Last Updated on August 15, 2022 by rida
The logistics industry is quite seasoned and old enough to have been through several crises and even epidemics. However, this pandemic hit the industry harder than ever. The coupled nature of modern global logistics that is highly focused on efficiency presented some unique and unprecedented challenges.
Thankfully, gone are the days when delivery of the necessary goods to those in need depended upon the willpower of packers, port workers, and truckers. Today the industry is empowered with technologies like AI, considering the revolutionary drone-deliver by Amazon.
Businesses are increasingly seeking logistical advice from AML Advisory experts to ensure efficient integration and optimum utilization of technology through their systems. Honoring the power of AI and automation, experts believe that these technologies have the potential to write a completely new chapter for the supply chain and logistics paradigm by the end of this decade.
Here are some ways AI and automation are transforming the entire landscape of the supply chain and logistics industry.
Table of Contents
High data quality
AI ascertain enriching the quality of data for the industry. Every day insurmountable data enters the industry systems through various channels. AI capabilities like machine learning (ML) and natural language processing (NLP) facilitate the accumulation and interpretation of this data.
These technologies help in understanding the data received and processing it to discover valuable and actionable insights from it. Enhancement in information accumulation, consolidation, and authenticity enables better insight inference that becomes the game-changer for companies.
One of the most specific and revolutionary implementations of AI in logistics is smart routing. Using machine learning helps in multiple ways such as creating batch routes that allow one trucker to carry multiple shipments that are to be delivered at different locations.
The best route can be identified to make such shipments more efficient. It also helps in creating fast lanes to allow truckers to pick and drop loads within minutes.
Better forecast with predictive analysis
In the early days, planners used to assess the state of operations manually to make forecasts. However, given the present complications of data analytics, accurate capacity and network estimation are not possible through sheer gut feeling.
AI provides excellent capabilities of predictive data analytics. It allows planners to integrate more varied relevant external factors for greater accuracy in forecasts that govern logistics operations.
Greater efficiency in asset placement strategy
Shipping in logistics is an expensive affair. Companies have to fortify all their assets in the most efficient way to ensure the optimum utilization of every shipment. AI enhances your vision into your fleet and its performance. It helps in positioning your assets strategically to ensure maximum employment of capacity and protection against risks.
Optimization of last-mile planning
Last-mile planning is often filled with surprises. It takes quick and informed decision-making to ensure efficient operations towards the end of the supply chain.
The previous year set new benchmarks in last-mile transportation for home deliveries and e-commerce. With this remarkable increase in demand, companies are sorting to AI to streamline and enhance their last-mile logistics operations.
Read More: 7 Ways To Streamline Your Logistics Process