Bill, as the Chief Operating Officer (COO) of a prominent industry with multiple global branches, has under his purview the vast network of production and supply chain management. On his agenda is the meticulous analysis of inventory levels, management of relationships with strategic suppliers, scrutiny of Key Performance Indicators (KPIs), and execution of plans to reduce operational costs.
The daily routine is marked by a series of challenges: discussions with the finance department regarding the weight of inventories and logistical costs, and pressures from the sales team for faster deliveries to compete in the market. In this complex scenario, Artificial Intelligence (AI) emerges as a digital copilot, a powerful resource that transforms data into strategic decisions and operational efficiency.
In the past, Bill relied on reports delivered by his teams. These reports were pulled by the system, placed in spreadsheets, and underwent a series of manipulations that were beyond his control. One of these manipulations, for example, was the claim that a particular supplier was underperforming and needed to be replaced.
What his employees did not expect is that Bill counts on a new copilot system, artificial intelligence that allows him to understand the company and its concerns through natural conversation and text exchange. AI helped him realize that the information he had received was not true to reality. Contrary to what was conveyed, the system presented many other opportunities for cost reduction and did not recommend changing the supplier that was deemed ‘not performing’.
It turns out that within the organization there were conflicts of interest between the executive who was seeking efficiency improvement and the operational team who did not want to present reports from their friends who were driving non-economically, in addition to the excess of vehicles in the fleet, lunches among drivers who deviated from their routes and, of course, refueling at stations with low-quality fuel.
The story had a happy ending for some, but not so much for others. While the operations executive was able to confront the reports he received, revealing the incompetence of part of his team and leading to layoffs, the copilot identified the best-performing collaborators and suggested promoting them. Drivers began to enjoy their copilot who helped them drive better provided instructions on the best places to refuel, and carried out preventive maintenance. The fleet had a 20% reduction through AI that optimizes their routes, best collection time, and driver-vehicle matching.
Much is said about AI in areas such as sales or services, but little is explored regarding the immense potential found in improvements in the supply chain. Today, every employee can already have their AI partner, the copilot, who will help make the best possible decisions for the company, whether on the operational level – for example when someone is driving, on the tactical level for instance distributing people and vehicles to carry out missions suitable for their abilities and, finally, on the strategic level of choosing the best suppliers, the location of the plant, and the warehouses. Do you already have your digital copilot?