Exploring Predictive Intelligence in the Supply Chain

Predictive Analytics Software

If there is a buzz phrase that is gaining traction in the logistics world – it’s “end-to-end transparency”.

Consumers today demand updated information about the journey the products they purchase have made to get to their doorstep. 

This is especially true when it comes to perishable items such as food, medication, and other commodities that are bought at retail locations. 

To facilitate this a bit better, predictive intelligence solutions are being used as an analytics tool to capture data, analyze it and make appropriate changes for improved transparency and visibility. 

While technology, specifically AI and predictive intelligence, has been used for the past few years in military and other transportation operations, it’s finding a home in the supply chain. 

Predictive intelligence software providers optimizes customer experiences by identifying the lifecycle of their shipments. Additionally, the integration of this data also helps improve staffing, minimize transportation wait times and expedite the route development process. 

The integration of predictive intelligence can impact all areas of supply chain movement. The key is understanding how it works and how to implement it.

In this article, we’ll identify three industries that can all benefit from the integration of predictive intelligence.



Retailers face multiple challengers as customers demand increased transparency with E2E supply chain movement. 

The proactive retailer has been using predictive intelligence to help streamline the day-to-day operations for several years. However, finding a way to collect and use big data correctly is where modern retailers typically struggle the most. 

Companies like Costco and Wal-Mart have found creative ways of integrating predictive intelligence to help them identify areas of concern, opportunity for improvement, and gain valuable insights into the shopping habits of their customers. 

This information, in turn, can be then be put into action in the most appropriate way.

There are a few general improvements that many retailers discover when implementing predictive intelligence into their operations:

  • They gain insights on customer purchases by assigning rewards points or by linking their membership numbers to their shopping history. 
  • Helps retailers tailor product selection.
  • Identifies risk vs reward opportunities for new product categories. 
  • Helps address customer concerns quicker by providing substantial and analytical data to back up their decision making.  



These solutions also have a home in healthcare. More specifically, the pharmaceutical industry. 

Predictive intelligence platforms help to better track movement of healthcare related supplies, including medications and specialty equipment. 

Additionally, the insights that these platforms provide allow healthcare facilities to find ways to improve various patient services and the overall doctor visit experience.



Arguably the biggest industry within logistics that can benefit from the improvement of data collection and predictive intelligence is transportation. 

A recent customer survey indicated that more than 70 percent of online shoppers are more adapt to shop with online retailers that provide them with E2E tracking of their goods. 

While this responsibility mainly falls on the retailer, transportation companies also have a crucial role in equipping their vehicles with the right technology to sync up with these platforms. 

This is referred to as real-time freight visibility.

The inclusion of predictive intelligence allows carriers and 3PLs to identify four important areas of improvement:

  • Reduction of late shipments by monitoring the activity of deliveries.
  • Provide transparency by increasing shipping status and location traceability. 
  • Reduction of costs due to missed deliveries or freight delays.
  • Increase B2B opportunities by partnering with companies that offer visibility and traceability solutions, especially when based around similar business values.


Final Thoughts

Big Data and predictive intelligence is growing in the logistics space. 

It’s used by warehousing, fulfillment centers, retailers, distributors, transportation companies and more. 

If you’d like to learn how predictive intelligence can be used in your supply chain business, contact Redwood Logistics to explore your future.