Role of Technology Huge in Helping Fix Supply Chain Snafus
December 27, 2021 With hundreds of thousands of shipping containers sitting in port yards, trucking delays, and mounting scarcity of products that make America tick, we all have suddenly become interested in learning more about the global supply chain. I have researched the topic extensively and have found it to be so complex it is nearly impossible to get your head around all the moving parts of the system.
That complexity is a big part of the problem. One glitch in the supply chain that moves goods around the world has ripple effects throughout. Could computer technology aid humans in righting the ship? That was a question asked by Mark Minevich, in an article he wrote for Forbes titled: “Can Artificial Intelligence Save America from the Global Supply Chain Disaster?”
Minevich underscores the complexity of the system and the fact human talent to manage it has become less available. That’s where computers can pick up the slack and likely do a better job than us mere mortals. Market figures show technology is trending. According to Infoholic Research, artificial intelligence (AI) in the logistics and supply chain market is expected to grow by 42.9% (2017-2023) to reach $6.5 billion by 2023.
One area of innovation that will be deployed is cognitive automation. These computer platforms will autonomously make real-time recommendations based on supply chain outcome predictions. They will know all the legal and business rules, regulations, timing, and scheduling requirements of moving freight. These complex brokerage activities are susceptible to human error, which exacerbate problems.
Forecasting technology will allow companies to predict problems that might disrupt their ability to deliver products in a timely manner — and more importantly — see them early enough to take corrective measures.
Minevich also notes that AI will be used to learn how to handle massive shocks to the supply chain. This “self-healing” machine learning process will build a massive dataset to identify and correct issues in real-time.
Shortages of truck drivers has been a problem even before the recent supply chain chaos. Self-driving trucks and automation of recruiting and vetting of human drivers will address this critical link in the chain.
These technologies are already in development and in use. Walmart has teamed with Ford and Argo AI to deliver goods to homes via self-driving cars. Initial pilot programs are planned for Miami, Washington, D.C., and Austin once the technology is fully vetted.
The shipping company DHL has developed a machine learning tool to predict air freight delays. The computer analyzes 58 data points and can predict daily delays or speedups a week in advance and pinpoint the reasons for the delays.
FedEx has hired a robot to move goods. The SameDay Bot uses Lidar (light detection and ranging) and standard cameras to move packages in the final leg of the delivery to businesses and homes. The technology already is tested and proven to avoid collisions and increase efficiency.
There are a multitude of other examples of technology that will help humans do a better job of moving goods around the globe. This supply chain crisis makes it clear we need the help. We will learn, innovate, adapt, and overcome — humans and machines working together.
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