The contract logistics provider GXO Logistics has launched a logistics platform called "GXO IQ," which operates with artificial intelligence. It aims to help companies make logistics processes more productive and dynamic, thereby addressing challenges in complex global supply chains, GXO announced on June 26.
" 'GXO IQ' will be the first AI-supported, cloud-based operating system to make enterprise-wide logistics processes significantly more productive and efficient," said Nizar Trigui, Chief Technology Officer of GXO. Modern warehouses are dynamic and complex. Every day, thousands of micro-decisions are made at each location. With increasing capacity, experts need a system that thinks along to effectively anticipate, manage and intelligently coordinate operations. "That is exactly what GXO IQ was developed for - as the AI logistics operating system of the future," said Trigui.
According to the contract logistics provider, "GXO IQ" uses
a series of AI algorithms based on operational data from over 20 years. The algorithms coordinate millions of complex multi-stage actions in inventory distribution and movement, picking and packing, shipping, and staffing. According to GXO, the AI logistics platform was developed by logistics experts and uses market-leading machine learning and generative AI platforms, including Google's "Vertex AI" and Snowflake's "Cortex AI."
GXO IQ consists of four stages intended to form an intelligent operations platform:
- Data Structure Layer: GXO IQ leverages GXO's operational expertise from 20 years of delivering supply chain solutions for customers, as well as contributions from thousands of operational staff and a data collection that utilizes billions of transactions from GXO operations. More than 200 million signals are streamed and organized daily to form the data structure of the platform, which trains powerful AI algorithms
- for all aspects of logistics operations.
- AI Orchestration Layer: The AI algorithms run continuously in the background, forecasting demand shifts, anticipating inventory risks, proactively initiating inventory movements, and determining the ideal picking, packing, and shipping process for each order - all in real time.
- End-to-End Execution Layer: The execution layer includes a complete suite of logistics management functions with marketplace integration and value-added microservices, including order management, warehousing, returns, and transportation. The services are fully integrated into a unified end-to-end solution that can be adapted to the changing requirements of each customer using the platform.
- Experience Layer: A person-based user interface with a native, interactive AI agent called "GIL" provides a central overview of all key information and helps manage the entire process, from real-time order fulfillment status to exception management to alert notifications on inventory risks.
- GIL offers interactive insights that identify opportunities, answer questions, and translate complex issues into actionable recommendations.
"Our Vertex AI platform helps 'GXO IQ' deliver the insights companies need to anticipate disruptions and build more resilient, efficient supply chains," said Paula Natoli, Global Director, Head of Supply Chain & Logistics, Google Cloud. "We see AI as the central brain of the modern supply chain: It turns a linear sequence of operations into an intelligent, connected ecosystem. GXO IQ is at the heart of this transformation."
"Modern operations need technologies that not only prioritize efficiency but also predict, manage, and coordinate processes," added Trigui. "A shift from automation to coordination was needed. That is exactly what we have achieved."
"GXO IQ", which supports GXO Direct for customers in the USA, will be available globally in the second half of