Every month we select one logistics startup which represents a positive example of innovation in Logistics and Supply Chain and has the potential to alter the way the industry operates. This July, Transmetrics selected project44, the world’s leading advanced visibility platform for shippers and logistics service providers, as the “Logistics Startup of the Month” for its outstanding achievements in the development of advanced visibility for logistics.
In order to learn more about the startup and what it does, we have talked with Mike Reed, Chief Strategy Officer at project44, about how project44 connects, automates and provides advanced visibility for all transportation modes and shipping types.
Artificial Intelligence (AI) is already a widespread term in logistics, thanks to the implementation of exciting AI technologies like automated warehouses by Amazon, autonomous trucks by Einride, drone deliveries by Zipline, last-mile delivery robots by Starship, and more. These are the types of technologies that can potentially replace some manual jobs that don’t require complex skills (e.g. warehouse sorting, last-mile delivery person, truck driver, etc.).
However, the situation is different when Artificial Intelligence is used to deal with high-skilled positions like logistics planners. That’s where Augmented Intelligence enters the scene. By combining human intelligence with AI, companies can save time, reduce operating expenses, and eliminate manual errors, while human employees can focus more on analytical and complex duties. In this article, we will uncover what exactly Augmented Intelligence is and how it can enhance logistics planning capabilities.
How Predictive Analytics is Transforming Logistics and Supply Chain
In an industry where time and resources can make or break a company’s bottom line, predictive analytics is no longer just a helpful bonus feature to have in logistics; it’s a necessity. The modern logistics market is more demanding than ever before: businesses across the supply chain are now expected to easily adjust to shipment patterns, predict customers’ buying behaviors, provide on-time deliveries through the most efficient routes possible, and reduce the risks of cargo inventory errors and miscalculations.
However, the introduction of predictive analytics is helping logistics and supply chain companies meet these increasing demands. In fact, the logistics industry has identified predictive analytics as having the biggest impact on the supply chain this decade. This movement towards anticipatory logistics is already widely accepted among industry decision-makers: A study by the Council of Supply Chain Management Professionals revealed that 93% of shippers and 98% of third-party logistics firms feel like data-driven decision-making is crucial to supply chain activities, and 71% of them believe that big data improves quality and performance.
So what exactly is predictive analytics, and why has it become so important in logistics and supply chain? Predictive models use historical and transactional data to identify patterns for risks and opportunities within a particular set of conditions, which helps to guide decision-makers and anticipate specific future events. A predictive solution can serve a wide array of different needs but brings the most value when it’s tailored to a particular type of operations and based on a set of rules and restrictions made for that specific operation. These solutions can bring benefit to different levels, from a single warehouse to even an entire supply chain.
“Across Logistics” Innovation News Release: June 2019
Picture Credit: Jordan Stead/Amazon
Welcome to the June issue of “Across Logistics” Innovation News Release, where we are presenting you the latest innovative technologies and important news in logistics that happened over the last month.
Every month we select one logistics startup which represents a positive example of innovation in Logistics and Supply Chain and has the potential to alter the way the industry operates. This June, Transmetrics selected Peloton, a platooning solution provider, as the “Logistics Startup of the Month” for its remarkable achievements in solving the biggest challenges of the trucking industry: Crashes and Fuel Use.
In order to learn more about the startup and what it does, we have talked with Rod McLain, VP of Marketing at Peloton, about the business and how Platooning can improve operations in the $700 billion trucking industry.
The logistics world of today is multi-tiered, multi-faceted, multi-supplier and collaborative. Components, parts, and elements can be spread over many thousands of kilometers, and at times it can be difficult to simply track where everything is. More than frustrating, this fragmentation leads to major inefficiencies in the logistics sector. Less than one-third of respondents in a logistics survey viewed their collaborative process as effective, and while 84% of respondents from the same survey reported that although they have implemented real-time data sharing into their supply chains, only 13% have done so effectively. Only a quarter of supply chains currently have an autonomous supply chain in place, according to a recent Supply Chain Reinvention Survey.
