THE USE OF BIG DATA IN LOGISTICS DECISION-MAKING
Keywords:
Keywords: Big Data Analytics, Logistics Decision-Making, Supply Chain Management, Predictive Analytics, Route Optimization, Demand Forecasting, Digital Transformation.Abstract
Abstract
The global logistics industry, valued at $10.17 trillion in 2024, is undergoing
one of the most consequential transformations in its history — a shift from intuition-
driven, reactive decision-making toward a paradigm of data-intensive, predictive
intelligence. At the center of this transformation is big data: the vast, heterogeneous,
high-velocity streams of information generated across modern supply chains by GPS
devices, RFID sensors, electronic commerce platforms, weather systems, financial
instruments, and customer interaction records. This article examines the theoretical
architecture and practical application of big data analytics in logistics decision-making.
Drawing on evidence from industry leaders including UPS, DHL, Amazon, Walmart,
and Maersk, as well as market data from Global Market Insights, McKinsey, and
Gartner, the article demonstrates that big data creates measurable competitive
advantage across five core decision domains: route and network optimization, demand
forecasting, inventory management, predictive maintenance, and customer experience
personalization. The article further examines the structural challenges that constrain
the realization of big data's full potential — including data fragmentation,
cybersecurity vulnerabilities, talent scarcity, and regulatory complexity — and
identifies the policy and managerial conditions necessary for their resolution. The
article concludes that in the logistics sector, the transition to data-driven decision-
making is no longer a strategic option but a structural imperative, and that those
organizations that treat big data as a peripheral enhancement rather than a foundational
operating capability will find themselves at an accelerating competitive disadvantage.
References
References
1. Acropolium. (2024). Big data in supply chain: Real use cases and success stories.
Retrieved from https://acropolium.com
2. Acropolium. (2024). Big data in logistics: Key benefits and real use cases. Retrieved
3. BigID. (2025). Data security 2025 predictions. Retrieved from https://bigid.com
4. DHL Customer Solutions and Innovation. (2021). Big data in logistics: A DHL
perspective. DHL.
5. Gartner. (2022). Gartner identifies top five trends in privacy through 2024. Gartner
Press Release, 31 May 2022. Retrieved from https://www.gartner.com
6. Global Market Insights. (2024). Big data in logistics market size and share 2024–
2032. GMI Insights. Retrieved from https://www.gminsights.com
7. IBM. (2012). What is big data? IBM Big Data and Analytics Hub. IBM
Corporation.
8. INSIA. (2024). Big data analytics for supply chain challenges and solutions.
Retrieved from https://www.insia.ai
9. Kantarcioglu, M., & Ferrari, E. (2019). Research challenges at the intersection of
big data, security and privacy. Frontiers in Big Data, 2(1).
https://doi.org/10.3389/fdata.2019.00001
10. Laney, D. (2001). 3D data management: Controlling data volume, velocity and
variety. META Group Research Note, 6 February 2001.
11. Market Research Future (MRFR). (2023). Big data in logistics market size, growth,
trends 2032. MRFR Analysis. Retrieved from
https://www.marketresearchfuture.com
12. McKinsey & Company. (2023). Supply chain 4.0: The next-generation digital
supply chain. McKinsey Digital.
13. Nadcab Technology. (2026). Big data analytics for logistics optimization guide.
Retrieved from https://www.nadcab.com
14. Number Analytics. (2025). Transforming logistics and supply chains with big data
insights. Retrieved from https://www.numberanalytics.com
15. Softteco. (2024). Big data in logistics: Real-life use cases and benefits. Retrieved
from https://softteco.com
16. Statista. (2024). Global logistics market size and outlook, 2024–2030. Statista
Market Outlook. Retrieved from https://www.grandviewresearch.com
17. Transmetrics. (2024). Predictive analytics in logistics: Applications and use cases.
Retrieved from https://www.transmetrics.ai
18. UPS. (2022). ORION: Logistics optimization through data analytics. UPS
Pressroom. Retrieved from https://pressroom.ups.com