AI and Sustainability Stand Out in DHL Logistics Trend Radar
Since 2012, the DHL Logistics Trend Radar has become a recognised benchmark for strategy, innovation and education for businesses of all shapes and sizes.
Published every two years, its seventh edition comes at a time when the logistics industry is in the midst of an exciting period of transformation.
If they want to stay competitive, leaders must endeavour to stay ahead of the logistics trends promising to not transform their operations but also elevate growth.
“The DHL Logistics Trend Radar is an invaluable strategic resource for our customers and logistics community,” explains Katja Busch, CCO and Head of DHL Customer Solutions & Innovation.
“It empowers our customers and us to stay competitive in a demanding landscape.”
Once again, the latest radar harnesses key insights from thousands of engagements with stakeholders, internal experts, R&D partners, start-ups and customers, providing in-depth analysis of logistics trends, their impact, time to adoption and the opportunities they present.
Trend Radar 7.0 unveils 40 trends, 17 of which are categorised as social and business, with 23 technological.
Two logistics trends stand out ahead of all others: AI and sustainability.
AI takes centre stage
As is the case across the supply chain field as a whole, the influence of AI on logistics is increasing at breakneck speed.
The latest Trend Radar highlights five prominent trends in this area helping businesses to optimise their supply chains: generative AI, AI ethics, audio AI, computer vision and advanced analytics.
Computer vision, for example, can track assets as they move through the warehouse by reading their unique identifiers, such as QR codes, ensuring more on-time and accurate fulfilment rates.
Meanwhile, advanced analytics is enabling mass personalisation by analysing big data to find patterns in customer behaviours and preferences, which is invaluable to e-commerce businesses given they can be used to deliver a more personalised experience.
And it doesn’t end there. DHL outlines a number of additional ways AI is boosting logistics:
- Faster onboarding of logistics workers within global operations
- Ability to answer questions in multiple different languages thanks to developments in translation capabilities
- Enhancement of last-mile logistics, with AI route planning software able to analyse traffic in real time to find the optimal routes for deliveries, ensuring customers receive items quicker
“The speed of transformation in logistics is still accelerating,” says Klaus Dohrmann, VP and Head of Innovation and Trend Research at DHL Customer Solutions & Innovation.
“Alongside the exciting opportunities of AI unlocking unprecedented levels of efficiency and innovation, the focus on sustainable, resilient supply chains will remain at the forefront of our customers’ strategic priorities.”
Spotlight on sustainability
Logistics is certainly not alone in this, but sustainability has become an increasingly important subject in the industry over the past few years.
As one might anticipate, it takes centre stage in DHL’s Trend Radar, with the sustainability trend cluster spotlighting two areas in particular: renewable energy infrastructure and sustainable fuels.
Clearly, these trends are essential if carbon emissions are to be reduced and logistics efficiency improved along the supply chain.
Within this wider topic, electric vehicles have also earned their place on the radar, thanks in large part to anticipated and much-needed improvements in charging infrastructure and battery capacity.
DHL describes the forecast for the future growth of EVs as “staggering”, with the number of EVs expected to grow from less than 45 million in 2023 to 250 million in 2030 and 525 million in 2035.
The report adds: “With an increasing number of end customers expecting brands to demonstrate responsible environmental policies, the solutions available to them have never been so abundant.”
The e-commerce evolution
DHL’s team of experts have a hard time deciding exactly what should be included in and omitted from the Trend Radar.
Many of the authors have contributed to previous editions, experience which – combined with their expertise in logistics – gives them a unique perspective on different trends and their significance.
However, there are occasions when trends arise in somewhat expected fashion.
Emily Pitcher, co-author and DHL’s Senior Manager of Innovation, highlights one in particular: the e-commerce evolution.
“Consumer behaviour has changed so much, especially with Generation Alpha who have new demands and changed how everything works,” she adds, referencing the way TikTok has evolved from a purely social to commerce platform to suit the younger generation’s preferred method of consumption.
As consumer demands constantly change, e-commerce businesses that dig deep into the DHL Logistics Trend Radar stand to discover further solutions that will keep them ahead of competitors.
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