How is Artificial Intelligence transforming supply chain ?

Apr 17, 2019 | Shared procurement managementJust In Sequence

The key challenge for many companies is to turn Artificial Intelligence (AI) into an asset that effectively supply chain . Indeed, the supply chain plays a crucial role in the quality of the customer experience, cost control and the company's agility in the face of market opportunities.

Companies are looking for speed, reliability and traceability. At the same time, they have to take into account their imperatives in terms of costs, lead times and stock optimization.

To this end, Supply Chain managers monitor and avoid incidents and disruptions to the supply process. Weather, delivery delays and quality defects are the most common incidents. On the other hand major events such as political unrest, natural disasters natural disasters or financial instability of suppliers.

It's a tough job! Particularly when it involves an international supply chain with a vast network of suppliers and distributors.

84% of Supply Chain managers explain that the lack of visibility of their supply chain is their main concern.

Artificial intelligence is transforming supply chain : 3 challenges

This article examines 3 challenges for supply chain that can be optimized by using Artificial Intelligence.

Artificial Intelligence, a competitive advantage

Artificial Intelligence is a highly promising technology for optimizing supply chain. It can process and correlate large amounts of data, making it easier to understand and anticipate the impact of external events.

By improving all supply chain processes, it offers greater visibility throughout the supply chain. This improves decision-making and, in particular, agility.

Act faster and control incidents better

Artificial intelligence makes it possible to implement predictive approaches. These enable the rapid assessment and more effective minimization of risks or disruptive events that may occur throughout the supply chain. As a result, crisis management can be reduced from days to minutes.

With AI, Supply Chain managers can reduce, identify key information and gain the visibility they need to react quickly to any incident.

Artificial Intelligence can also be used to analyze the operational and financial consequences of a potential event. The power of this technology enables you to correlate all relevant information on a supplier or customer. You can quickly obtain a 360° impact analysis. Decision-making by Supply Chain managers is therefore based on based on business challenges, customer expectations and on a complete impact study.

Business knowledge and experience

Artificial intelligence is transforming supply chain through machine learning offering dedicated business solutions. Supply chain management solutions embed a repository of best business practices. Over time, it perfects its "knowledge" by learning how logistics problems are solved.

The solution is therefore constantly being fine-tuned, enabling us to respond more precisely and to different events.

The benefits of a well thought-out supply chain

From accurate event analysis to operational cost reduction, AI supports the deployment of an intelligent, more agile and customer-centric supply chain .

AI integrated with business solutions provides a better understanding of internal and external events that can affect supply chain.

By making it easier to control, manage and optimize the supply chain website, Artificial Intelligence reallocates resources more efficiently. As a result, you can improve your company's overall performance.

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