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  <front>
    <journal-meta />
    <article-meta>
      <title-group>
        <article-title>Financial risk &amp; customs control in humanitarian water logistics: a machine learning approach⋆</article-title>
      </title-group>
      <contrib-group>
        <contrib contrib-type="author">
          <string-name>Ilona Dumanska</string-name>
          <email>dumanskai@khmnu.edu.ua</email>
          <xref ref-type="aff" rid="aff0">0</xref>
          <xref ref-type="aff" rid="aff1">1</xref>
        </contrib>
        <contrib contrib-type="author">
          <string-name>Olga Pavlova</string-name>
          <email>pavlovao@khmnu.edu.ua</email>
          <xref ref-type="aff" rid="aff1">1</xref>
        </contrib>
        <contrib contrib-type="author">
          <string-name>Jan Rabcan</string-name>
          <email>jan.rabcan@fri.uniza.sk</email>
          <xref ref-type="aff" rid="aff2">2</xref>
        </contrib>
        <contrib contrib-type="author">
          <string-name>Alona Melnyk</string-name>
          <email>alona_melnyk@ukr.net</email>
          <xref ref-type="aff" rid="aff1">1</xref>
        </contrib>
        <contrib contrib-type="author">
          <string-name>Olena Kharun</string-name>
          <email>kharuno@khmnu.edu.ua</email>
          <xref ref-type="aff" rid="aff1">1</xref>
        </contrib>
        <aff id="aff0">
          <label>0</label>
          <institution>CEFRES - French Research Center in Humanities and Social Sciences</institution>
          ,
          <addr-line>Na Florenci 3, Prague, 11000</addr-line>
          ,
          <country country="CZ">Czech Republic</country>
        </aff>
        <aff id="aff1">
          <label>1</label>
          <institution>Khmelnytskyi National University</institution>
          ,
          <addr-line>Instytuts'ka str., 11, Khmelnytskyi, 29016</addr-line>
          ,
          <country country="UA">Ukraine</country>
        </aff>
        <aff id="aff2">
          <label>2</label>
          <institution>Zilina University</institution>
          ,
          <addr-line>Univerzitná 8215, 010 26 Žilina</addr-line>
          ,
          <country country="SK">Slovakia</country>
        </aff>
      </contrib-group>
      <pub-date>
        <year>2026</year>
      </pub-date>
      <abstract>
        <p>This study explores the application of machine learning to mitigate financial and regulatory risks in humanitarian water logistics. Through the WaterWayfinder mobile platform, aid coordinators in Ukraine's Kherson and Zaporizhzhia regions achieved measurable gains in operational efficiency and compliance. AI-driven route optimization reduced delivery times by up to 32% and fuel costs by 22%, while predictive modeling improved resource allocation and reduced exposure to high-cost disruptions. The system's customs control module enabled pre-clearance planning and real-time regulatory updates, shortening border processing times by an average of 2.5 hours per shipment. Despite connectivity and data challenges, WaterWayfinder demonstrated resilience and adaptability in conflict-affected environments. Its modular architecture, offline capabilities, and integration with geospatial intelligence position it for broader deployment across crisis zones. The findings highlight WaterWayfinder's potential as a scalable, data-driven framework for intelligent humanitarian logistics, aligning with global efforts to enhance transparency, agility, and cross-border coordination in aid delivery.</p>
      </abstract>
      <kwd-group>
        <kwd>eol&gt;machine learning</kwd>
        <kwd>financial risk</kwd>
        <kwd>customs control</kwd>
        <kwd>WaterWayfinder</kwd>
        <kwd>GIS</kwd>
        <kwd>mobile application1</kwd>
      </kwd-group>
    </article-meta>
  </front>
  <body>
    <sec id="sec-1">
      <title>1. Introduction</title>
      <p>Access to clean and safe water is a fundamental human right and a cornerstone of sustainable
development. Yet, as of 2025, an estimated 2.2 billion people globally lack safely managed drinking
water, while 3.5 billion remain without adequate sanitation services [1] [2]. These case underscore
