Skip to content

Decision Intelligence Tech To Empower Logistics: The Ways This New Automation Is Better

Discover how decision intelligence technology is poised to transform the logistics industry. Indeed, it’s here to dramatically automate decision-making flows, even real-time if needed. In particular, decision platforms leverage advanced algorithms, data science, and machine learning to automate decision processes. Further, this groundbreaking tech helps companies make wiser decisions, optimizes decision-making, and streamline operations. With real-time data analysis and predictive modeling, it’s never been easier to tackle bottlenecks, foresee demand changes, and proactively resolve potential issues. In this article, I’ll explore with you how decision platforms can transform supply chains. This includes 10 unique examples covering everything from planning and sourcing to final delivery and customer service.

What Is Decision Intelligence And How Is It Different From Other Automation.

decision intelligence automation for supply chains

Decision Intelligence (DI) is a groundbreaking technology that can take business decision-making to unparalleled heights compared to traditional automation. While decision platforms can employ artificial intelligence (AI), there’s so much more to it than just AI. Below is a short definition of what decision intelligence is:

“Decision intelligence is a practical domain framing a wide range of decision-making techniques bringing multiple traditional and advanced disciplines together to design, model, align, execute, monitor and tune decision models and processes.” 


Now on the surface, decision intelligence appears to be nothing new. Isn’t it just a new IT term to describe business automation? No, this is not the case. It is different especially when it comes to supply chain automation. In the past, most supply chain automation has focused on automating repeatable processes. Concurrently, business intelligence (BI) tools are geared toward presenting information for making better decisions.

In comparison, decision intelligence, and at its zenith, decision platforms are focused on automating decision-making flows in real-time and in a dynamic environment. Also, decision platforms can be autonomous or just provide actionable recommendations and options to decision makers. See my article, This Is What Decision Intelligence Technology Is And Know What Its Not for more details.

10 Ways That Decision Intelligence Tech Can Empower Logistics.

Decision intelligence automation can provide significant benefits to supply chain planning and execution. Further, supply chain leaders can deploy these types of decision platforms at both the strategic and operational levels. Thus, by leveraging advanced analytics and AI algorithms, decision platforms can optimize supply chain decision-making. In particular, it can improve demand forecasting accuracy and optimize inventory levels. Moreover, these platforms can reduce transportation costs and enhance overall supply chain visibility. Lastly, decision platforms enable organizations to make proactive decisions based on real-time data and predictive analytics.

As a result, decision platforms can improve operational efficiency, reduce costs, and enhance customer satisfaction. Below are 10 examples where decision platforms are able to benefit businesses all across the supply chain from supplier sourcing through customer delivery.

1. Supplier Sourcing: Enhance Supplier Relationship Management.

With a decision platform, businesses can improve supplier relationship management by leveraging real-time insights and data-centric decision-making. Hence, businesses can make better informed choices when both selecting and managing suppliers.

For example, a company utilizing a decision platform can analyze in real-time supplier performance metrics. This includes such measurements as on-time delivery, quality, and pricing to identify the most reliable and cost-effective suppliers. As a result of DI automation, supplier selection processes are streamlined, relationships are strengthened. This all results in a smoother supply chain flow.

2. Supply chain planning (SCP): Advance Demand Sensing And Planning.

Supply chain planning (SCP) is significantly advanced through decision intelligence tech. This is particularly so in the area of demand sensing and planning. By analyzing historical data, market trends, and customer behavior, logistics providers can accurately forecast demand. Hence, they can optimize inventory levels accordingly.

For example, a decision platform can analyze sales patterns and external factors like weather forecasts to predict future demand for specific products. This allows businesses to proactively adjust their supply chain strategies in real-time if needed. As a result, these systems can minimize both stockouts and overstocking issues.

3. Ecommerce And Order Fulfillment: Smarter Order Routing And Allocation.

In ecommerce and order fulfillment, decision intelligence technology enables smarter order routing and allocation. In this case, decision platforms consider factors such as inventory availability, proximity to customers, shipping costs, and delivery time frames. As a result, this automation can optimize the allocation of orders to different warehouses or fulfillment centers. Better yet, supply chain leaders can use this automation ad hoc, periodically, or even real-time. Further, businesses can allow decision platforms to act autonomously or with a human-in-the-loop.

For example, an ecommerce platform utilizing DI software can automatically route orders to the nearest warehouse with available stock for faster delivery. This not only improves order fulfillment speed but also reduces shipping costs and enhances customer satisfaction.

