As we look ahead to 2019, there are two technologies we believe have the most potential to improve our service and efficiency: Artificial Intelligence (AI) and predictive visibility.
Our transportation management system (TMS) is being enhanced with AI technologies and is the beating heart of our logistics operation, serving as the central repository for all our data. This includes identifying where empty carriers and full loads requiring pick-up are located, what schedules and routes they are on, what mode of transport they require, customer KPIs, and so on.
Our TMS system has the capability to analyze the massive amounts of data, resulting in business opportunities and increased margins that would otherwise not be apparent. For example, if we have regional LTL shipments, AI can consolidate these into FTL shipments or at least partial TL shipments, enhancing value and service for our customers, while increasing our margins. Simply put, AI helps us recognize patterns, predict outcomes, and make smarter, faster decisions.
Much of the data, however, comes from the field and that’s where predictive visibility comes in. Ninety-five percent of capacity comes from small carriers (50 trucks or less), all of which have different systems that don’t communicate with ours, making it difficult and time-consuming to get real-time information. With predictive visibility, the goal is to use ELDs and cellular or GPS signals that “talk” directly to our TMS, letting us know where our customers’ freight is at all times — from dispatch to route stops to distribution centers to final destination. This improves on-time delivery, capacity utilization, operations efficiency, and customer service.
Our customers expect superior, transparent service to keep their supply chains going, regardless of all the moving parts. Because of our investment in these technologies, we will deliver.