a persistent and urgent global crisis, disproportionately affecting vulnerable populations in conflict
zones, remote regions, and areas with fragile infrastructure.</p>
      <p>In Ukraine, the ongoing war has exacerbated water insecurity, particularly in regions impacted
by displacement, occupation, and environmental devastation. The destruction of the Kakhovka
Dam in June 2023 triggered one of Europe’s most severe man-made environmental disasters since
World War II [3]. The collapse drained a reservoir containing 18 cubic kilometers of water,
disrupting drinking water, irrigation, and industrial supply across southern Ukraine.</p>
      <p>Over 700,000 people lost access to potable water, and more than 584,000 hectares of farmland
were left without irrigation [4]. The breach contaminated water sources with chemicals and
sewage, displaced thousands, and left over 80 settlements in crisis [5].</p>
      <p>Figure 1 illustrates the multifaceted impact of the Kakhovka Dam explosion. Subfigure (a)
captures the immediate aftermath of the hydroelectric power station’s destruction, highlighting the
structural devastation [3]. Subfigure (b) presents satellite imagery of the drained reservoir and the
widespread flooding of agricultural land [4]. Subfigure (c) visualizes the disruption of water supply
for over 700,000 residents, emphasizing the scale of humanitarian need [5].</p>
      <p>(a)</p>
      <p>The Kakhovka hydroelectric power station
explosion: structural devastation and immediate aftermath [3]</p>
      <p>(b)
Destruction of the Kakhovka hydroelectric power station: draining of an 18 km³ reservoir
and flooding of 584,000 hectares of farmland [4]</p>
      <p>(c)</p>
      <p>Kakhovka Dam explosion: disruption of potable water supply for over 700,000 people [5]
Figure 1: Impact of the Kakhovka Dam explosion on southern Ukraine’s water infrastructure and
environment.</p>
      <p>Humanitarian water logistics in such contexts are fraught with complexity. Aid delivery is
hindered by damaged infrastructure, limited mobility, and volatile security conditions. Moreover,
customs control and regulatory bottlenecks at borders and checkpoints introduce financial risks
and delays, threatening the timeliness and effectiveness of relief efforts. Traditional logistics
models often fail to adapt to the dynamic and fragmented nature of crisis environments.</p>
      <p>This study explores how machine learning and digital tools can mitigate financial and customs
risks in humanitarian water logistics. It introduces WaterWayfinder -a mobile application designed
to assess, visualize, and respond to freshwater needs in underserved regions. By integrating
realtime data collection, geospatial analysis, and AI-powered logistics planning, WaterWayfinder offers
a scalable solution for optimizing aid delivery in conflict-affected and hard-to-reach areas. The
research evaluates the app’s architecture, pilot deployment in Ukraine, and its potential to
transform humanitarian logistics through intelligent, adaptive systems.</p>
    </sec>
    <sec id="sec-2">
      <title>2. Literature review</title>
      <p>Recent advances in machine learning (ML) have significantly reshaped logistics, risk management,
and humanitarian operations. This literature review synthesizes key contributions across transport
optimization, financial risk mitigation, supply chain resilience, and water infrastructure
intelligence, forming the foundation for the WaterWayfinder framework.</p>
      <p>Karkouri et al. [6] demonstrated the effectiveness of ML in optimizing road transport routes,
particularly in transnational corridors such as Dakhla-Paris. Their study highlights how predictive
modeling and real-time data integration can reduce fuel costs, improve delivery timelines, and
adapt to dynamic geopolitical conditions - principles directly applicable to humanitarian water
logistics in conflict zones.</p>
      <p>Huang [7] explored ML applications for financial risk management in non-profit organizations,
emphasizing anomaly detection, fraud prevention, and budget forecasting. These insights are
critical for humanitarian actors operating under volatile funding and regulatory environments.
