Three Objectives for Supply Chain Optimization in 2019
New growth and competition in the supply chain industry are being driven by a phenomenon noted as “The Amazon Effect.” Industry pace is quickening. Companies are aiming to meet customers’ high demands and immediate expectations. And corporate objections demand three things. The first is reduced costs. The second is planning for unstable trade regulations and tariffs. The third is to make efforts towards attracting and acquiring skilled talent. This talent will be able to execute the “transition to digital and A.I. enabled capabilities” that your business needs. Pressures are squeezing the supply chain industry as we know it. And it’s creating an innovative and robust end-to-end digital planning and optimization capability.
Reducing Costs in the Supply Chain
Amazon’s success is squeezing the supply chain industry to find solutions that compete with Amazon’s success. Their success can be broken down into a few sectors. Autonomous order picking and packaging. A continuous fulfillment schedule. And omnichannel services. Furthermore, Amazon is placing retailers under incredible pressure to develop their own solutions. Not all companies are able to reach such fulfillment optimization. Not to mention develop its own delivery network. Deploying your own automated warehousing and IOT is just part of the answer. But the best solution is through controlling automated processes with data insights collected from your IOT.
Automated warehousing drives costs lower by decreasing labor costs. It also lowers costs through controlling inventory levels and providing planning around lead times for products and suppliers. Having the capacity for optimization automation that controls inventory forecasting and lead time is great. However, it’s only as good as the accuracy of the data that powers it. Is your solution robust? Is it integrating all the data from disparate sources effectively? If not, your costs will not be significantly reduced. Let Fellow Inc. apply our fleet of autonomous mobile robots, artificial intelligence (A.I.), and machine learning to reduce costs in your process.
A.I. and Machine Learning Analysis for Tumultuous Markets
Recent years have seen the introduction of protectionist trade initiatives and tariffs. They have been enacted in an attempt to address trade imbalances and alleged currency manipulation. 2018 saw the United States enter into a tit-for-tat trade war with China. Both countries levied higher taxes on imported goods. A.I. can be an incredible asset in detecting, disseminating, and creating action. This is especially true when it comes to trade news headlines and proposed legislation from Congress.
There are advantages to integrating the analysis of world events and new legislation through machine learning and A.I. This innovative technology can provide you with the flexibility to change supply chain orders. Even further, machine learning and A.I. can help shift your global allocation of resources. However, tread with caution. In such situations, A.I. is only as good as the training models and algorithms that make up its machine learning networks.
Data Scientists and A.I. Expertise in Demand
In 2019, much of the data used for supply chain optimization comes from third parties. This data also comes from sources external to a company’s ERP system. This is especially true of a diversified supply chain equipped with Industry 4.0 and IOT devices. But how is this critical data collected? And how is it utilized at your company today? Effective supply chain optimization today necessitates high quality and consistent data. It also has the ability to parse and organize disparate fragmented data sources.
Retailers struggle with the success of deploying omnichannel services. Many blame their lackluster results on the absence of quality customer data insights. Inconsistent data degrades the accuracy of recommendations. Unreliable data forecasting leads to a decline in management’s confidence regarding the supply chain organization. There are a few ways to effectively leverage the power of data analytics. That is through A.I., machine learning, blockchain, and new tech.
However, organizations must establish a cornerstone of new talent. Talent that is fluent in integrating new tech with pre-existing supply chain solutions. Increased demand for A.I. and machine learning implementation in supply chains are creating a shortage of skilled talent. Without such talent, it is difficult to effectively execute the transition to A.I. forecasting and machine learning integration. Do you have the time to spend years developing your workforce? What about years training your A.I.? Leverage the expertise of our data scientists at Fellow Inc. instead.
Fellow Inc. is a technology firm that focuses on machine learning and data science. Our main goals are to find and prioritize actionable intelligence out of multiple disparate sources of information. We specialize in applying A.I. and machine learning to streamline and optimize your supply chain. We have the expertise for data insights and consistent data collection from your Industry 4.0 and IOT devices. To be competitive, your supply chain must overcome several obstacles. These include, “the removal of organizational siloes, creation of new processes, and forming teams that work across, rather than within channels.” Let us empower your workforce and move you to the leading edge of supply chain management.