Cloud-based software might seem like the furthest thing from the business of producing and selling wine. For most people, the cloud is a place to store music and photos you take with your smartphone.
In reality, it can be a secret weapon for your wine business. Cloud-based software is changing how logistics gets done.
There’s a great metaphor in this post about cloud computing and logistics at our system blog by Materialogic. Imagine, if you will, a 3PL using proprietary software and supporting it with their own equipments, networks, and IT staff. They liken this situation to the industrial power plants in the olden days:
“IT is at a place where power generation was 100 years ago. Back then, many companies had to generate their own power, especially if they owned a plant that was remote from major cities. But running one’s own power generation is costly and ties up a lot of capital. Which is precisely why companies don’t bother with their own power generation anymore—they simply get power from the grid and make it a monthly operational expense.”
Materialogic argues that the same thing has happened with enterprise-sized IT solutions: more and more companies are turning to independent vendors to host and maintain their software solutions. Those that have done so already are enjoying lower costs, better security, and more stability. All of these things are great for wineries that ship using a 3PL, since the savings, security, and reliability pass through to them as well.
The full benefits that the cloud offers is spelled out in the piece. Long story short, cloud-based software is poised to be the next big thing in logistics. There is a huge pay-off to be had from outsourcing non-core competencies: 3PLs at the cutting edge are outsourcing their software and hosting, even as more companies are outsourcing shipping and storage to 3PLs.
We here at Copper Peak are proud to be on that cutting edge. If you have questions about Copper Peak’s use of cloud software solutions, or about how it can improve your shipping and your bottom line, contact us.