Generative Artificial Intelligence in Logistics (English shop)

Use Cases and Application Potential

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The use of Generative AI (Gen AI) in logistics is gaining significant attention, with expectations of cost reduction and improved efficiency. However, there has been a lack of structured evaluation and practical guidance for its application in the field.

A practitioner-focused study by the Institute for Production and Supply Chain Management (PSCM-HSG) at the University of St. Gallen addresses this gap. It offers a theoretical foundation of Gen AI, explores current and future use cases in logistics, and provides actionable frameworks and recommendations for businesses.

The study identifies 16 potential use cases, categorized into:
• Knowledge Enablement (e.g., digital knowledge twins, training support),
• Decision Drafting (e.g., offer creation, contract and invoice checks), and
• Operational Intelligence (e.g., data management, customs clearance).

A four-phase framework is proposed to help companies:
1. Identify relevant use cases,
2. Assess their potential,
3. Implement them using an eight-step method, and
4. Deploy & control solutions effectively.

Developed through collaboration with various companies, the study offers both practical and academic insights, aiming to support the successful integration of Gen AI in logistics.