This is where today’s new options for increased supply chain visibility come in. As more companies around the world have begun outsourcing parts of their supply chains, visibility has become more crucial than ever, as a growing number of companies around the world outsource parts of their supply chains and lose control over what used to be part of their own operations.
New supply chain visibility technology promotes quick response to change by allowing privileged users to take action and reshape demand or redirect supply, and fully integrated supply chains see 20% more efficiency than those without integration. The value of autonomous and integrated supply chains speaks for itself: 90% of the Supply Chain Reinvention survey respondents with autonomous supply chains reported that their market share increased somewhat or significantly in the past year, and 97% reported their customer satisfaction somewhat or significantly increased, compared to just 8% of those without autonomous supply chains. According to Diversified Industrials Global Sector Chair Jeff Dobbs, improved supply chain visibility can significantly assist logistic operations. “Obtaining real-time visibility across all tiers in the supply chain can significantly increase speed to market, reduce capital expenditures and manage risk,” he said. “Moving toward a demand-driven supply chain is probably the single most important step a global manufacturer can take today.” And the industry agrees: Most surveys on supply chain challenges consistently rank visibility near the top as one of the most necessary components.
But despite the recognized need for integrated and transparent supply chains, a 2017 report found that nearly two-thirds (63%) of companies do not use any technology to monitor their supply chain performance. However, plenty of great supply chain visibility startups have recently been created to address this exact need and offer more efficiency to the logistics industry. Let’s take a look at some of these tech startups from around the world who are developing smart solutions to make the supply chain more transparent, digital, and cost-effective
“AI in Logistics: from Theory to Practice” – Transmetrics’ Conference Summary
One of the most exciting aspects of Artificial Intelligence (AI) in logistics is that there is a huge number of applications impacting the industry ranging from data cleansing, demand forecasting and price optimization to autonomous trucks, last-mile delivery robots, and more.
With the ongoing evolution in supply chain digitization, more companies are already trying to implement AI-driven technologies into their operations in order to become more efficient and cost-effective. A cross-industry study on AI adoption by McKinsey & Co. found that early adopters with a proactive AI strategy in the transportation and logistics sector enjoyed higher profit margins.
That is why Transmetrics decided to make the focus of this year’s conference on exploring both the basics of AI, machine learning and data science, as well as successful use-cases to show how some of the logistics industry innovators are getting benefits from AI already today. The fourth Logistics meets Innovation conference took place in Brussels on May 28th, 2019 on the Vlerick Business School campus. The event gathered 50+ senior executives from logistics and supply chain companies including Amazon, DHL, ECS, Kuehne + Nagel, LKW Walter, Lufthansa Cargo, NileDutch, Panalpina, Pfizer, Novartis, and many others.
Artificial Intelligence in Logistics: Two Approaches to Improve Planning
The real-world use cases of Artificial Intelligence (AI) are expanding rapidly: from e-commerce to healthcare to security and fraud detection, AI seems to have something to offer virtually for every industry. It’s a bit surprising that AI’s potential hasn’t become more realized in core logistics operations, but that time is fast approaching.
To best leverage AI in logistics operations, decision-makers need to understand the basics. Best to start with the two AI approaches with the potential to bring the biggest impact on logistics.
“Across Logistics” Innovation News Release: May 2019
Picture Credit: Agility Robotics
Welcome to the May issue of “Across Logistics” Innovation News Release, where we are presenting you the latest innovative technologies and important news in logistics that happened over the last month.
Every month we select one logistics startup which represents a positive example of innovation in Logistics and Supply Chain and has the potential to alter the way the industry operates. This May, Transmetrics selected Stargo, an AI-driven price optimization solution for the freight industry, as the “Logistics Startup of the Month” for its outstanding contribution to revolutionizing the door-to-door quote generation process.
In order to learn more about the startup and what it does, we have talked with Joel Sellam, CEO and Founder of Stargo, about the business and how Artificial Intelligence can improve the price optimization in the logistics industry.