Integrating IoT to Track Real-Time Cargo Conditions

This is a guest post by Ellie Gabel.

Companies exporting or importing goods internationally understand how complex it is to achieve end-to-end supply chain visibility. Disruptions and cargo theft further complicate matters, leading to costly interventions. The silver lining is that technological advancement has created new avenues for monitoring. With the Internet of Things (IoT), they gain real-time insights.

Cargo Theft Drives Demand for End-to-End Visibility

In February 2025, business owners and logistics leaders urged lawmakers to develop and enforce a coordinated antitheft effort. Multiple speakers said forms of cargo theft — including shipment interception and broker fraud — cost supply chains an estimated $35 billion in losses annually, citing data from the federal Homeland Security Investigations agency. Organized groups target goods at truck stops, on freight trains, and at ports of entry. 

These incidents create delays, cause financial losses, and lead to costly investigations. In time, they result in higher costs for consumers, jeopardizing brand reputation and customer retention. Some business owners’ livelihoods are at risk. 

During the hearing, Adam Blanchard, the co-founder and chief executive officer of Double Diamond Transport and Tanager Logistics, testified that criminals used email spoofing and a stolen identity to broker loads to unsuspecting motor carriers, allowing them to pocket the money. In one case, they successfully diverted an entire truckload of goods with a retail value “well over six figures” more than 1,000 miles. 

The hearing did not touch on the topic of disruption, which is another pervasive problem. There has been a near-constant stream of delays in recent years, from the attacks in the Red Sea to the Francis Scott Key bridge collapse. The only way to protect cargo against theft, delays, and damage in transit is to know where it is and what condition it is in at all times. 

If organizations like Double Diamond Transport had real-time, end-to-end visibility into their supply chain, they could have intercepted their diverted goods in time. While embedding IoT sensors into pallets, packaging, and trucks will not prevent 100% of theft, loss, or damage, it gives business owners the tools to mitigate some of the sector’s most costly pain points.

How the IoT Enables Real-Time Condition Tracking

Internet-enabled sensors can track everything from pressure to motion. Since they are connected to the internet, they constantly exchange data with local nodes or centralized servers, providing updates as soon as they are available. 

Some metrics, like vibration, are more important than others. Vibration testing is among the most effective methods to determine the condition and endurance of objects as small as individual machine components or as large as satellites. It can help firms locate defects, identify stressors, and test packaging design. 

Interconnected devices enable executives to act on data-driven insights. Given that vibration tests should be based on representative details captured in the field, only a small number of shipments need sensors. However, since this technology is accurate and relatively cheap, a comprehensive solution would not hurt. 

As long as organizations have enough staff — or automation software — to review logs without getting backlogged, a supply-chain-wide approach is acceptable. If not, they should stick with quality over quantity to preserve insight relevancy. 

The Value of Monitoring Cargo in Real Time With IoT

IoT-enabled condition monitoring produces valuable insights, enabling proactive action. 

Real-Time Insight Generation

Vibrations, temperature fluctuation, and noise are intrinsic aspects of rail, air, road, and maritime transit. While telematics captures some of these details, it leaves much to be desired. IoT, on the other hand, continuously collects and exchanges information, allowing individuals to see the bigger picture. It can even send raw data to a centralized cloud server for analysis. 

Data-Driven Cargo Intervention

Sensor-generated insights can inform firms of relevant hazards, enabling them to proactively modify packaging design. They can adjust everything from interior cushioning to closures to minimize the effects of in-transit stresses. 

This information can also help them identify human-caused damage. For example, sensors monitoring acceleration, level, and motion can detect when a driver’s harsh braking causes items to collide. Over time, they can determine whether such incidents are one-off accidents or trends, enabling them to intervene by adjusting routes, changing drivers, or renegotiating contracts. 

Integrating IoT With the Help of Logistics Companies

Integrating IoT into the supply chain to track shipments’ location and condition in real time is relatively time-consuming because there are many moving parts to consider. To begin, decision-makers must consider which sensors they need. Monitoring vibration, temperature, and humidity is essential. Other options include motion, acceleration, sound, pressure, proximity, level, and smoke. This granular information can help fill in the gaps. 

As the IoT market grows, more logistics companies are offering internet-enabled tracking and user dashboards. However, these systems are not an industry staple. An organization’s existing vendor may not have sensors embedded into fleets and warehouses yet. In this case, they can either switch providers or create their own solution. 

IoT devices are small enough to be incorporated into packaging or pallets. Out-of-the-box products exist for firms that lack the technology savvy to build one from the ground up. While this approach may be more hands-on and complex, it provides control and transparency. Businesses will not be at the mercy of their logistic provider’s information technology team. That said, they should be considerate of their existing contracts and relationships. 

A self-built solution is not necessarily costly, either. According to McKinsey & Co., the average unit price of an internet-enabled sensor decreased from over $1.30 in the early 2000s to under 50 cents in the early 2020s — a 61.5% decrease. While executives should prioritize quality over quantity, investing in a comprehensive solution will not break the bank. 

Security is the last — and arguably most pressing — integration consideration. Who gets access to sensor-generated data? Are insights proprietary or will they be shared with vendors? Decision-makers should define and establish role-based privileges to secure their system against unauthorized access and tampering. 

Achieving End-to-End Supply Chain Visibility With IoT

Businesses exporting or importing goods internationally understand how vital end-to-end supply chain visibility is. They can only strategize effectively if they know their shipments’ location and condition. Real-time insights are especially valuable, which is why the IoT is such an effective solution. Even though integration is hands-on, it is relatively affordable, so companies would be wise to consider implementation.

This was a guest post by Ellie Gabel.

Author Bio

Ellie is a freelance writer who loves exploring the latest advancements in tech and science and how they’re impacting the world we live and work in. She’s also the associate editor of Revolutionized.com.