AI in logistics: How is it shaping our industry?

Technology-01.jpeg.jpg

This month, Sam Fagan shares his insights on how AI is shaping our supply chain…

Long gone are the days of playfully debating if robots might one day take over. In 2024, the presence of artificial intelligence (AI) in our daily lives is undeniable, and its impact on our world is profound. 

The simple reality is that AI isn’t just coming; it’s already here.

But at Fagan & Whalley, one question has caught our attention this month. In an industry as vital as ours, which has conventionally been characterised by a rich history of expertise and tradition, is the supply chain management sector truly prepared to embrace the rise of AI in logistics? 

Let’s take a look…

What is AI?

AI is defined as a branch of computer science that is dedicated to creating systems capable of performing tasks that typically require human intelligence. Examples of such tasks include interpreting complex data, recognising patterns, learning from experiences and making decisions. 

AI in Logistics: What does that look like?

Having gained a basic understanding of the broader concept of AI, it’s crucial to appreciate its real-world impact on our daily lives. 

The last few years have been transformative for much of the logistics industry. 

With the growing rise of new technologies, new ways of working and new expectations – many logistics companies have been driven to rethink the way we operate. With that said, there is one specific area where the impact of AI has been particularly pronounced: vehicle telematics.

AI in Logistics: Vehicle telematics

It could be argued that telematics is the backbone of modern logistics. 

Telematics offers us real-time tracking and monitoring of vehicles and driver behaviours, – essentially, giveing us greater insight into our fleet and operations. 

While telematics has existed for well over a decade, the field is constantly evolving as technology improves and develops. In the last couple of years, AI has supercharged the results gained from telematics by allowing companies to create safer roads, improve fuel efficiencies, predict vehicle maintenance, increase route optimisation, reduce operational costs and much more. 

Let’s take a closer look at how AI is helping logistics companies evolve…

Increased driver safety

Firstly, a critical benefit of vehicle telematics is increased driver safety. Specifically, the implementation of advanced camera systems that leverage AI to detect driver distractions is a potentially transformative safety feature. 

These intelligent systems are designed to monitor for signs of distraction or fatigue and can issue timely nudges or alerts to drivers, reminding them to refocus or take necessary breaks. 

This proactive approach not only enhances the safety of drivers themselves but also contributes to the overall safety of our roads.

Improved customer service through vehicle tracking

Secondly, the integration of AI in logistics, particularly through vehicle tracking, significantly enhances customer service and customer satisfaction. Telematics means logistics companies can provide customers with real-time updates about the location of their goods, expected delivery times and any potential delays. 

In this day and age, this transparency isn’t a novelty or an ‘extra’ service offering – it’s simply the bare minimum expectation. We live in a world where instant information is expected at our fingertips, and this extends to the logistics industry.

For many of our clients, the ability to track shipments builds trust with their consumers. We know from data that when consumers have access to the progress of their delivery, it reduces uncertainty and anxiety – particularly for time-sensitive or high-value shipments. While this level of service was once a luxury, it is now a competitive necessity in the logistics industry – and telematics allows companies like our own to meet these high standards. 

Prediction of vehicle maintenance

Yet another way that telematics is currently benefiting the logistics industry is through the ability to predict when vehicles in fleets will require maintenance. This is also known as ‘predictive maintenance’. 

Traditional maintenance schedules often relied solely on intervals or mileage, which often led to unnecessary service checks or, conversely, unexpected breakdowns. Telematics changes this for fleet operators by using predictive analytics to forecast when a vehicle will likely require maintenance. These predictions are based on real-time data and historical performance metrics.

Not only does predictive maintenance optimise fleet performance, streamline operations and reduce downtime, but it also significantly cuts costs associated with unexpected breakdowns and repairs. The predictive model allows for more efficient use of resources by ensuring that maintenance is performed exactly when needed rather than on a rigid schedule that may not reflect the vehicle’s actual condition or usage patterns.

Reduced carbon emissions

Finally, the logistics industry is increasingly under pressure to demonstrate environmental responsibility and demonstrate sustainable logistics practices. 

Through optimising routes, minimising empty running and preventing unnecessary maintenance on vehicles, AI offers companies a tangible way to lessen their carbon footprint and shift towards greener operations. This is a huge advantage not only for logistics companies but also for their clients, who will often have sustainability targets of their own to meet, too. 

As time ticks by, we predict this will only continue to be necessary for companies to future-proof themselves against shifts in consumer expectations and regulatory requirements. 

AI in logistics: What do Fagan & Whalley think?

At Fagan & Whalley, we pride ourselves on our investments in cutting-edge resources and tools that create safer, more innovative and efficient ways of working. 

