Artificial intelligence (AI) is rapidly changing the ways of the world. As technology continues to advance, the way we apply this digital power is also expanding. Its reach and influence are changing industries in unprecedented ways.
While AI development is heavily demanded in the realms of entertainment, tech, and finance - the sector that most covets AI implementation is retail’s supply chain. This may come as a surprise to some, but all the pros know that this is where digital innovation hits the jackpot.
The process of getting products from point A to point B is adapting - fast. It’s no surprise that the supply chain is the hottest market for AI development. The areas of manufacturing, packing, sorting, shipment, and delivery are all ripe for tech-centric improvements, and AI is best suited to do the job.
Let’s explore 3 key reasons why hybrid intelligence and AI are revolutionizing supply chain management all around the globe.
New Consumer Demands
One of the greatest factors fueling the need for an upgraded supply chain model is new consumer demands. Contemporary consumers are calling for speed, efficiency, and diversity. The advent of one-click shopping has ushered in higher expectations for supply chains, and big changes are necessary in order to meet these lofty ideals.
However, AI is the perfect way to make these goals into reality. AI and hybrid intelligence allow producers to get things to their customers faster and more effectively - delivering precisely what today’s shoppers want, exactly the way they want it.
Another latent potential which is unlocked by hybrid intelligence is organization. The implementation of AI into supply chain management has sparked a revolution within warehouses.
With a much higher concentration of online orders being made every day, it’s vital for industrial spaces to remain organized. With the help of hybrid intelligence, this is easily accomplished. Digital systems, such as barcodes, enable every facet of the supply chain to attain vital levels of classification. This simplifies the sorting and shipping processes and enhances overall productivity rates.
Don’t think that the relationship between AI and the supply chain is a one-way street. In reality, this partnership is beneficial to both the machines and the business itself. Many warehouse responsibilities have now been passed on to specialized AI programs, which are manufactured to adapt and develop.
This programming is called ‘reinforcement learning’, meaning that the machines are able to hone in on skills after performing them time and time again. Experts from Kindred, an AI development company, state, “Reinforcement learning is a type of machine learning where AI systems can learn from their own experience… We record all that data and use it in our learning algorithm to make it more likely in the future to choose actions that lead to good outcomes.”
This fits into the supply chain module perfectly, as the job entails repeating the same task time and time again. This gives AI and hybrid tech the opportunity to further advance and develop, all while providing a great customer experience.
All in all, hybrid intelligence is bringing us into a new era of supply chain management. To learn more about the latest CRE news, visit our blog.