4. Inventory Management: Streamline And Optimize Real-Time.

With a decision platform, supply managers can streamline inventory management decisions and optimize in real-time. In this case, decision platforms can continuously monitor stock levels, demand patterns, lead times, and other relevant factors. As a result, logistics companies can make data-driven decisions regarding inventory replenishment and allocation.

For example, a decision platform can analyze historical sales data and predict future demand to ensure optimal inventory levels. Thus, reducing the risk of stock outs or excess inventory. Further, this automation improves inventory accuracy, reduces carrying costs, and enhances overall operational efficiency.  As an example, Throughput Inc’s DI software will automatically determine ROI and ROA. It does this by showing operational savings using real-time root-cause analysis with actionable recommendations.

5. Warehousing: Efficient Resource Allocation And Workforce Planning.

Efficient resource allocation and workforce planning are essential in warehousing operations. This is where decision platforms can play a crucial role in optimizing these aspects. By analyzing real-time data on order volumes, warehouse capacity, and labor availability, logistics companies can allocate resources effectively.

For example, decision platforms can determine the most efficient picking routes for both warehouse workers and robotics. Specifically, these decision platforms can use order locations and optimize the allocation of tasks to minimize idle time. This leads to improved productivity, reduced operational costs, and enhanced customer service.

6. Transportation: Optimal Routing And Dispatching Using Decision Intelligence.

Fleet owners and carriers can greatly benefit from decision platforms through optimal routing and dispatching. DI software can analyze factors such as delivery locations, transportation modes, traffic conditions, and carrier performance metrics in real-time. Thus, it helps companies make informed decisions regarding shipping routes and carrier selection.

For example, a decision platform can consider real-time traffic data to choose the fastest and most cost-effective route for each shipment. This not only reduces transit times but also minimizes fuel consumption and transportation costs.

7. Supply Chain Visibility And Tracking. Real-time Metrics Analytics To Mitigate Potential Disruptions, Reduce Waste, And Drive Continuous Improvement.

Supply chain visibility and tracking are crucial for effective logistics management. This is where a decision platform can provide real-time metrics analytics. As a result, DI software can mitigate potential disruptions, reduce waste, and drive continuous improvement. By monitoring key performance indicators (KPIs) such as on-time delivery rates, order accuracy, and inventory levels, companies can proactively identify issues and take corrective actions.

For example, a decision platform can detect a delay in a shipment’s progress and automatically alert the relevant stakeholders to address the issue promptly. This enables logistics providers to improve operational efficiency, enhance customer satisfaction, and optimize supply chain performance.

8. Freight Bill Auditing And Payment: Provide Real-time Insights to Reduce Costs.

Freight bill auditing and payment processes are streamlined through decision intelligence automation, providing real-time insights to reduce costs. By automating the auditing process using advanced algorithms, companies can detect billing errors or discrepancies more efficiently.

For example, decision platforms can automatically compare freight invoices against agreed-upon rates, contracts, and shipment data to identify any discrepancies or overcharges. This automation ensures accurate billing and helps companies avoid unnecessary expenses.

9. Customer Service: Boost Customer Satisfaction Through Decision Intelligence Real-TIme Insights

Customer service is greatly enhanced by decision platforms through real-time insights. By analyzing customer data, order histories, and feedback in real-time, companies can gain valuable insights into customer preferences and behaviors.

For example, a decision platform can identify patterns in customer complaints or inquiries related to specific products or services. This enables businesses to address issues promptly, improve product offerings or service quality, and ultimately boost customer satisfaction.

10. Compliance: Real-Time insights To Optimize Regulatory Compliance And Sustainability Practices.

Compliance is another area where decision platforms can provide real-time insights to optimize regulatory compliance and sustainability practices. By monitoring and analyzing data related to regulatory requirements, environmental impact, and ethical standards, companies can ensure compliance and make informed decisions.

For example, decision platforms can track changes in regulations or industry standards and provide real-time alerts to ensure that logistics operations align with the latest requirements. This automation helps companies maintain compliance, reduce risks, and enhance sustainability practices.

For more references on the benefits of decision intelligence automation, see Tellius’ Decision Intelligence: What It Is and Why It Matters. Also, see Gartner’s, Analytics and Decision Intelligence (A&DI) Technology For Supply Chains for more on decision intelligence automation providers in the supply chain space.

For more related articles from SC Tech Insights, see my articles on decision science.

Don’t miss the tips from SC Tech Insights!

We don’t spam! Read our privacy policy for more info.