Fair and Responsible in Logistics IR 4.0

Zulamir Hassani, Afdhal and Yusoff, Fazirah and Wan Zain, Wan Nor Aisyah (2021): Fair and Responsible in Logistics IR 4.0. Published in:

Abstract

The fourth industrial revolution is a worldwide transformation characterized by digital, biological and physical technological convergence. That being said, as the 4.0 industrial revolution on the market is becoming more known, it will have unrivalled consequences and create an unsafe environment. Because Industry 4.0 will influence how conversation is communicated, organizations will create uncontrolled market value and people will focus more on the development of borderless technologies. With the creation of the foundation of the digital revolution, the new technology will exponentially increase with digital interoperability, which physically appears in smart products and services (Schwab, 2016). The advent of rapidly evolving technology has a fair and responsible impact, particularly in the logistics sector. Due to unmanaged and comprehensive technological conditions, accountability, fairness, confidence and transparency will be difficult to enhance in competition. (E. Wogu, 2016). The concept of fair and responsible is essential to the relationship between consumers and companies. The care, efficiency, and thoughtfulness that companies take in customer interactions can ultimately leave a longer-lasting impression than whether or not a customer gets their desired outcome in a conflict (Opata et al., 2019). Fair and responsible business models guarantee fair conditions and social benefits throughout the entire supply chain, from the earliest stage of production to the commercial sector. This includes actions to guarantee decent working conditions, consistent quality, fair procurement and more. This includes the provision of more transparent communication on living and working conditions as well as the willingness to cooperate for continuous improvement with partners and suppliers (Matthias Heutger, 2015). For buyers or sellers who meet under the Foreign Trade Conditions (Incoterms) or national sales regulations in the act of trade negotiations, fair logistics means that all service suppliers involved in managing goods operations between buyers and sellers should be willing, considering all exogenous factors and anti-trade bias, to increase logistics costs. (Opata et al., 2019). The fair and responsible logistics system represents a major tool to improve competitiveness and has as a key objective the improvement and expansion of unconventional economic instabilities routes, the more efficient use of multimodal transport, better sustainable transport loads management, and the promotion and expansion of trading corridors and logistic systems. (Jean-Charles, 2019). In a changing world, the speed at which technology is changing and the political, economic and social factors that affect business decisions require business leaders to lead with the principles and missions of the organizations (Aramco & Watson, 2019). At the most, all the main players concerned about the future of logistics already have aimed at the role of bitcoin blockchain in highly and (semi-)autonomous supply logistics operations. In terms of technical and in-line processes, the goal of Industry 4.0 would be not to replace workers in their duties, but to eliminate inaccuracies and to provide faster processes in which knowledge can be exchanged quickly and in real time. The intervention of people who manage the systems and take control of any system failure will always be needed. The issues facing Industry 4.0 should not only concentrate on the use of emerging technology through the improvement of technological and robotic systems, but also on the enhancement of many other areas: logistics, customer support, administration, etc., by the use of analytical technologies and the development of software (reductories, 2021). The response to the emergence of new challenges has been consumer demand and technological advances, leading to market changes ("Industry 4.0 effects Logistics 4.0", 2018). The way companies are operated according to the current environmental and contextual configuration would be profoundly changed by this transformation.

• Item Type: MPRA Paper
• Language: English
• Keywords: Logistics, IR4.0, Corporate Governance, Sustainable of customer service, Logistics Information System
• Subjects: G - Financial Economics > G3 - Corporate Finance and Governance > G34 - Mergers ; Acquisitions ; Restructuring ; Corporate Governance; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q0 - General > Q01 - Sustainable Development; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics > Q56 - Environment and Development ; Environment and Trade ; Sustainability ; Environmental Accounts and Accounting ; Environmental Equity ; Population Growth; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics > Q58 - Government Policy

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