Logistics Companies Embracing AI

Employees in logistics are among the top users of artificial intelligence, with almost all saying it has had a positive impact on their workplace. New research found that 62% of people who work in the industry, and who regularly handle information as part of their job, use AI today, and 97% of those say it’s been beneficial.

The Access Group surveyed employees in 12 industries and professions – and found that half of all employees use AI. While the logistics sector was behind the tech industry, where adoption is 74%, it was well ahead of not-for-profit, and health and social care sectors where it is 29% and 30% respectively. Employees in logistics cite reduced workloads and higher productivity as the top benefits of AI.

Top five benefits of AI in Supply Chain

• Reduces workload (62%)
• Gives employees time to focus on what matters most (37%)
• Employees are more productive (31%)
• Better team communication (30%)
• Better customer service (29%)

Generative AI tool, ChatGPT is the most popular application – used by 53% of respondents and 64% say it has reduced their stress levels. However, there were some concerns too, with 51% pointing to job replacement, and 46% to data security.

Jarrod Adam

Jarrod Adam (pictured), Head of Product for inventory software platform Unleashed said: “Small and medium-sized logistics firms have made great strides in moving towards digital technologies in recent years – but the adoption of AI is set to transform the industry, enabling firms to be more innovative, competitive and profitable. Many routine and repetitive tasks are now being automated using ERP and warehouse management software. AI is the next natural step for these firms, allowing them to save valuable resources in an industry that has been plagued by skills shortages and rising costs for years. AI can vastly improve operational efficiency by intelligently prioritising tasks for users and providing insights that result in better decisions. By removing a lot of the drudge work, firms also create modern working environments that are more attractive to current and existing employees.”

Marko Perisic, Chief Product and Engineering Officer at The Access Group, said that the adoption of AI in logistics was positive – but added that employees must be given the right tools and training. “AI has taken off in a way that few people could have imagined – but left unchecked it can lead to some employees using it irresponsibly. Logistics firms need a vendor who offers the highest data protection standards. Our new AI experience, Access Evo, encourages employees to innovate, while giving them peace of mind that all information is stored in a secure and private environment and not used in other open source AI systems. Approved AI tools like these, underpinned by clear and regularly-updated policies and training, can help everyone to deliver a better standard of service, and get ahead in their careers without compromising company data.”

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Logistics Workers Embrace AI, Despite Generational Concerns

Despite frequent discussions about AI’s potential impact on jobs, the majority of logistics workers are untroubled by automation, according to a recent YouGov survey commissioned by SafetyCulture. The survey, which included responses from over 10,000 workers globally, revealed that two-thirds of logistics professionals feel secure about their roles, viewing AI as an aid rather than a threat. This optimism is particularly evident among older workers, while a generational divide shows that younger employees, especially Gen Z, are more cautious. Fifty-seven percent of Gen Z workers expressed concerns about AI’s influence on job security, in stark contrast to just 10% of Baby Boomers, illustrating how varying levels of experience might influence these views.

The industry is already seeing successful applications of AI, which many workers believe will help tackle labor and skills shortages. Amazon, for example, uses “Robo-Stow”, a robotic arm that aids with heavy lifting, reducing physical strain on employees while increasing efficiency. DHL employs predictive analytics to forecast demand and optimize stock levels, allowing the company to reduce inventory costs and meet customer needs. FedEx’s AI-driven route optimization technology adjusts delivery routes based on real-time data, improving delivery times and fuel efficiency.

However, the study points out dissatisfaction with outdated technology, which impacts productivity. Inefficiencies due to these legacy systems reportedly cost the logistics sector over £1.88 billion annually. Companies like UPS are addressing these challenges by incorporating machine learning into package sorting and route planning, cutting costs and improving workflow efficiency.

Beyond logistics giants, smaller companies are also capitalizing on AI for competitive advantage. Startups in the sector are innovating with autonomous warehouse robotics and smart inventory management tools that use AI to balance stock levels, monitor demand fluctuations, and manage order fulfillment. This trend is not only helping to address labor shortages but is also increasing speed and accuracy, critical for smaller firms facing tighter margins and stiffer competition. These solutions demonstrate how AI can improve efficiency across all company sizes, allowing even small operations to keep pace with industry demands.

SafetyCulture’s findings underscore the importance of modernizing workplace technology, highlighting how AI’s potential can be fully realized only when legacy systems are upgraded. As more companies invest in AI, there is a growing call for tailored training programs that allow employees to leverage new technology confidently. The industry’s shift toward a more tech-enabled environment offers promising benefits for workers, suggesting that while automation grows, so will opportunities for those skilled in using it effectively.

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