For Logistics Providers, the Time to Act on Artificial Intelligence Is Now
by Slavena Hristova, Director of Product Marketing
The evolution toward digitization in the transportation and logistics industry has been underway for years. Yet, despite the turbulent events of the past few years, and the sky-high expectations of customers in the age of the "Amazon effect," one critical aspect remains stubbornly resistant to change: the way that shipping documentation is processed.
While industry leaders, governmental bodies, and major players champion the shift to electronic shipping documents and predict immense financial gains, the International Chamber of Commerce together with the World Trade Organization estimate that, out of the 36 different documents and 240 copies on average that are exchanged between multiple actors in the course of an international shipment, only one percent is fully digitized.
Manual processing of paper-based shipping documentation is notoriously slow and error-prone. It not only throttles the movement of goods, causing delays and adding cost, but prevents transportation and logistics providers from exploiting the full potential of readily available artificial intelligence solutions, predictive analytics, and machine learning to better understand their processes, eliminate bottlenecks, optimize delivery, and deliver exceptional services to their customers.
While it’s true that achieving universal adoption of fully electronic shipping documentation worldwide might take few more decades, forward-thinking individual players need not wait.
They can leverage intelligent document processing and intelligent automation today to seize unprecedented opportunities, achieve remarkable outcomes, and secure a competitive edge in a swiftly evolving landscape.
How intelligent document processing (IDP) contributes to operational resilience
By automating the extraction, processing, and analysis of shipping documents, this technology ushers in a new era of operational resilience. It eradicates manual errors, reduces processing times, and ensures consistent and accurate data handling. In an industry where time is of the essence, the speed and precision of AI-driven IDP elevate efficiency to new heights, ensuring a robust operational backbone.
Applying AI-powered IDP means:
Results and impact from the get-go
Purpose-built, pre-trained AI models, designed to understand the complexity of shipping documents, are the key to immediate return on investment—whether commercial invoices, arrival notices, packing lists, waybills and bills of lading, certificates, or delivery notes. An AI-powered IDP platform, such as ABBYY Vantage, understands all of your document and extracts data from even the most challenging ones with minimal set-up and exceptional straight-through processing rates. Human-in-the-loop (HITL) manual review is now reserved for exceptions only.
Agility in adaptability
The landscape of global trade is in constant flux, demanding adaptability at every turn. A low-code IDP platform offers this agility by swiftly adjusting to changing regulations, document formats, and compliance standards. Citizen developers are in control of the automation and can immediately react to industry dynamics, effortlessly incorporating updates and alterations. This agility allows logistics companies to stay ahead of the curve, adapting swiftly to regulatory shifts, market fluctuations, and customer demands—all while maintaining compliance and operational fluidity.
Customer satisfaction through expedited processes
In a customer-centric industry, swift and error-free documentation translates into enhanced customer satisfaction. Mobile capture right then and there—on the road, in the truck cabin, at the dock—paired with highly accurate IDP expedites the documentation process, reducing turnaround times for shipments and ensuring accuracy in documentation. This efficiency resonates with clients, offering them a seamless experience. Delays due to paperwork and errors become a problem of the past, fostering trust and loyalty among clientele. The ability to provide real-time updates on shipment status adds a layer of transparency, further elevating customer satisfaction.
The integration of highly optimized, AI-driven IDP software into the transportation and logistics industry is not merely a technological upgrade; it is a catalyst for transforming business outcomes. Embracing this technology isn't just a choice; it's a strategic imperative for companies aspiring to thrive in a landscape where efficiency and adaptability are key. The time to take action is today.