We’re confident that our integration of AI in logistics operations not only aligns with our commitment to innovation and sustainability goals but also enables us to serve our customers better and contribute to safer roads. 

For more information on how the technology we use can help streamline your logistics solutions – get in touch. Speak to us on 01282 771983 or drop us a message here.

Enjoyed this? Read more from Fagan & Whalley Limited

Latest news

1

Breck to deliver £150m of affordable homes over four years Breck Development In Progress

Breck to deliver £150m of affordable homes over four years

18 Jul 2024

2

Business board launches to support county's economic growth Lancashire Business Board

Business board launches to support county's economic growth

18 Jul 2024

3

Commercial landlords: Five tips to avoid tenancy problems Five tips to avoid tenancy problems SOCIAL.jpeg.jpg

Commercial landlords: Five tips to avoid tenancy problems

19 Jul 2024

4

Notarianni Ice Cream Parlour Scoops Up Energy Efficiency Notarianni.jpeg.jpg

Notarianni Ice Cream Parlour Scoops Up Energy Efficiency

19 Jul 2024

5

Thirteen new contract wins in three months for seoBusiness SeoBusiness Contract Wins

Thirteen new contract wins in three months for seoBusiness

19 Jul 2024

Bec Web Strip 980x120
Background image for hub sign up block

LBV Hub

Leverage Lancashire Business View platforms

Post your news
Post your events
Post your offers
Build your network
Improve your SEO
Gain coverage in the magazine
Sign-up
Events
Lancashire Built Environment Conference
BEC 315 X 315 Px
Networking
25 Sep 2024

Lancashire Built Environment Conference

Conference and Exhibition Centre, Winter Gardens Blackpool, FY1 1HL

08:30 - 13:00

RISE - The Academy for Female Leaders and Managers
WENDY BOWERS RISE Illustrstion copy.jpg.jpg
LBV Hub Seminars
11 Jun 2024 - 04 Dec 2024

RISE - The Academy for Female Leaders and Managers

East Lancashire Chamber of Commerce, Clayton le Moors, BB5 5JR

09:00 - 16:30

Preston Freelancer MeetUp and Coworking Day
Screenshot 2024-06-13 at 13.55.10.png.png
LBV Hub Networking
30 Jul 2024

Preston Freelancer MeetUp and Coworking Day

Society1 Coworking Space, Preston, PR1 3LT

10:00 - 12:00

Skills Bootcamp in Procurement - Cohort 1
Blue-Modern-Land-Travel-Youtube-Thumbnail-2-1024x576.png.png
LBV Hub Seminars
30 Jul 2024 - 08 Oct 2024

Skills Bootcamp in Procurement - Cohort 1

Community & Business Partners CIC, Blackburn, BB2 3UA

09:30 - 13:00

Scaling your revenue: From zero to £1m in 60 months
CBP-logo LBV.png.png
LBV Hub Webinar
31 Jul 2024

Scaling your revenue: From zero to £1m in 60 months

Online, Online, Online

08:00 - 09:30

Chamber Breakfast Networking
Chamber Logo1.png.png
LBV Hub Networking
31 Jul 2024

Chamber Breakfast Networking

Pye Motors, Morecambe, LA3 3PF

08:00 - 10:00

Online Women's Health Clinic
clinic.png.png
LBV Hub Webinar
06 Aug 2024

Online Women's Health Clinic

x, Online, x

12:00 - 12:00

International Coworking Day Open Day
1.png.png
LBV Hub Social
09 Aug 2024 - 09 Aug 2024

International Coworking Day Open Day

Society1 Coworking Space, Prestin, PR1 3 LT

10:00 - 13:00

Knowledge & Networking: Basic Digital Marketing
Chamber Logo1.png.png
LBV Hub Seminars
12 Aug 2024

Knowledge & Networking: Basic Digital Marketing

Lancaster Golf Club, Lancaster, LA2 0AJ

14:00 - 13:00

Sub36 Networking Event - The Bee Centre
Sub36 Socialbee Centre
Networking
15 Aug 2024

Sub36 Networking Event - The Bee Centre

The Bee Centre, Chorley, PR6 8LZ

15:00 - 17:00

Understanding Menopause
menopause.png.png
LBV Hub Webinar
15 Aug 2024

Understanding Menopause

x, Online, x

12:30 - 13:15

Mini Networkers - Family Fun Morning
CBP-logo LBV.png.png
LBV Hub Networking
16 Aug 2024

Mini Networkers - Family Fun Morning

Community & Business Partners CIC, Blackburn, BB2 3UA

10:00 - 13:00

Advertise with us

Reaching 50,000 members, our print, digital and event platforms offer a fantastic way to raise your business profile and help you grow.

Find out more LBV116 Online Graphic
Subscribe now

Weekly news bulletin