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Digitalization Innovation

Digital Shipping Trends 2024

(Digital) Shipping Trends in 2024: Five Topics That Will Shape the Industry Going Forward

Delays, longer turnaround times, material as well as worker shortages and inflation: These are only some of the factors that have affected shipping operations last year. Despite inhibiting factors, what topics will be important for our industry in 2024? We have identified three shipping trends for 2024 that will shape the industry going forward. 

1. Agile Supply Chains

According to McKinsey, agile supply chains will not lose in importance in 2024. They are in a process of advancement that is strongly fostered by the pandemic and its challenges for supply chains. Carriers and business owners are expected to react flexibly to get their services on the market and shipments to their customers. Therefore, agile supply chains are here to stay and continue to progress. 

Generally, this term refers to solutions along the supply chain, which can be adapted, for instance to changing customer needs or market requirements and don’t have to be changed entirely. Adjusting quickly to any situation is thus key to an agile supply chain. Examples for making supply chains more agile are software applications in the cloud or in connection with Artificial Intelligence (AI). These solutions can for instance facilitate shipment planning or analytics and reports. The latter is useful to help make agile processes even more efficient.  

One of many activities in this context at Hapag-Lloyd is the transfer of the Web & Mobile solutions into a cloud environment. By doing this, we can be more agile, flexible, and efficient when it comes to improving the solutions. 

 

2. Transparent Delivery Times

Shipping delays are not only inconvenient for us or our customers, but they can also have a negative impact on a company’s business – both on the manufacturer and on the carrier side. A survey in the US has shown that 76 percent of consumers would reconsider buying from a company again if they had an unacceptable delivery experience. In fact, 62 percent of shoppers expect their orders to arrive in less than three business days. 

Therefore, to meet customer needs, it is essential for carriers in 2024 to make their delivery times as transparent as possible to customers. For instance, at Hapag-Lloyd, our customers can check their shipments using the Tracking solution or the Navigator 2.0. in the Online Business Suite on our website. 

 

3. Sustainability

It is undeniable that our climate is changing and that both individuals and businesses should take actions to counteract this development. Therefore, sustainability will become even more relevant for the shipping industry in the future and is way more than just a shipping trend in 2024. 

But what exactly does sustainable shipping entail? One element of sustainable shipping, on the technological side, is to make carriers as fuel and energy efficient as possible – while storing goods on board in the most effective way. As far as the area of operational measures is concerned, the reduction of the vessel speed (slow steaming) could help reduce emissions and increase energy efficiency. A third field would be renewable energy: By developing and implementing the use of biofuels or wind power, emissions and pollution could be significantly reduced.

For Hapag-Lloyd, sustainability is part of our overall strategy, i.e., to dive decarbonization in the industry; reduce carbon intensity by 30% (EEOI) until 2030 and to reach ‘net-zero carbon’ by 2045. As a first step, we as Hapag-Lloyd launched our first sustainable solution: Ship Green. Ship Green offers you a fuel switch to ship climate-friendly and avoid either 100, 50 or 25 percent of the emissions caused.

 

4. Smart Vessel Maintenance

AI can be found basically everywhere at the moment. Apps like “ChatGPT” or “Dall-E” got everybody talking and a lot of people are having fun giving the bots some prompts and marvel their precision and accuracy. But what has this to do with shipping trends in 2024 – especially when it comes to maintenance and cost reduction?  

Mostly, engineers can use AI-based equipment and adaptive algorithms to get insights on the vessels’ condition, systems and performance. Combined with human expertise, these hardware and software elements can for example predict when a maintenance is needed or even what needs to be done in order to prevent damages and provide the crew with advice to improve the machinery performance and longevity. First tests, conducted by MPA Shipping for example, are using a mix between real-time data and 3D models in combination with Virtual Reality devices to create digital twins for vessels. In the long run, this leads to a more efficient vessel operation and a more tailored maintenance approach that can reduce costs significantly.  

 

5. Autonomous Ships

Self-driving vehicles have been in the wildest dreams of humanity since the 1800s. Since last year, autonomous driving ships are no longer a product of fantasy but a reality. In 2022 the world’s first self-propelled ship, the Yara Birkeland, started its maiden voyage. On board: a small crew of four members to monitor the performance and gain insights and learnings. As of now the Yara Birkeland is being operated in Norway on a couple of test routes between Brevik and Porsgrunn.  

But not only fully autonomously operated vessels become bigger this year: Other demonstrations have used autonomous navigation technology on tugs to showcase remote control capabilities and test hazard avoidance. These trials will prove technology, enabling them to be applied on larger vessels, including those providing offshore surveys, and merchant ships.  

In conclusion: Big things are ahead of us and it is highly probable that within this decade we will face new opportunities by using the help of new technologies such as AI and predictive models. 

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