Artificial intelligence is fast becoming established as key to many business management software systems but yet to become a standard feature of a typical TMS. Clare Chidlow, Executive Director at Haultech, explains why transport managers should look favourably on its inevitable arrival.
While media debate rages on about the best uses of AI – and whether it will steal our jobs – fleet operators will soon find it playing an indispensible role in everyday logistics and vehicle management.
AI will come to represent a step change in how a transport management system can boost efficiency and safety for logistics operations. However, it is likely to remain very much a tool for transport teams rather than a direct replacement for them – think of it as a supporting character rather than taking the star role.
In a modern TMS, the software already exists to provide numerous solutions and data, but AI is widely expected to do the heavy lifting and greatly enhance existing TMS performance. An algorithm can make millions of calculations in a very short space of time, which enables it to find the best efficiencies much faster than a human or team of humans could ever achieve.
In addition, AI will work behind the scenes to enhance productivity in other areas. The simple ability to import data at the click of a button is already a huge time-saver; and with AI fleet managers will be able to interrogate the data provided by their TMS with greater speed and to more effective ends. This should mean improved uptime, enhanced customer service, reduced administration, and better compliance and safety.
Furthermore, AI-driven algorithms are brilliant early warning systems. They can spot patterns that a human might easily miss, which can help identify an issue and take action to address it before major problems occur – attributes which may be beyond the reach of existing fleet software packages.
Logistics is a very fast-paced business, with even the best laid plans often requiring anything from deft tweaks to major surgery as the day unfolds. This typically means you must take important operational decisions on the spot. A TMS enhanced by AI will inevitably help transport teams make more informed decisions, or in some cases come up with definitive answers and options in a matter of seconds.
Transport management is the brains of the organism that is your business. This brain makes dozens of decisions every day which can either improve or reduce your margins. Eliminating guesswork from the decision-making process for a busy fleet operation is therefore a huge benefit.
However, let me be clear that the AI within a TMS will not replace the transport manager as the brain. AI cannot usurp the skills and supply chain experience of a competent fleet manager.
AI will likely assist at virtually every level of operational and financial management, thereby freeing up the transport team to focus on strategic planning and the day-to-day decisions that guide and develop a successful business.
A TMS is a platform to reduce costs, improve compliance and enhance the customer experience. TMS providers do not intend for AI systems to replace experienced transport or distribution managers at this stage. Right now, we should look towards AI within a TMS as a valuable tool in the right hands, rather than a direct replacement for a transport team.
