Aramex turns to AWS to drive logistics efficiency

New big data platform built on AWS has increased accuracy in shipping-date predictions by 74%

Aramex keen to solve industry challenges around address management, volatility in volumes and last-mile capacity, said Sleeq.
Aramex keen to solve industry challenges around address management, volatility in volumes and last-mile capacity, said Sleeq.

Aramex will migrate all of its technology infrastructure from the company’s on-premises data centres to Amazon Web Services (AWS), the logistics firm has announced.

Mohammed Sleeq, chief digital officer at Aramex, says adopting AWS will drive further innovation within the business and provide a platform for growth.

“We are focused on enhancing the customer experience and solving industry challenges primarily around address management, volatility in volumes and last mile capacity. Today, we are able to look at our customers’ delivery experience and expectations from origination to last mile delivery and work backwards to identify technologies and processes that can help us to deliver faster, more efficiently, and operate with elasticity. We are now starting the full migration of our IT infrastructure to AWS and are excited to realize the full benefits of the cloud,” Sleeq said.

In its first phase of cloud adoption, Aramex has built a data lake, which is hosting a big data infrastructure that leverages machine learning (ML) and artificial intelligence (AI) capabilities to further enhance the customer experience by transforming the last mile delivery.

Taking advantage of Amazon SageMaker, a fully managed machine learning service for building, training, and deploying machine learning models, Aramex’s in-house data science team built a data analytics and machine-learning platform on AWS.  Utilising this platform, Aramex is improving delivery accuracy and solving for the lack of proper physical addresses in the region by developing intelligent address prediction models that convert descriptive addresses into geo locations. The ML-based platform is also providing the company the ability to have accurate and instant delivery time predictions, using calculations based on seasonality and capacity constraints. As a result of this adoption, Aramex has increased accuracy in shipping-date predictions by 74%, and lowered its average processing time for a prediction from 2.5 seconds to under 200 milliseconds.

“Aramex has a longstanding history of innovation, over many decades, and it is great to see how it is using cloud to solve unique industry challenges in the Middle East and North Africa. Combining this with our own experience of using ML technology for the transport and logistics of packages with Amazon.com, we look forward to helping Aramex leverage advanced and secure AWS technologies to further improve the customer service they deliver,” said Andy Isherwood, managing director of Amazon Web Services EMEA.

The move to AWS is the latest milestone in Aramex’s digital transformation journey. In October 2018, Aramex became one of the first companies in the logistics and transport industry to roll out WhatsApp for Business to customers in the form of an AI-based Chatbot. In December 2018, Aramex launched ‘Aramex Fleet’, a crowd-based delivery platform that connects individuals to flexible last mile delivery work to support strong demand for Aramex services in the region.

Aramex’s new, 60,000-square meter fulfilment centre in Dubai features new technologies including a ‘Pick to Light’ system, which uses light-directed picking technology to improve accuracy and efficiency, and an automated conveyer belt system.

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