Research Project

AI-Driven Digital Transformation of Shipping and Haulage Operations

Principal Investigators
Dr Faiyaz Doctor
Dr Xinan Yang
Multicoloured shipping containers sitting on a dock, with a large blue crane in the background.

Using Artificial Intelligence to improve business operations

This project is focused on better utilisation of MSC’s operational and financial data through the utilisation of AI and simulation modelling approaches.

Mediterranean Shipping Company (MSC) is a world leader in global container shipping and haulage. The project will develop and deploy unique intelligent digital twin simulation and modelling capabilities that will be built upon a data rich pipeline supported through machine learning algorithms.

Specifically, the project aims to:

  • Improve MSC’s decision making by applying machine learning techniques to historic and live data to gain deeper insight into blockages and interruptions to streamline performance of critical operations.
  • Develop a scenario planning platform for modelling simulations driven by MSCs own data combined with various external data such as currency prices, commodity prices, trends in customer behaviour and changes in GDP (UK and worldwide).
  • Apply innovative, nature inspired stochastic dynamic optimisation approaches to optimise resource allocations based on demand forecasting and distribution of haulage and shipping assets to increase capacity and efficiency in road and maritime supply chains.

Partners and funding

This project is being run as a Knowledge Transfer Partnership with MSC UK, funded by InnovateUK.

This project won the Best Partnership (Large Company) at the Essex KTP Awards 2022.

Repositioning of empty containers to enable efficient inter-modal transportation

Within the shipping/haulage industry the efficient movement and positioning of empty containers for fulfilling import/export orders is critical to meet customer’s demand. However, this comes at considerable costs due to transportation and storage involved in over-land haulage maritime transportation

Business challenge 

Traditionally containers are managed based on human-driven planning utilising data from the previous day, week, or month. This can be inefficient due to:

  • Uneven supply and demand for empty containers 
  • Uncertainty in the future supply and demand chain
  • Complex business constraints
  • Complicated Logistic Networks (ocean, road, rail)
  • Dynamic factors, e.g., special day/event, emerging market changes, and unstable policies

The technical challenge

  • Understand the environment topology (percentage of import/export at the port, different types/size container, full/empty proportion, storage, and transport capacity) and build an event-driven data pipeline.
  • The data pipeline can be configured to use synthetic and real data for simulating these scenarios.
  • Creating a Machine Learning (ML) model: Developing a multi agent-based mechanism to monitor the supply and demand of empty containers; Optimising the movement of the container at a reduced cost flow.

The solution

We developed a prototype "Empty Container Repositioning (ECR)" system for MSC that can simulate order data in challenging environmental topologies and recommend ECR actions using an AI model. The model was based on using Graph Neural Networks, Transformer/Self-Attention, Deep Learning, Multi-Agent Reinforcement learning (MARL).

Through the simulation environment the models were able to improve the import/export orders fulfilment percentage and reduce the unnecessary empty moves, improving the availability of containers at a location when needed.