Savvy business leaders are already beginning to identify use cases for generative AI in their organizations. From customer service to marketing and HR, generative AI’s ability to analyze data and generate content in a variety of formats can add significant value to internal business processes. But what about the supply chain?
AI, in general, has been making waves in supply chain functions for a while now – particularly when it comes to demand planning and optimizing delivery. So, how can generative AI build on that evolution and add extra functionality?
Generative AI’s ability to analyze vast amounts of historical and real-time data – and provide conversational answers – can make planning much easier. Because instead of navigating a complex analytical tool, you can simply ask conversational questions that help you forecast demand. Questions such as, “What are the biggest market trends that may impact our demand forecasting?” or “How can we plan for alternative suppliers in case of a major global disruption?” or “What are our biggest risks around meeting customer demand?”
Generative AI can add value to the supplier selection process by analyzing factors such as supplier capabilities, pricing, potential risk, and other factors. Plus, by analyzing supplier data and communications, generative AI can identify insights from supplier interactions and suggest new ways to improve relationships.
Supply chains have always been in a state of evolution. Generative AI is the latest technology to offer improvements and innovation – potentially the most transformative technology – but it won’t be the last. As has always been the case, those organizations that can embrace transformation in a strategic, thoughtful way are most likely to succeed. Everyone else risks being left behind.
Source: Forbes
