Revolutionizing Supply Chain: Common AI Applications

AI and the Supply Chain Management

Since OpenAI released Chat GPT in November 2022, the world has been trying to figure out how and where to include AI in work and personal lives, and the supply chain is no exception.

One recent application of AI in the supply chain is to enhance visibility to identify potential problems and assess ways to improve. Some applications that have been seen include:

1. Forecasting: AI can improve data forecasting by analysing historical data, customer behaviour, market trends, and additional external factors.
2. Improved inventory management: AI can help assess historical sales data, seasonal trends, and other factors to recommend optimal stock levels and predict reorder points.
3. Autonomous supply chains: By leveraging smart devices and sensors collecting real-time data and combining them with AI-driven algorithms, the data can be processed autonomously, enabling quicker decision-making.
4. Risk management and resilience: AI can provide advanced risk management solutions, continuously analyse, and monitor data, and identify potential threats.
5. Personalized customer experience: AI-driven analytics provide a deeper understanding of customer preferences, behaviours, and purchasing patterns.

Potential Obstacles

One of the main obstacles to adopting AI is the human perspective. As history shows, new technologies change how some jobs are done, substituting humans, which makes adoption harder. However, humans typically transition to new, value-added tasks that provide them with new opportunities, higher earning potential, and greater job satisfaction.

Another obstacle is the quality of information provided to the AI. Companies need reliable data for AI to use to obtain effective support.

Pigment and AI

Pigment is a cloud-based planning platform focused on flexibility and collaboration. Now, Pigment is becoming even easier by including AI with a familiar chat-like interface, allowing users to obtain instant answers to important questions.

With Pigment AI, the future of integrated business planning is evolving. It will allow users to obtain instant answers to important questions, test new assumptions in seconds with AI scenario planning, execute decisions easily with automation, and interpret data faster with AI-generated summaries.

For more information, check Pigment’s website.