Making the business case for AI in trucking

AI is the buzzword of the decade. The question is how to take it from buzzy new tech to practical, cost-effective options in trucking. 

For the answer to that, along with what to do and not do when implementing AI into your trucking business, we spoke to Jonathan Todd, vice chair of the Transportation & Logistics Practice Group at law firm Benesch. - Shefali Kapadia

There's a lot of hype around AI. What are practical use cases you've seen for AI in the trucking industry?

One of the most practical applications for AI in the trucking sector is for routing of equipment. Products exist today that can provide mathematically sound answers to questions around lanes and deployment of assets. This can greatly assist in the role of fleet managers and allow them to focus on other more impactful functions.

 Some other more administrative applications that companies are exploring include collecting and analyzing customer load requests, preparing transportation documents and assisting with communications.

What's the biggest mistake you see fleet execs make when they start to think about or implement AI?

There is a misconception among some that AI is essentially a low-cost employee that works 24/7 without oversight. Your business is still your business. The risks and challenges will remain even if AI assists in operational functions. Like most things, human intervention is important in any decision-making, and buy-in from your team is essential to make any implementation project a success. Tackling these projects often begins with recognizing the potential uses, identifying what functions are intended and what are off-limits, and determining who within the organization will take the lead on managing the project as well as day-to-day use.  

If an exec feels overwhelmed by the AI landscape, what's the first step they should take?

The first step is to gain a realistic understanding of what AI is and what it is not. Vocabulary can be a challenge, such as the distinction between generative AI and algorithmic AI.  Plenty of guides, webinars and events exist in today’s market that can take the edge off the learning curve. The next step is to gain an understanding of products on the market and to see demos of those. Not everything will be a one-size-fits-all solution, but surveying the “lay of land” will help to gain a sense of what is available and the costs.  

How can small business trucking owners make the business case for AI and implement solutions in a cost-effective way?

Many vendors of AI solutions will have statistics available showing the intended benefit of using their platforms. Those could include dollars-and-cents savings like increased revenue per mile, increased equipment utilization, lower occurrence of human error and increased efficiency for office staff. There are other indirect benefits that cannot be overlooked as well. For example, if your shipper customers are asking questions about AI, then having a good honest answer may help to secure years of future work.