Similarly, Hongjin [8] integrated IoT and ML to identify risk factors in financial supply chains,
offering a framework for early warning systems and adaptive financial controls.</p>
      <p>Van Twiller et al. [9] applied deep reinforcement learning to master stowage planning,
optimizing cargo placement and resource utilization. Their approach informs the design of
intelligent aid distribution systems, where space, weight, and urgency must be balanced under
logistical constraints. Pons-Ausina et al. [10] presented an AI-driven water management system in
Georgia, showcasing how ML can enhance water quality monitoring, infrastructure integrity, and
service delivery in underserved regions. García et al. [20] extended this by using natural language
processing to review ML applications in water infrastructure, reinforcing the relevance of
intelligent systems for humanitarian water logistics. Wang, Sua, and Alidaee [11][13] emphasized
automated ML for supply chain security, identifying vulnerabilities and enhancing resilience. Jin
[14] and Jahin et al. [12] provided systematic reviews and bibliometric analyses of ML in supply
chain risk assessment, underscoring the growing maturity of these technologies in operational
contexts. Pasupuleti et al. [15] examined ML techniques for improving supply chain agility and
sustainability, including inventory optimization and adaptive routing. Dumanska et al. [16][17]
contributed region-specific insights into digital logistics infrastructure and volunteer coordination
under military conflict, directly informing the customs control and visualization modules of
WaterWayfinder. Aljohani [18] and Wang et al. [19] explored predictive analytics for real-time risk
mitigation, integrating economic and behavioral data to forecast disruptions. Murphy et al. [21]
investigated ML’s role in violent conflict forecasting, offering tools to anticipate humanitarian
needs and adjust logistics accordingly.</p>
      <p>This body of work collectively supports the integration of ML into humanitarian water logistics,
particularly in contexts where financial risk, customs control, and infrastructure fragility intersect.
The WaterWayfinder system builds upon these foundations to deliver adaptive, data-driven
solutions for crisis-affected populations.</p>
    </sec>
    <sec id="sec-3">
      <title>3. Methodology</title>
      <p>
        This section outlines the system architecture (
        <xref ref-type="bibr" rid="ref1">1</xref>
        ), technological components (
        <xref ref-type="bibr" rid="ref2">2</xref>
        ), and analytical
frameworks (
        <xref ref-type="bibr" rid="ref3">3</xref>
        ) that support the WaterWayfinder mobile application. Designed to address the
operational challenges of humanitarian water logistics in conflict-affected and underserved regions,
the system integrates machine learning (ML), geospatial intelligence, and adaptive planning to
enhance decision-making and delivery efficiency.
      </p>
      <sec id="sec-3-1">
        <title>3.1 System architecture</title>
        <p>WaterWayfinder is composed of five interdependent modules, each tailored to a specific function
within the humanitarian logistics pipeline. Together, they enable real-time assessment,
prioritization, and distribution of freshwater aid. The system’s modular and scalable architecture
supports deployment across diverse geopolitical contexts and operational environments, as
illustrated in Figure 2.</p>
        <p>This figure presents the five core modules of the WaterWayfinder application - Needs
Assessment, Geospatial Intelligence, Customs Risk Analyzer, Logistics Optimization, and Decision
Support - highlighting their interconnectivity and collective role in enabling adaptive, data-driven
freshwater aid delivery in crisis-affected regions.</p>
        <p>This architecture enables WaterWayfinder to function as an intelligent, responsive system
capable of navigating fragmented infrastructure, regulatory uncertainty, and urgent humanitarian
needs.</p>
      </sec>
      <sec id="sec-3-2">
        <title>3.2 Technological components</title>
        <p>WaterWayfinder is built on a robust, modular technology stack designed to support humanitarian
water logistics in volatile, resource-constrained environments. The system integrates mobile
accessibility, intelligent analytics, and geospatial precision to enable real-time decision-making and
adaptive aid delivery.</p>
        <p>The core technological components include: mobile platforms, geospatial tools, machine
learning, cloud analytics, offline mode. The application is compatible with Android and iOS devices,
allowing field operatives and coordinators to access and update logistics data in real time. GPS and
GIS integration enable precise mapping, route planning, and terrain analysis. These tools help
localize water-scarce zones and navigate damaged or restricted areas. Supervised learning models
support prioritization of aid delivery, route optimization, and demand forecasting. Algorithms
adapt to changing field conditions and learn from historical patterns to improve performance.
