South Korea’s major logistics service operator CJ Logistics has developed an artificial intelligence-based tracking system that can accurately track cargo and calculate the estimated time of arrival. The system will allow the logistics service company to seamlessly plan and link delivery schedules in different countries to save time and costs.
CJ Logistics said it has commercialised the ‘CJ Logistics Cargo Tracking’ system, which was put to test service in November last year. Conventional shipping schedules are calculated using a vessel’s estimated traveling distance and average travel time taken by other vessels that traveled through similar routes. However, the estimated time of arrival (ETA) was not very accurate as it is affected by weather and other variables.
The company informed that its AI-based cargo tracking solution creates up to 18 forecasting models using machine learning technology. The ETA of a vessel can be calculated using big data such as global positioning satellite data, traveling routes, distance, and weather forecasts.
With its tracking solution, CJ Logistics said the accuracy of ETA calculation has doubled to 85 per cent. Companies operating factories in overseas countries can reduce safety stocks by up to 40 per cent using CJ’s AI-based tracking system.
South Korea is adopting new technologies to increase efficiency and reduce costs in shipping. In June, Busan Port was selected in a government project to develop smart port technologies and commercialise an unmanned smart port logistics system. Smart ports use AI, big data, Internet of Things (IoT) and blockchain to increase efficiency and security.