Varun Bhagat July 17th, 2019

Use of AI in Logistics & Transport Industry

Do you have a transport company and want to use AI techniques in your business to grow it? 

Are you willing to use Artificial Intelligence (AI) in your logistics business?

Here, in this blog, you will get answers to all such questions. Let’s start!

The excitement around Artificial Intelligence (AI) and Machine Learning continues to grow and the business applications are quite fascinating. In the present time, business leaders are trying to integrate AI into their organization’s workflows and decision making.  

Before moving ahead, let’s have a look at some stats related to AI:

  • AI technology can enhance business productivity by up to 40 % (Accenture)
  • The number of AI startups since 2000 has increased 14 times. (Forbes)
  • AI will automate 16 percent of American jobs. (Forrester)
  • 15 percent of enterprises are utilizing AI, and 31 percent of them say that it is their agenda for the next 12 months (Adobe)

Hence, it is quite clear that the use of AI is going to enhance with time and the need for machine learning services by software companies will increase manifolds.

Now, let’s discuss some of the uses of this amazing technology i.e. AI in logistics and transport industry.

Use of AI in the Logistics Industry

AI making Advanced Warehouses

Various eCommerce firms have already initiated the process of using robots to automate the procedure of sorting of products and their packaging. Robots are instructed in such a way that they pack a product and sort it according to the delivery requirements. 

Warehouses use Artificial Intelligence for automating and interconnecting the internal processes inside. Several advanced methods such as geocoding and locating intelligence are being used for optimum performance. The B2B and B2C sectors use AI enabled systems for allocating vehicles and selecting the best route for cars.

AI helps in finding the Quickest Delivery Route

Logistics sector faces a big traveling salesman problem. Here, the biggest problem is to find out the shortest path to deliver the item to the customer. Hence, there is a need to analyze the information associated with the task of completing deliveries.     

AI assists in Last-Mile Delivery

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Creating a personalized experience for the customer is the last mile delivery here. Once a customer places an order, an executive will look after it and process it and then they need to give an Estimated Time of Arrival for the delivery based on the data they have. It is really very tough to manage this data.

Here, the role of Artificial Intelligence comes in. This technique has the potential of using the most complicated dataset in an effective way. Using AI and last mile logistics software, it will be easy for you to leverage data platforms and make datasets for the purpose of regulating patterns. 

Mostly, data patterns are based on predictive analysis. Moreover, the use of AI enabled drones for last mile delivery can be seen in various parts of the world. 

Voice Assistants  

Amazon’s Alexa is an example of a Voice assistant that helps customers to track their orders placed with logistics partner DHL. A customer asks Alexa about its package and Alexa tells the exact location of the product. 

Moreover, If a customer is facing problems with the package, Alexa can route calls to the customer support of the courier. Also,   

Use of AI in the Transport Industry

Public Safety

With the help of Artificial Intelligence, companies in the transportation industry to make sure the safety of the public at the time of using their services. With tracking crime data in real-time, it is possible to enhance the safety of citizens in the urban area that uses public transport.     

Moreover, it will also help the police to enhance their efficiency by patrolling and keeping the citizens safe.     

Autonomous Vehicles

Nowadays, the self-driving car is a new buzzword in the transportation sector. These cars use several Artificial Intelligence techniques to function and make calculated decisions on the road.

These autonomous vehicles show up to be a big opportunity to reduce the number of accidents on highways and enhance productivity. 

Pedestrian Safety

With the help of the amazing potential of Artificial Intelligence, It is quite easy to forecast the path of pedestrians or cyclists. This will ultimately help in reducing the number of accidents. It will enhance the usage of transportation. 

Control Traffic Flow

Traffic flow puts a big impact on transport. If artificial intelligence is used in the traffic flow data, it will result in efficient traffic patterns. Moreover, it will reduce congestion considerably. 

Also, it is possible to manage higher and lower traffic patterns in an effective manner by using real-time tracking and AI enabled traffic light algorithms. However, this technique is also used in public transport for optimal scheduling and routing. 

Better Planning and Decision Making

AI can help a transport company to simplify its planning procedure. The road freight transport system can use accurate prediction techniques to predict their volume with the help of Artificial Intelligence. 

Moreover, various decision-making tools for the transport industry can be designed with the help of Artificial Intelligence. It will put a large impact on investments made by the companies in the future in an effective way. 


I hope that now you must be quite clear about how AI can be helpful to your logistics & transportation industry and for that, you need a software development company that specializes in developing software for these industries.

Autonomous vehicles are quite helpful to the transport industry. Besides, voice assistants serve big to the logistics industry. 

If you want to use AI in your business, you can contact a firm that works on Artificial Intelligence. In case, you have any feedback or suggestion, please leave a comment below. 

Photo by Jem Sahagun on Unsplash

Varun Bhagat

Varun Bhagat is a technology geek and works with PixelCrayons which is a renowned web & mobile app development company as a Sr. Technology Consultant. He possesses in-depth knowledge of different web development technology and helps the clients of his company to choose the best technology as per their needs.


  1. From autonomous vehicles to smart highways, AI in transportation and logistics is the future. Very well written article. You know, a report by Accenture reveals that 36% of large-, mid-, and small-size organizations have successfully adopted AI for logistics and supply chain processes. And 28% of the survey respondents are at the threshold of deploying AI in this field.

  2. “AI can help a transport company to simplify its planning procedure”
    this line of this article…it so much true. Today I can accept that yes..AI has made the planning task of my transportation business extremely easy.

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