Realtime data processing and secure cloud storage ensure scalability and synchronization across
multiple users and locations. Automated reporting and performance tracking are built into the
system. To ensure continuity in disconnected or low-bandwidth environments, WaterWayfinder
includes offline functionality with local caching and delayed synchronization.</p>
        <p>In addition to its core infrastructure, WaterWayfinder incorporates two specialized subsystems:
financial risk modeling and customs control integration/</p>
        <p>Humanitarian logistics in crisis zones are subject to complex financial risks. WaterWayfinder
integrates a predictive risk modeling framework that addresses: Cost Structures (including
transportation, storage, customs clearance, and volunteer mobilization); Risk Factors (such as route
disruptions, resource misallocation, and operational delays); Mitigation Strategies (through
predictive demand modeling, dynamic rerouting, and cost-efficiency tracking to reduce financial
exposure and optimize resource utilization).</p>
        <p>Navigating customs and regulatory frameworks is critical for cross-border aid delivery.
WaterWayfinder supports: Pre-Clearance Planning (aligning route planning with customs
documentation and checkpoint protocols); Route Compliance (embedding regulatory constraints
into logistics algorithms to ensure legal adherence); Regulatory Mapping (visualizing border zones,
access permissions, and transit corridors to minimize delays and facilitate secure passage).</p>
        <p>These components collectively enable WaterWayfinder to function as a scalable, intelligent
platform for humanitarian water logistics, capable of adapting to diverse geopolitical contexts.</p>
      </sec>
      <sec id="sec-3-3">
        <title>3.3 Analytical frameworks</title>
        <p>WaterWayfinder’s analytical backbone integrates statistical modeling, geospatial computation, and
machine learning to support real-time, evidence-based decision-making in humanitarian water
logistics. These analytical layers work in concert to assess needs, predict risks, and optimize
resource deployment in dynamic and high-risk environments.</p>
        <p>
          The system employs the following core analytical methods: (
          <xref ref-type="bibr" rid="ref1">1</xref>
          ) Classification Algorithms; (
          <xref ref-type="bibr" rid="ref2">2</xref>
          )
Reinforcement Learning; (
          <xref ref-type="bibr" rid="ref3">3</xref>
          ) Geospatial Analysis; (
          <xref ref-type="bibr" rid="ref4">4</xref>
          ) Risk Scoring Systems. Composite indices are
generated to quantify financial and regulatory exposure across different corridors. These scores
incorporate customs complexity, tariff volatility, border wait times, and historical disruption
patterns to guide strategic planning.
        </p>
        <p>Together, these analytical frameworks empower WaterWayfinder to function as a responsive,
data-driven platform capable of adapting to rapidly evolving crisis conditions, ensuring that
freshwater aid reaches those in need with maximum efficiency and minimal risk.</p>
        <p>Table 1 presents the core analytical components that drive WaterWayfinder’s decision-making
capabilities. Each module processes specific data inputs and contributes to real-time prioritization,
risk mitigation, and logistics optimization in humanitarian water delivery.</p>
        <p>The WaterWayfinder mobile application is underpinned by a modular architecture (Section 3.1),
a scalable technological stack (Section 3.2), and a robust analytical backbone (Section 3.3). Its five
core modules - Needs Assessment, Geospatial Intelligence, Customs Risk Analyzer, Logistics
Optimization, and Decision Support - work in concert to enable adaptive, data-driven freshwater
aid delivery in crisis-affected regions. Technologically, the system integrates mobile platforms,
geospatial tools, machine learning, cloud analytics, and offline capabilities to ensure operational
continuity in volatile environments. Specialized subsystems for financial risk modeling and
customs control further enhance strategic planning and regulatory compliance.</p>
        <p>The analytical framework employs classification, regression, reinforcement learning, geospatial
analysis, and risk scoring to support real-time prioritization, cost forecasting, and route
optimization. Together, these components position WaterWayfinder as an intelligent, responsive
solution for humanitarian water logistics across diverse geopolitical contexts.</p>
      </sec>
      <sec id="sec-3-4">
        <title>3.4 Data limitations in conflict-affected environments</title>
        <p>A critical methodological consideration in this study is the connectivity and data sparsity
challenges inherent in conflict-affected regions, particularly in the Kherson oblast. Disrupted
infrastructure, restricted access, and inconsistent reporting often result in limited, sparse, or
unreliable data streams. Such conditions pose significant constraints on the training, robustness,
and generalizability of machine learning models.</p>
        <p>These limitations are especially pronounced for advanced approaches such as predictive
modeling and reinforcement learning, where the reliability of sequential inputs directly influences
performance. In environments where data continuity cannot be guaranteed, model outputs risk
being biased, unstable, or insufficiently representative of real-world dynamics.</p>
        <p>
          To mitigate these risks, the framework incorporates adaptive strategies, including: (
          <xref ref-type="bibr" rid="ref1">1</xref>
          ) Use of
proxy indicators (e.g., regional migration proxies or satellite-derived conflict intensity measures) to
supplement missing data; (
          <xref ref-type="bibr" rid="ref2">2</xref>
          ) Application of transfer learning from comparable contexts to
strengthen model resilience under sparse conditions; (
          <xref ref-type="bibr" rid="ref3">3</xref>
          ) Integration of multi-source datasets
combining official statistics, humanitarian reports, and community-reported signals - to reduce
dependency on any single unreliable stream.
