FourKites: Leaders see AI as Key to Supply Chain Automation

US supply chain leaders remain optimistic about AI despite ongoing challenges with complex technology systems, blind spots in networks and difficulties translating data into timely actions.

That's according to the latest research from FourKites, which reveals how organisations are increasingly looking to AI to automate routine tasks and improve operations.

Its report, Why You Should Rethink Your Supply Chain Tech, is based on a survey conducted by FourKites and the research group YouGov, which gathered insights from supply chain leaders across the country to assess the effectiveness of existing technologies and the perception of emerging solutions.

Complexity hampers supply chain visibility

One of the key challenges highlighted by respondents in FourKites' survey is the high number of systems required for basic decision-making.

Three-quarters of supply chain leaders say they rely on three to ten different systems, resulting in limited visibility and operational inefficiencies.

A staggering eight out of ten organisations report seeing less than 75% of their supply chain operations in real time, while only 20% have comprehensive visibility over their networks. Blind spots across supplier networks, orders and other critical areas remain a widespread concern.

Supply chain complexity also prevents large organisations from deriving value from their technology investments. Less than a third (30%) of companies say complex workflows across systems hinder their ability to benefit from their tech stack, while two-thirds of respondents indicate that it takes four hours or more to assess the impact of disruptions.

AI adoption holds promise – but concerns persist

Despite these persistent issues, AI is seen as a potential game-changer.

Leaders believe that AI can help automate key processes such as carrier communication, appointment scheduling, exception management and administrative tasks like system entries and reporting. Many expect the technology to improve on-time in-full (OTIF) performance, enhance customer satisfaction and reduce labour costs.

The survey reveals that three-quarters of respondents anticipate AI will be capable of managing between 25% and 75% of routine supply chain tasks.

However, concerns persist, with more than 40% of respondents citing data security, system reliability and costs as potential obstacles to adoption.

Other key findings include:

• Almost two in five (38%) respondents, including 58% of leaders from the largest companies, identify supply chain blind spots as the most significant limitation of current technology
• Only 22% of shippers generating more than US$1bn in revenue find their supply chain control tower effective at driving meaningful action.

Enhancing visibility

In response to these industry challenges, numerous companies are working to develop solutions that enhance supply chain visibility and operational efficiency.

FourKites, for example, has expanded its real-time transportation visibility platform to offer comprehensive supply chain solutions powered by AI and digital networks.

One of the firm's most recent innovations is the launch of its Intelligent Control Tower, an advanced, AI-driven platform that replaces traditional planning tools and introduces digital twins of shipments, orders, inventory and assets. The solution provides actionable insights, risk assessments, prescriptive recommendations and autonomous execution to address complex supply chain issues.

“Companies in every industry are telling us the same thing: they're drowning in data but starving for action," explains Mathew Elenjickal, Founder and CEO at FourKites. 

"Too many companies have invested in multiple systems only to end up with low-quality data, limited insights and inadequate decision-making capabilities. And it’s costing them in network delays – the single largest contributor to unexpected supply chain expenses."

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