The logistics and transport sector stands as a major contributor to carbon dioxide emissions, accounting for over a third of all CO2 emissions in many industrialised countries. Within this sector, last mile delivery—defined as the final stage of transporting goods from a central distribution hub to the end customer—represents a significant environmental and operational challenge. This stage is notorious for inefficiencies caused by traffic congestion and suboptimal routing, and it is expected to constitute approximately 53% of total shipping costs in the near future.

Addressing the complexities of last mile delivery is crucial not just for cost reduction but also for environmental sustainability. Artificial Intelligence (AI) technologies are emerging as key players in transforming last mile logistics by enhancing efficiency and reducing ecological impact.

One of the primary benefits of AI in this domain is load optimisation. AI-powered software analyses multiple variables including product weight, package size, delivery locations, and real-time demand trends to ensure vehicles are loaded to capacity while maintaining safety through balanced weight distribution. This process reduces the total number of vehicles needed on the road, thereby cutting fuel consumption and emissions.

Route optimisation is another significant application of AI. Intelligent systems integrate data from sources such as sensors, traffic cameras, and historical traffic patterns to determine the most efficient delivery routes. This not only improves delivery punctuality and driver productivity but also minimises fuel usage and associated emissions.

Predictive analytics further aid last mile delivery by leveraging data on past behaviours and market trends to forecast future demand. This enables logistics providers to allocate delivery resources more accurately, reduce route overlaps, and adjust delivery schedules dynamically to maintain optimal load and route efficiency.

Dynamic scheduling and fleet optimisation are facilitated by AI’s ability to estimate delivery volumes and reallocate resources in real time based on conditions such as road closures or adverse weather. This ensures that driver schedules and vehicle deployment align closely with current delivery needs.

Address validation is a critical component of successful last mile logistics, simplified through AI-driven order verification processes. These systems continuously learn from previous mistakes to improve the accuracy of address data, thereby enhancing the timeliness of deliveries.

Additionally, AI supports improved inventory management by processing extensive historical sales and market data. This insight assists businesses in maintaining balanced stock levels, helping to prevent shortages or surpluses that can lead to waste and unnecessary emissions from excess production.

AI also plays a growing role in reducing the environmental impact of deliveries through optimising routes for green delivery vehicles, thereby encouraging more sustainable practices and shrinking the carbon footprint.

Security enhancements are another area where AI contributes significantly. Technologies such as facial recognition and biometric verification help prevent theft and ensure packages reach the intended recipients.

Looking ahead, AI integration in last mile delivery is paving the way for automation and robotics, including the deployment of drones and autonomous vehicles. Major companies like Google and Amazon are exploring drone delivery to reduce dependency on conventional vehicles, with the promise of reshaping logistics efficiency and environmental sustainability.

The publication Passionate In Marketing reports that AI’s influence in last mile delivery extends to optimising load and route planning, inventory control, scheduling, and security, all of which contribute to more sustainable and effective logistics operations. As the sector continues to adopt and advance AI capabilities, further innovations are anticipated that will redefine how goods are delivered, with a focus on minimising environmental impact alongside operational gains.

Source: Noah Wire Services