Logistics, the most critical pillar in the Supply Chain, grapples with many challenges. From driver shortages to increasing road accidents, logistics operators are increasingly turning to AI-powered fleet management systems to enhance safety, improve visibility, and build more resilient, agile fleet operations.
In today’s complex global supply chain ecosystem, ensuring fleet safety and visibility is crucial to maintaining seamless operations. While fleet operations are a critical link in the supply chain, traditional technologies often fail to deliver real-time asset visibility and management, making it difficult to mitigate potential risks effectively.
However, organisations are increasingly recognising the benefits of artificial intelligence (AI) technology in improving driver safety, operational visibility, and the overall efficiency and sustainability of supply chains. Research that we conducted last year—based on responses from the top Supply Chain leaders in the UK and EU—revealed that while only 33% of supply chain professionals currently use AI for fleet safety monitoring, 81% plan to implement AI solutions within the year.
Organisations can improve accuracy, efficiency, and profitability in their supply chains by using AI-driven fleet safety systems with computer vision, predictive insights, and better operational control.
Speed and accuracy — the top priorities for goods delivery
Our survey revealed that 57% of supply chain professionals consider accuracy and timeliness the top priorities for goods delivery. This reflects broader consumer trends as today’s shoppers increasingly demand near-instant delivery and greater convenience when receiving their purchases. A recent Retail Week report, ‘Shopper Unlocked: Inside the Minds of 1,000 Consumers‘, highlights that delivery experiences now outweigh loyalty perks or alternative payment options in importance for shoppers. Real-time order tracking has also emerged as a key factor in customer satisfaction, underscoring the growing demand for transparency throughout the delivery process. Businesses that fail to meet these expectations risk losing customers to competitors and potentially damaging their brand’s reputation.
Poor fleet visibility and driver shortages are two significant challenges hindering delivery precision in logistics and transportation. Accidents are another critical issue, causing product damage during transit, harming brand reputation, affecting driver well-being and availability, and driving up operational costs.
Enhancing delivery precision with AI-driven insights
While data is at the core of effective fleet management and safety, many existing systems rely on older technologies like telematics and GPS. These technologies are often limited in their functionality and cannot provide the level of granularity that modern AI solutions based on vision can. Integrating such advanced tools into goods delivery processes can significantly enhance delivery precision and predictability by improving fleet visibility and driver engagement.
Modern AI tools serve as powerful data mining assets for fleet managers, analysing large volumes of data from a wide range of sources to deliver actionable insights. For example, motion sensors such as accelerometers and gyroscopes, which track the speed and orientation of vehicles, can provide valuable insights into driving manoeuvres. When combined with data from computer vision systems, these insights offer fleet operators an accurate and holistic view of their operations, helping them to make proactive adjustments to routes or schedules and helping maintain fleet safety while ensuring the timely delivery of goods. By improving operational efficiency, businesses can provide real-time customer updates, ensure precise delivery timelines, and offer greater transparency—ultimately meeting consumers’ growing demand for reliability and visibility in the delivery process.
Smarter fleet safety management
AI’s real time data analysis capabilities also play a crucial role in fleet safety. Research shows that human error accounts for over 70% of road accidents, with driver fatigue, excessive speed, and inattention cited as the most common contributing factors. AI systems work to minimise these errors by actively identifying and addressing safety risks. For instance, AI-powered video-telematics and analysis can detect dangerous driving habits such as speeding, distracted driving, and tailgating. By providing real-time alerts—which automatically factor in environmental and contextual data—to drivers and fleet managers alike, these systems offer accurate risk assessments, enabling corrective actions before an incident occurs.
The advanced edge computing-based mapping and analysis technology integrated within modern AI solutions provides valuable insights, helping fleet operators make informed decisions about driver behaviour patterns. Not only that, but these insights also enable operators to draw unbiased conclusions in the event of an accident. According to a joint report by NETS, NHTSA and OSHA, road accidents cost employers nearly $60 billion annually. Leveraging advanced driver safety systems is critical to cutting down costs in the long run while enhancing fleet safety.
Furthermore, modern AI-powered fleet management solutions can also create comprehensive driver performance profiles using advanced driver-scoring systems to evaluate behaviour in detail. These insights allow fleet operators to positively reinforce good drivers and reward safe driving practices through incentive programs. Gamifying the driving experience in this way helps to enhance overall fleet performance and establishes a proactive safety culture within organisations. These insights also offer critical data to support driver exoneration in road accidents, ultimately helping reduce driver churn, a significant issue within this sector.
The benefits of these advanced technologies extend beyond the fleet itself. Improved safety and visibility directly impact the broader supply chain, driving greater efficiency, cutting operational costs, and reducing disruptions.
AI-powered data driving safer and more efficient fleet operations
As transportation remains one of the most challenging aspects of supply chain management, ensuring fleet safety and visibility is more critical than ever.
AI-powered solutions are revolutionising fleet management by delivering real-time insights that enhance efficiency, improve safety, and enable proactive decision-making. By leveraging AI-driven data analysis, logistics providers can overcome operational challenges and gain a competitive edge in an increasingly demanding industry.
As businesses prioritise speed, accuracy, and transparency in goods delivery, AI will play a pivotal role in shaping the future of fleet management and supply chain resilience.
- AI in Supply Chain