Exposing the Hidden Inefficiencies in Global Logistics
By Christof Backhaus
When we at Bayer initiated the Smart Label project with Sensos, we had no idea how deeply it would expose the flaws in global logistics systems. We started with extensive testing, deploying over 25,000 Sensos Labels on shipments to India, China, the US, and beyond. Our goal was simple: learn what happens when you monitor numerous shipments with precise tracking technology and full visibility over extended periods.
What we discovered was eye-opening.
We gained unprecedented visibility into our shipments handled by major logistics providers like DHL, DB Schenker, FedEx, UPS, and more. The Sensos Labels allowed us to see exactly where our packages were, revealing all the inefficiencies and weaknesses in their processes. And importantly, these weren’t one-off incidents—these were recurring patterns happening regularly.
One particularly memorable case involved an urgent shipment to India. We dispatched it from our headquarters in Monheim and handed it over to our logistics partner. The package traveled as expected to Cologne city center by land, then to Cologne Airport, and finally to their hub in Leipzig. From Leipzig, it was supposed to board an overseas flight to India.
“The Sensos Labels allowed us to see exactly where our packages were, revealing all the inefficiencies and weaknesses in their processes”
But then something unexpected happened. The Sensos Label showed us in real-time that our package had been loaded onto the wrong plane. It arrived in Bremen, Germany, that same night. The carrier apparently noticed their mistake because an hour later, it was loaded onto another plane from Bremen back to Leipzig. It ultimately made the 6 AM flight from Leipzig to Mumbai and continued its intended route.
We witnessed similar scenarios with shipments to Switzerland—packages going from Cologne to Paris, back to Cologne, and then finally on a truck to Switzerland. These weren’t isolated incidents but persistent inefficiencies in their systems.
The last-mile delivery issues were equally frustrating. I experienced this personally while waiting for crucial electronic components we needed for a project. The shipment, equipped with a Sensos Label, traveled from Amsterdam to Nuremberg (our partner’s central logistics hub), then by truck to Cologne. From there, it was loaded into a smaller vehicle and arrived within two kilometers of my home.
And then it stopped moving. For the entire day.
I tried contacting the logistics company, even offering to pick it up myself since it was so tantalizingly close, but received no response. By evening, the package inexplicably moved away and ended up back in Nuremberg the next day. It finally arrived three days later, forcing us to reschedule an entire project at a cost of approximately €20,000.
Of course, we complained, but our complaints had no effect. These companies receive thousands of complaints daily, and by then, the damage was already done.
If I could speak directly with executives at the carrier, I would ask them why they don’t take this technology seriously. The Sensos Labels provide invaluable insights that could help them improve their services and optimize their costs. During our testing, we identified numerous air freight shipments that went wrong—issues that could be fixed if these logistics companies were willing to collaborate and analyze the data.
The technology exists. The means to dramatically improve logistics efficiency are available today. What’s missing is the willingness to acknowledge these systemic problems and address them head-on.
I simply don’t understand their reluctance. In an industry where time and reliability are everything, why wouldn’t you embrace technology that shines a light on your blind spots?
