Stefano Perego, Vice President of Global Services and Customer Services North America and Europe shared how the company uses AI in logistics.
New technology is applied to mapping and route planning taking into account variables such as weather. Meanwhile, another area is enhancing the product search experience of consumers on Amazon to help them quickly find the right goods.
However, according to the leader of this technology company, Amazon's main focus is to use AI to find the most reasonable warehouse location.
“The area we see as key to saving costs is finding warehouse locations. It is a complex decision, if the distance with the buyer can be shortened, the company's delivery speed will increase.”, Perego said.
Accordingly, Amazon focuses its efforts to "localize" to ship goods to consumers from the warehouses closest to them, rather than from another part of the country.
This job requires technology with the power of data analysis, as well as patterns that predict which products will be in high demand and in which regions.
Currently 74% of the products that customers order on Amazon are shipped from fulfillment centers in their area. These centers use assistive robots to perform repetitive tasks.
The popularity of ChatGPT has raised concerns about the impact on the job market. A report by Goldman Sachs earlier this year found that automation could "significantly disrupt" the global workforce, with about 300 million jobs affected.
Meanwhile, Perego describes automation as “cooperative robots” that help humans and machines work together. And as technology grows more pervasive, AI and automation will change the nature of work, rather than eliminate it.
“The robot will do the heavy and repetitive work like carrying. Humans will move on to perform more judgmental tasks. It's a transformation, not a substitute." Amazon executives said.
(According to CNBC)
