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By Steve UMIDHA
The use of Artificial Intelligence (AI) technology has the potential to boost labour productivity by optimizing and changing the fundamental ways work is done, according to Jason Reynard, the Regional Managing Director (East Africa) of Africa Global Logistics (AGL).
“AI can be used as a force for good…it is something at AGL we are keen on integrating within our operations,” offered Reynard during a media tour engagement at the firm’s Nairobi office.
Adding that, overall, AI has the potential to revolutionize logistics operations by increasing efficiency, improving decision-making, and enhancing customer service. “By leveraging AI technology, companies can stay ahead of the competition and adapt to the rapidly changing demands of the modern marketplace.”
Indeed, a growing number of companies are today using technological advancements like AI to analyse historical data, market trends, and other influencing factors to generate more accurate demand forecasts.
The use of such technologies, according to Reynard, will ensure better resource allocation and smoother logistics operations. The role of AI in logistics today is ultimately to streamline procedures across order processing, inventory management, supply chain and distribution in order to offer an enhanced customer experience.
It can be used to automate routine tasks in order to reduce costs, improve efficiency and provide better customer service.
In the transport and logistics industry, 40 percent of respondents state that artificial intelligence can help improve inventory management, according to data by Statista – which notes that through the implementation of AI, businesses can create smarter manufacturing and distribution centers.
“That is, AI has the capacity to understand complex real-time inventory control dynamics, predict scenarios, recommend actions, and act accordingly,” the survey reads in part.
With over 17 container terminals in Africa, Haiti and East Timor, Africa Global Logistics, could potentially advance it operations through the use of intelligent systems and AI algorithms to optimize transportation planning, demand forecasting, and offer management.
Such systems are also able to predict potential breakdowns months in advance based on data from sensors installed in vehicles and other equipment, which makes it possible to schedule repairs and maintenance at convenient times, minimize downtime, and avoid unplanned stops on the road.
Further, autonomous robots equipped with artificial intelligence modules are already at work in many modern warehouses and logistics centers, which have the capacity of picking orders, packing products, and transporting pallets of goods.
Machine learning algorithms also enable these robots to recognize individual goods and packages, plan their own paths around the warehouse, and even communicate with employees.
New brand
In December 2022, MSC Group confirmed it had completed the acquisition of Bolloré Africa Logistics business unit for $6.4 billion after the transaction was approved by all applicable regulatory authorities.
With the new brand, AGL affirms its ambition within the Mediterranean Shipping Company (MSC) Group to contribute to the sustainable transformation of Africa and emerging markets.
As a multimodal logistics operator in Africa – working in ports, road logistics, maritime and rail – AGL, through its newly acquired proprietorship will seek to participate in the transformation of Africa by providing customised logistics solutions, improving the connectivity of territories and contributing to the establishment of a sustainable logistics ecosystem for all its stakeholders.