Logistics professionals face increasing pressure to manage complex supply chains, balance cost efficiency with service quality, and anticipate the next wave of industry transformation.
Amidst these challenges, the integration of cutting-edge technologies like artificial intelligence (AI) and blockchain has emerged as a focal point for revolutionising international logistics. From optimising demand forecasting to automating contracts, these innovations are shaping the future of supply chain management.
AI’s ability to analyse vast amounts of data for improved forecasting and inventory management, coupled with blockchain’s potential to automate agreements through smart contracts, is set to redefine how companies manage supply chains.
Ernest Mokoena, International Network Manager for Exclusive Logistics Solutions, emphasised the role that partnerships play in building a resilient and effective global logistics strategy, believing that “strong partnerships, collaborating with reliable local and global partners to enhance capabilities,” are crucial to navigating the complexities of international trade.
“Local logistics providers are familiar with the most efficient routes and transport options within their regions. This knowledge helps reduce transit times and improves the overall speed of the supply chain,” Mokoena explained.
Tech trends
“The logistics industry is increasingly adopting digital tools and automation technologies, such as robotics, AI, and advanced data analytics. These innovations enhance efficiency, reduce errors, and streamline operations,” Mokoena explained.
AI algorithms can analyse historical data, market trends, and external factors to improve demand forecasting accuracy. This leads to optimised inventory levels and reduced stockouts or overstock situations.
While blockchain adoption in the logistics sector is still in its early stages, it is seen as holding great promise for improving transparency and security in international supply chains.
“Although we are not yet using blockchain, from the information consumed, blockchain enables the use of smart contracts, which automate and enforce agreements based on predefined conditions, reducing the need for intermediaries and paperwork.”
Navigating concerns and uncertainty
Cost efficiency is a key factor in international logistics, but maintaining high service standards is equally important.
When asked how he balances these two elements, Mokoena shared: “I do regular performance reviews, continuously monitoring and adjusting strategies to ensure both cost efficiency and high service levels. I also choose suppliers and logistics partners based on a balance of cost, reliability, and service.”
Managing international supply chains is fraught with challenges, ranging from unpredictable events to communication barriers.
“Dealing with unexpected events like natural disasters or political instability, and managing communication and collaboration across diverse regions” is part of the daily routine, Mokoena said.
The post AI vs Blockchain: Are you ready? appeared first on Air Cargo Week.
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