Which of the following is NOT a benefit of real-time data in logistics?

The identification of higher costs as not being a benefit of real-time data in logistics is well-founded. Real-time data provides a wealth of advantages that contribute to the efficiency and effectiveness of logistics operations. When companies utilize real-time data, they can make faster decisions based on the latest information regarding inventory levels, shipment statuses, and route conditions. This leads to quicker responses to changing circumstances, which is crucial in a fast-paced logistics environment.

Increased flexibility is another key advantage of real-time data. With the ability to monitor operations on the fly, logistics providers can adjust their strategies to accommodate unforeseen challenges, such as traffic delays or sudden changes in demand. This flexibility helps businesses to maintain service levels and optimize resources.

Furthermore, real-time data significantly improves the accuracy of routing decisions. By having access to updated information, logistics managers can choose the most efficient routes, reducing delivery times and costs while improving customer satisfaction.

In contrast, the implication that real-time data leads to higher costs does not align with the common benefits observed. While implementing and maintaining real-time data systems may incur initial costs, the overall impact typically results in cost savings through improved operational efficiencies, reduced waste, and enhanced decision-making capabilities.