The logistics industry has long suffered from understaffing, lack of adequate training, and, often, poor operational efficiency. None of that will change overnight, but some companies are now finding success integrating new technologies like virtual reality (VR) to improve training and safety. These technologies stand as an example of how new technologies are completely reshaping the logistics industry as a whole. Here’s what you need to know about VR in logistics and why it matters.
VR in training and safety
I know when I hear “VR,” the first thing I think about is gaming. But virtual reality isn't just about gaming or entertainment. In the logistics sector, it's evolving into an invaluable tool, reshaping how companies approach training and optimization.
Logistics is a complex industry, and it serves as the basis upon which businesses, industries, and even entire countries survive and thrive. It involves many sub-industries like warehousing and storage, transportation, inventory management, distribution, freight forwarding, and so on. So every logistics company is different, and their needs, particularly when it comes to training and safety, may vary widely. VR provides an environment that can change and adapt to those specific needs.
With VR, trainees are no longer restricted to watching videos, reading manuals, or listening to lectures. They are instead placed right in the middle of a simulated environment that closely mirrors real-world situations. It’s an environment you can change on demand from a VR command center, either for all users or on an individual basis for highly-specific training.
Whether it's navigating a vast warehouse, operating machinery, or managing a sudden logistical hiccup, VR offers trainees an immersive learning experience. This heightened realism ensures that individuals are more engaged in the training process, leading to better retention and understanding.
Add to that, in traditional training, feedback comes after a training session ends. With VR, feedback is instantaneous. If a trainee makes an error during a simulated logistics task, you can alert them immediately, allowing for on-the-spot learning and correction and ingraining the right practices from the outset.
Some logistics tasks can be hazardous, especially for newbies on the job. Training individuals in real-world scenarios poses potential risks for their safety. However, with VR even the most dangerous situations can be simulated without any real-world consequences. Trainees can practice again and again, familiarizing themselves with safety protocols in a risk-free environment. These benefits are just a few of the reasons many logistics companies are turning to VR.
I’ve seen some highly creative integrations of VR that can serve as great examples. For instance, DB Schenker, a German railway company division focused on transport, needed to train a large number of staff as forklift operators, but the company had limited space and forklift trucks. Thanks to VR, employees trained for dangerous situations and accidents without ever being in danger themselves, and their proficiency increased rapidly as well while using few resources and little space.
VR for process improvement
Another interesting potential application for VR that goes beyond training is leveraging the data that VR generates for analysis and process improvement. For example, companies can collect employee performance data and integrate that with business intelligence insights and operational data analysis systems or enterprise resource planning (ERP) software.
ERP systems involve managing and automating various business processes across departments based on data. If you’re using VR to test out operational processes or potential new tools and machinery, an ERP can process the resulting data and flag tasks in which employees consistently underperform. Or it can help users make informed decisions about equipment purchases and process redesigns. In short, a VR training system is a major repository of data, which, when paired with an ERP, can help guide business planning, purchasing, and operations.
Integrating VR in everyday operations
If your logistics company has relied primarily on traditional methods for training and improving efficiency, transitioning to VR may be somewhat difficult. Start by considering the exact function VR will provide within the company. Open the discussion with employees and HR based on the specific needs of your company. Look for pain points that can be solved or operational limitations that need to be addressed as your starting place. Or maybe there are emergency situations that could arise that you can’t train for in a real environment due to the danger, but you could easily train for them in a virtual environment.
Will your VR system be for training? Will you use it for refining operations and testing process improvements? Is it to create emergency response procedures or solidify protocols for handling volatile or otherwise potentially dangerous materials and supplies? And so on.
Another consideration is, who will be using the VR system? Will it be only newcomers who need extra training, or will you roll it out to all employees for continuous training over time? If you expect your company will be going through any major changes in the near future, you’ll likely want to ensure you have the training resources available for your entire team.
When you’ve decided exactly what you need, you can also consider some additional factors like user interface and scalability. As your team grows, can your VR tools scale as well? Are they easy to use, or do you have to train your team extensively before you even start using the new technologies? How long will these devices take to integrate into your daily operations?
You’ll also need a way to tailor VR content and training to your specific operations. An ideal VR tool will let you simulate the physical layout of your warehouse and the machinery and tools in use. You should also be able to train for your specific emergency protocols. For this purpose, you’ll likely find you have an easier time integrating with VR tools developed by companies that already have experience with and a deep understanding of the logistics industry.
Finally, you should be able to actively iterate and change the training and VR experience upon receiving feedback. To get the information you need, you can use surveys, team meetings, and so on. The important thing is that employees feel comfortable expressing their opinions on the integration, realism, and usefulness of VR scenarios.
Final thoughts
New technologies like VR are becoming increasingly common in every industry, and logistics is no exception. Virtual reality training enables a high level of operational efficiency and safety throughout the training process while also providing valuable data. It’s very likely that we will soon find that VR has become an important tool for logistics companies throughout the world.
