitoring and cold chain facilities are invaluable to the pharmaceutical industry to comply with strict regulations. ‘The Australian Code of Good Wholesaling Practice for Medicines in Schedules 2014’ sets out guidelines that must be complied with by all third-party associates such as suppliers and distributers when importing pharmaceutical goods to Australia. The digitalisation of temperature monitoring systems is an integral part of the cold chain industry, as it reduces the reliance on human resources. Common issues such as medicine degradation can be avoided through the increased utilisation of innovative cold chain monitoring systems in facilities.

Upcoming cold chain trends:

The growth of the cold chain industry is evidently on the rise, with many sectors on the quest to reap the benefits of operational automation and digitalisation. Naturally, as the industry grows innovative solutions also rise that change the way the cold chain sector operates.

Real-time demands, increased supply chain visibility and the ease of use that comes with cloud applications are the most growing trends. Picture this: Your company is storing high value perishable goods in cold storage and a slight cold chain breach will render the product ineffective and you can lose millions.

The time it would take to rectify the issue at hand also plays an important role in efficient cold chain management. Whether it be perishable food, pharmaceuticals or chemicals, many do not show their degradation to the naked eye. This is a pressing issue for many sectors alike, which demand near real-time asset monitoring and end-to-end visibility.

These trends all point to the responsiveness and transparency demanded by clients. Operational visibility and real-time monitoring allows companies to remain in consistent control of their assets in cold storage. Furthermore, near real-time alerts allow personnel to take immediate action when necessary. IoT technology is the driving force behind these devices, as it enables ease of connectivity between device to computer.

IoT connectivity

Cloud applications are the subsequent trend to arise from IoT enabled asset monitoring devices allowing near real-time visibility. IoT connectivity means that there is a revolutionised way of connecting device to computer. Besides the simplicity of the platforms, the major benefits that arise from cloud applications is the ability to store all information on the cloud and access the data anytime anywhere. For the cold chain industry, this trend means that they can achieve greater visibility over their assets in storage. This allows the collated data gathered from a near real-time asset monitoring device or system to be accessed remotely anytime anywhere.

In addition to the visibility this provides clients, companies can also utilise the data being gathered to make informed decisions based on the insightful data gathered. Depending on the industry that is utilising the cold chain facilities, they can make changes to their operational processes based on the data collated to ensure it is operating more efficiently.

How can Adapt Ideations help?

Adapt Ideations’ IoT enabled asset tracking and monitoring solutions enables vital data to be collected. Companies can utilise asset tracking and monitoring solutions such as Adapt Ideations’ KELVIN suite of devices and PIXEL to gain valuable data.

KELVIN Pro monitors location, temperature, shock and light and relays data in near real-time. Data collected from innovative IoT enabled asset tracking and monitoring solutions can transform business operations entirely.

Our wireless temperature monitoring system PIXEL empowers the cold chain industry by enabling consistent monitoring of all cold storages, refrigerators, workrooms and warehouses. The IoT enabled wireless temperature monitoring system monitors temperature and humidity and relays any deviations from set parameters in near real-time.

Get in touch with us today to enquire further at enquiries@adaptideations.com.