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Terms & explanations relating to logistics, supply chain management and e-commerce

GPS (Global Positioning System)

The Global Positioning System (GPS) is a global, satellite-based navigation system that enables the determination of the exact geographical location as well as the precise time at any location on Earth. It was originally developed in the US for military purposes and launched in 1978. Since the 1990s, it has also been available for civilian purposes. 

How does GPS work?

Satellites:

  • The GPS system uses a network of at least 24 satellites orbiting the Earth at approximately 20,200 kilometers. These satellites continuously send signals with their position and the current time.

Receiver:

  • A GPS receiver, such as in a smartphone, car, or navigation device, receives signals from several satellites. To calculate the position, the receiver needs at least four satellites. 

Position Calculation:

  • The receiver measures the time it takes for the signal to travel to calculate the distance to the satellites. From these distances and satellite positions, the exact location of the receiver is determined.

Applications of GPS

GPS is used in many areas, including:

  • Logistics and Warehouse Management: Goods tracking, inventory management, route optimization, security and theft protection, vehicle and machinery tracking, real-time monitoring of shipments, integration with other technologies such as WMS or ERP

  • Navigation: In cars, ships, airplanes, etc.

  • Geodesy: Surveying of land areas and map creation.

  • Emergency Services: Locating people or vehicles in emergencies.

  • Leisure: Use in fitness trackers, hiking, and geocaching.

  • Science: Studying earth movements and weather observation. 

In modern logistics, GPS is an indispensable tool. It helps companies digitalize their supply chains, save time and costs, and provide excellent customer service.