        </p>
        <p>By explicitly addressing these data limitations, the methodology ensures greater transparency in
model design and highlights the importance of resilience-oriented analytical practices in conflict
economies. WaterWayfinder’s analytical backbone integrates statistical modeling, geospatial
computation, and machine learning to support real-time, evidence-based decision-making in
humanitarian water logistics.</p>
      </sec>
    </sec>
    <sec id="sec-4">
      <title>4. Results and discussion</title>
      <p>The pilot deployment of WaterWayfinder in the Kherson and Zaporizhzhia regions of Ukraine
provided critical insights into the system’s operational effectiveness, logistical adaptability, and
potential for broader humanitarian application. This section presents findings across six
dimensions: water scarcity mapping, performance outcomes, customs navigation, financial risk
mitigation, implementation challenges, and scalability potential.</p>
      <p>Using satellite imagery, mobile surveys, and geospatial overlays, WaterWayfinder successfully
mapped water scarcity zones across both regions. The system identified high-urgency areas based
on infrastructure damage, population density, and environmental stress indicators. These maps
served as the foundation for targeted aid delivery and route planning.</p>
      <p>Initial field testing demonstrated measurable improvements in logistical efficiency and resource
targeting, with notable regional differences. As shown in Table 2, Zaporizhzhia outperformed
Kherson in several metrics due to stronger infrastructure and coordination. Importantly, these
improvements were benchmarked against traditional logistics baselines (manual route planning
and paper-based coordination), ensuring that reductions in delivery time, fuel costs, and border
delays reflect comparative gains rather than absolute values.</p>
      <p>
        Fuel Cost Reduction
Aid Coverage Increase
Border Processing Time
Saved
Offline Usage Rate
Volunteer Coordination
Uptime
(
        <xref ref-type="bibr" rid="ref1">1</xref>
        ) Reduced delays are the pre-clearance route planning and documentation alignment
shortened border processing times by an average of 2.5 hours per shipment;
      </p>
      <p>
        (
        <xref ref-type="bibr" rid="ref2">2</xref>
        ) Enhanced compliance are the real-time updates on checkpoint status and regulatory
changes improved adherence to customs protocols, reducing the risk of detainment or rerouting.
      </p>
      <p>These features were especially effective in Zaporizhzhia, where customs coordination was more
predictable and institutional support more consistent.</p>
      <p>Humanitarian operations in conflict zones are exposed to significant financial risks due to
unpredictability and resource constraints. WaterWayfinder’s adaptive logistics engine contributed
to:</p>
      <p>
        (
        <xref ref-type="bibr" rid="ref1">1</xref>
        ) Dynamic rerouting are the real-time adjustments based on weather, security alerts, and
infrastructure damage minimized exposure to high-cost disruptions;
      </p>
      <p>
        (
        <xref ref-type="bibr" rid="ref2">2</xref>
        ) Resource optimization is a predictive modeling enabled better allocation of water supplies,
transport assets, and volunteer time, reducing waste and improving cost-efficiency.
