Even the sturdiest supply chains are vulnerable to seismic shocks, whether due to groundbreaking technological advancements, geopolitical shifts, or global crises. Amid these sources of turbulence, artificial intelligence (AI) can be a game-changer, offering a source of rapid response and sustainable solutions to keep supply chains strong. Recently, a panel of experts convened to discuss the convergence of AI and supply chains. The conversation explored AI’s potential for building more robust supply chains, as well as the challenges companies need to consider as they lean on technology to maximize efficiency and procurement efforts. Here are four takeaways from that conversation. Supply chain professionals have to keep a lot of plates spinning as they work to mitigate supply chain risks in real time. “You can’t keep up with everything,” said Walter Sun, SVP and global head of AI at SAP. AI can help by tracking news, events, and relevant issues that may have a material impact on supply. AI can also analyze this data to help predict the potential for minor supply chain hiccups—or major catastrophes. “Predictive analytics is impacting many parts of the supply chain, specifically procurement,” said Eva Ponce, executive director of the Omnichannel Supply Chain Lab at MIT. Predictive analytics enhances procurement by forecasting demand, predicting supplier performance, pricing trends, and optimizing inventory monitoring and performance. A data-driven approach enables organizations to make informed decisions and improve overall efficiency and cost savings. “[It’s] almost like you have a human assistant sitting next to you who could alert you to things you otherwise wouldn’t have known about,” Sun said.
Full report : How AI will revolutionize supply chains.
