Supply Chain Management Benefits from AI
One of the key driving forces behind supply chain augmented reality is artificial intelligence. AI is making an impression on day-to-day life with Amazon’s Echo, Microsoft’s Cortana, and Apple’s Siri. It is also ready to change the supply chain in profound ways.
Computer software created to interact with human capabilities and make decisions is artificial intelligence. The futuristic supply chain will leverage powerful AI to its benefit.
The two key driving forces behind AI are a need for increased speed and consumer demand. Facial recognition software, autonomous vehicles, and Mark Zuckerberg’s plans to create a computerized personal assistant are all the result of decades of progress in the arenas of big data, analysis of algorithms, and parallel computation.
The company Accenture has dedicated resources to developing AI capabilities for the advancement of supply chain technology. They are offering several grants at the University College Dublin to help improve research efforts in AI. They also have their own in-house R&D team looking into AI advancements.
The value of discovery, cognitive systems software, and content analytics is expected to reach $5 billion by 2019, followed by a sudden 500 percent growth between 2019 and 2025, when the value and investment in AI will be $5-$7 trillion.
Currently, high demand for better processes, faster speed, and Big Data is leading to advances in technology fueled by higher spending.
The future of design and manufacturing
Instead of creating a model and interacting with it to determine what changes should be made, in the future, designers will be able to interact with a digital model via AI that eliminates the process of creating and recreating several iterations of a physical model. This new process will cut R&D time to a fraction of what it once was. The need for an entry mechanism will be eliminated, and the designers will be able to interact with a model in a much more natural and productive way.
Using gestures and AI, the designer will be able to simulate actions with the model using only their hands in digital space. Facial recognition and voice recognition software could also be used to change processes and streamline the current system.
The future of shipping
Transportation management, or how a product gets from manufacturer or distribution center to the end user, is poised to get a huge boost from AI. Developing autonomous vehicles is a big priority for giants like Facebook, Google, and Apple. A self-driving car is any vehicle that does not require the input of the occupant to steer, brake, or accelerate, but rather, uses computer technologies to achieve those actions.
By 2020, the use of self-driving cars is expected to increase at a rate of 134% compound annual growth.
Better algorithms, extensive parallel computation abilities, and big data all make AI a reality for everyone living in the modern world. As it becomes an integral part of normal day-to-day life, manufacturers must learn to use it to their ultimate benefit.