DHL and IBM predict artificial intelligence will be as omnipresent in commercial logistics processes as it is in consumer applications today.
DHL and IBM this week outlined the areas where artificial intelligence will make the biggest impact in logistics.
In a joint report (http://www.dhl.com/ai), the two major global companies said AI already is being implemented in back office, operational and customer-facing situations, particularly around four capability areas.
“AI is enabling a shift in the industry from reactive to proactive, from manual to autonomous, from forecasting to predictive, and from standardized products to personalized,” Ben Gesing, project manager of trend research at DHL’s Innovation Center in Germany, said in a briefing with American Shipper.
In the same briefing, Kieth Dierxx, IBM global industry leader for freight, logistics and rail, said that AI is creating what he called “anticipatory capability” in logistics. That covers areas as diverse as inventory management (leveraging computer vision technologies in warehouses to know exactly what inventory is on hand) to using historical data and real-time demand signals (like social media messages) to predict supply chain disruptions.
As an example of an AI-enabled system’s ability to help manage risk, that system could analyze social media messages related to workplace satisfaction at an overseas supplier to better predict if that supplier will be able to meet the requirements of a production order.
Chatbots, meanwhile, could revolutionize customer service for those in logistics by automating routine developments and freeing up human resources to manage more difficult, critical-thinking-oriented tasks.
“While AI is already ubiquitous in the consumer realm, as demonstrated by the rapid growth of voice assistant applications, DHL and IBM find that AI technologies are maturing at great pace, allowing for additional applications for the logistics industry,” the companies said. “For instance, AI technologies can use advanced image recognition to track condition of shipments and assets, bring end-to-end autonomy to transportation or predict fluctuations in global shipment volumes before they occur. Clearly, AI augments human capabilities but also eliminates routine work, which will shift the focus of logistics work forces to more meaningful and value-added work.”
The report also touches on AI use cases in autonomous vehicles and routing algorithms, among other asset-based applications.
AI shifting shape of logistics
