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A Chinese logistics firm majority-owned by Alibaba, Cainiao, has revolutionized its supply chain by utilizing Artificial Intelligence (AI). In 2018, Cainiao has opened a warehouse with over 700 robots working in it to deal with the demand from Singles Day, the huge annual shopping festival run only on November 11th every year by the e-commerce giant, Alibaba.
No conversation about AI in logistics is complete without mentioning the field of robotics that are embedded inside the supply chain. The power of Big Data, especially when generated by AI, is allowing logistics companies to forecast highly accurate outlooks and optimize future performance by using automated guided vehicles, which in Cainiao case are robots.
The robots can automatically pick up a parcel and deliver them to another part of the warehouse where it is then picked up by a delivery firm. Cainiao admitted that the process has brought significant time savings. The technology generated by AI made the supply chain process more efficient and its publicly stated goal is to eventually deliver to anyone in China within 24 hours and internationally in 72 hours
Last year Singles Day in 2018 — also known as the Double 11 shopping festival — Cainiao processed more than one billion delivery orders over the course of the 24 hours, the first time Alibaba’s Singles Day sales surpassed the billion-package landmark.
Alibaba is not alone in trying to bring more automation to warehouses. Amazon uses robots to transport parcels around its fulfillment centers, too. U.K. grocery delivery firm Ocado also uses various automated machines in its warehouses.
AI is revolutionizing the world of logistics. It is using data to its full potential to better anticipate events, avoid risks and create solutions. This allows organizations to then modify how resources are used for maximum benefit – and AI can do these equations much faster and more accurate than ever before, thus organizations can obtain the best solutions in delivering packages efficiently to achieve maximum results.
To help organizations achieve their maximum results, Cybertrend has created two AI platform – based products, CtrendVision to visualize data analytics and CtrendMax to optimize business performance.
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