Artificial intelligence in logistics

The use and development of artificial intelligence tools in logistics is experiencing significant growth as it allows for improved competitiveness. It is also improving both production processes and the management of warehouses and transportation fleets.

The use of Artificial Intelligence in logistics allows companies in the sector to strengthen their overall infrastructure.

Artificial intelligence has gained prominence since the beginning of the year with the appearance of several applications that have reached the general population and have shown their tremendous potential. But if users have only now discovered what AI can do, it has been helping different sectors for some time now. One of the sectors that can benefit the most from artificial intelligence is logistics and transportation, where it has a major impact on one of its main challenges: the supply chain.

Inefficiencies to be resolved

As the outbreak of the pandemic revealed, logistics companies saw inefficiencies surrounding the supply chain. Ending inefficiencies is one of the main challenges facing the use of artificial intelligence in logistics.

Companies in the industry that are already using some form of AI-enabled solution are seeing how they can improve their processes and become more efficient. AI in logistics provides benefits such as improving planning capacity so that downturns or peaks in demand can be met. As a result, inventory costs and sales planning are brought into line with current realities.

Likewise, the use of Artificial Intelligence in logistics allows the strengthening of the overall infrastructure to ensure its resilience. strengthening of the general infrastructure to ensure its resilience, as it enables the It enables the adaptation of the different production processes. For example, it allows a more effective management of warehouses, avoiding the saturation of products that take time to be sold or adjusting their capacity to sales realities. Thus, by applying AI in logistics, organizations drive with the lights on and can react to unforeseen situations or changes in demand.

Main uses of Artificial Intelligence in logistics

One of the key reasons why the logistics sector is increasing the use of solutions such as Smart Factory by aggity that incorporate AI technologies is the growing competition they are facing. With the use of Artificial Intelligence in logistics and transportation, companies can predict how, when and what products consumers will want to buy. This knowledge of demand enables companies to serve orders faster than their competitors, which will result in increased efficiency and also in greater customer loyalty.

The use of AI in logistics enables warehouse automation. This is one of the main elements that make up the so-called Industry 4.0 and with which the allocation of goods and resources is efficiently managed. Thanks to the use of automation and hyper-automation, it is not necessary to assign workers to a monotonous and repetitive task, so those employees can devote themselves to tasks of greater value to the organization.

Automation as a key element

The use of automation not only covers warehouse management but, together with AI solutions, also enables advanced transportation management. The application of Artificial Intelligence in logistics and transportation in an automated way allows, for example, e-commerce companies and their value chain to work with large volumes of data, analyze them in real time and propose the best routes to move goods.

In short, with the use of automation and Artificial Intelligence in logistics has an impact on two essential aspects of the logistics processs for the company: a lower transportation costs as the quickest and least costly routes are sought, as well as a reduction of CO2 emissions as the most sustainable routes are also used.