AI Impact: Are Companies Thinking Too Small About AI?
Summary
Blue Yonder CEO Duncan Angove says companies are focusing on the wrong goals when using AI in supply chains. Instead of just automating jobs, businesses should rethink how AI can improve the whole supply chain system to deliver better results.Key Facts
- Many companies ask how many supply chain jobs can be replaced by AI agents, but this is the wrong question.
- The real value of AI is in transforming the whole supply chain system and its outcomes.
- Blue Yonder surveyed 678 senior supply chain professionals from large companies in retail, manufacturing, and logistics.
- Their top priorities are improving efficiency, making faster decisions, increasing profits, controlling costs, and managing risks.
- AI is seen as a tool to help achieve these business goals, not as a separate priority.
- Effective AI use requires connecting different parts of the supply chain so they share data and decisions in real time.
- Treating AI like a simple upgrade to old workflows limits its benefits, similar to how factories initially misused electric motors.
- Many supply chain operations depend on complex, real-world work and hidden knowledge, making AI integration challenging.
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