How AI Can Help Optimize Supply Chain Operations
Summary
From container ships lining up outside of ports to empty shelves throughout stores, we’ve experienced significant disruptions to the global supply chain over the past few years. However, the changes required to create long-term supply chain resiliency – like diversifying manufacturing networks and multi-sourcing suppliers – won’t solve the immediate problems caused by pent-up demand or the ongoing labor shortage. Rather than wait for solutions that won’t result in an immediate impact, logistics and supply chain leaders should consider implementing the latest technologies powered by artificial intelligence, such as demand forecasting and automated employee scheduling tools. The problem is that data from the last few years is skewed due to the COVID-19 pandemic and increasingly unpredictable weather patterns, which makes it challenging to accurately predict the labor resources required to meet demand. In fact, machine learning engines react to the likely volatility of data to create a more accurate forecast, taking into account factors like weather, holidays and special events to determine what demand will be at any given time so businesses can resource appropriately.