      </p>
      <p>Despite promising results, several deployment challenges were identified (see Table 3), with
Kherson facing more severe constraints due to infrastructure damage, security risks, and data
sparsity.</p>
      <p>The pilot implementation of WaterWayfinder in Kherson and Zaporizhzhia confirmed the
system’s capacity to improve delivery efficiency, reduce costs, and enhance targeting of freshwater
aid in crisis-affected regions. Comparative analysis revealed that while both regions benefited from
the platform, performance gains were more pronounced in areas with stronger infrastructure and
coordination. The system’s customs intelligence and financial risk modeling modules proved
critical for navigating regulatory complexity and minimizing operational disruptions. Despite
challenges related to connectivity and data sparsity, WaterWayfinder demonstrated resilience and
adaptability. Its scalable architecture and interoperability with global humanitarian systems
position it as a strategic asset for regional expansion and international deployment in future
humanitarian crises.</p>
    </sec>
    <sec id="sec-5">
      <title>5. Conclusions</title>
      <p>This study demonstrates that machine learning and digital logistics systems can substantially
reduce financial exposure, regulatory delays, and operational inefficiencies in humanitarian water
delivery. The pilot deployment of the WaterWayfinder App in the Kherson and Zaporizhzhia
regions of Ukraine validated the system’s core functionalities and revealed its transformative
potential for crisis logistics. Through WaterWayfinder, aid coordinators were able to: prioritize
high-need regions using real-time geospatial overlays and community-reported data,
resulting in a 35% increase in aid coverage across underserved settlements; optimize
delivery routes with AI-driven planning, reducing average delivery time by 28% and
fuelrelated costs by 19%; navigate customs and regulatory constraints more efficiently through
pre-clearance planning and compliance mapping, saving up to 3 hours per shipment in
border processing time.</p>
      <p>These performance indicators represent the averaged and weighted results of the pilot project
across both oblasts, ensuring comparability while reflecting regional variations reported in Table 2.
Taken together, the outcomes underscore WaterWayfinder’s capacity to enhance operational
efficiency, transparency, and responsiveness in fragmented and high-risk environments.</p>
      <p>WaterWayfinder exemplifies a new generation of tech-enabled humanitarian infrastructure. By
integrating mobile platforms, machine learning, and geospatial intelligence, the system bridges the
gap between digital insight and field-level impact. Its modular architecture and offline capabilities
make it adaptable to diverse operational contexts—from conflict zones and occupied territories to
remote natural disaster sites. The platform’s alignment with global humanitarian innovation trends
reinforces its relevance: it supports data-driven decision-making, fosters community engagement,
and enables logistical agility under uncertainty.</p>
      <p>Building on the pilot’s success, future development will focus on three strategic pillars: m odel
refinement isenhancing the needs assessment algorithm with additional health, demographic, and
environmental indicators to improve precision and equity in aid targeting; broader deployment is
scaling the system to other Ukrainian oblasts and international crisis zones through partnerships
with NGOs, government agencies, and donor coalitions. The system’s offline resilience and
modular design make it suitable for deployment in regions with limited infrastructure or unstable
governance; policy integration is collaborating with customs authorities, humanitarian logistics
clusters, and international agencies to standardize digital logistics protocols. This includes
embedding WaterWayfinder into cross-border aid frameworks and harmonizing data flows with
platforms such as OCHA’s Humanitarian Data Exchange (HDX) and UNHCR’s PRIMES.</p>
      <p>Future research will focus on refining WaterWayfinder’s predictive models by integrating
health, environmental, and demographic indicators to improve aid targeting. Comparative
deployments in other Ukrainian regions and international crisis zones will help validate scalability
and adaptability. Collaboration with customs authorities and humanitarian agencies is needed to
standardize digital logistics protocols and ensure regulatory alignment. Equally important,
systematic collection of feedback from end-users (volunteers, coordinators, and partner
organizations) combined with usability studies will guide the further improvement of the
application’s interface, enhance multilingual accessibility, and strengthen user-centered design.
Collectively, these efforts aim to evolve WaterWayfinder into a globally adaptable framework for
intelligent humanitarian logistics.</p>
      <sec id="sec-5-1">
        <title>Declaration on Generative AI</title>
        <p>
          The authors have not employed any Generative AI tools.
[6] N. E. Karkouri et al., Enhancing route optimization in road transport systems through machine
learning: A case study of the Dakhla-Paris corridor, Future Transportation 5(
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      </sec>
    </sec>
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