Cost, disruption, and lack of know-how are acting as barriers to widespread adoption of helpful technologies, including artificial intelligence (AI) by supply chain executives, according to a recent survey commissioned by HERE Technologies with Amazon Web Services. As a result, the transportation and logistics industry is missing opportunities to improve supply chain visibility, the authors conclude. 

HERE Technologies, a location data and technology platform said its latest "On the Move" survey of transportation and logistics companies in Germany, the U.K. and U.S., released February 6, shows a significant gap in the adoption of basic data analytics and AI, along with a lack of sustainability goals and progress toward achieving real-time supply chain visibility.  

According to survey conducted by YouGov, only 50% of transportation and logistics professionals across the three countries said that their organizations utilize basic data analytics in their operations, and only 25% of all respondents are making any use of AI.  

Further, despite the global emphasis on sustainable practices, the study reveals low prioritization of sustainability among logistics companies across all three regions, with a majority of respondents stating their organizations do not have sustainability goals. Some 27% said those goals are “under development,” and 33% said their organization was without sustainability goals, and had no plans to develop metrics. A surprising 66% of transportation and logistics professionals in Germany indicate their organization currently does not have defined sustainability goals or metrics specific to transportation and logistics operations. 

Cost is the number one barrier to further technology implementation according to transportation and logistics professionals in all three countries. Thirty-one percent of professionals surveyed in Germany cited cost barriers, alongside 23% of respondents in the U.K. and U.S. Potential disruption to existing services (12%) and lack of internal expertise (11%) were the second- and third-highest cited barriers to technology implementation. 

The survey indicates that sustainability consistently ranks the least important consideration, across all three countries, when it comes to end-to-end supply chain and logistics management. Instead, German logistics professionals are prioritizing the need for better route planning and real-time tracking, while U.S. respondents emphasized drivers' safety, and transportation, and logistics professionals in the U.K. prioritized improving customer satisfaction. 

HERE enlisted YouGov to conduct, from January 2-10, 2024, a multi-country survey of 300 transportation and logistics professionals in each country (Germany, the U.K and the U.S) representing companies small and large. The industry survey explored various trends and topics, including supply chain visibility, sustainability, data analytics, artificial intelligence (AI) and overall barriers toward technology adoption.