Navigate supply chain disruptions with integrated AI planning
Integrated AI planning equips your supply chain with visibility, transparency, and more.
The Disruption Dilemma: Supply chain AI planning for today’s disruptions
From geopolitical tensions to climate events, disruptions and bottlenecks are causing delayed shipments, missed deadlines, and incomplete inventories. Supply chain leaders are finding workarounds, like relying on integrated AI planning to develop sharper scenarios and more accurate demand forecasts. Learn how.
Supply chain disruptions and bottlenecks have become the norm, with various challenges such as rebel attacks on container ships, congestion at ports, worker strikes, and extreme weather events disrupting truck fleets. The real issue? You lack visibility into these adverse events, so you can plan and react faster.
Smart supply chains are turning to integrated AI planning. By incorporating technology like AI, generative AI (GenAI), digital twins, and predictive analytics, supply chains can gain visibility to be more proactive with decision-making. This enables supply chains to take preemptive action to avoid disruptions and bottlenecks, as well as produce more accurate forecasts, optimize logistics to minimize costs and maximize service, and streamline production steps for efficiency.
Forward-looking CSCOs seize the opportunity presented by integrated AI planning. It matures their supply chains, progressing from reactive and siloed to process managed to eventually become highly collaborative and fully integrated, as well as equipped with visibility and transparency. Imagine collaborating with other departments like sales and finance as well as building trust with external supply partners. It’s easier with cloud and sharing data. Or build a digital twin solution for testing scenarios. The options for digitizing and modernizing your supply chain are limitless.
That’s why it’s wise to start with insights and guidance on integrating AI and GenAI into your supply chain. Get started below.
Supply chain planning embraces AI
Supply chain disruptions and bottlenecks have become commonplace. Many are calling it the new normal for supply chain management. We have a better idea—select the best-use algorithm that allows supply chains to develop scenarios for different risk events with counter measures. When a disruption occurs, your supply chain can react faster.
Utilize technology and data analytics to capture, analyze, and share information across the supply chain for greater visibility, better decision-making, and coordination.
According to KPMG analysis, combining accelerated decision making with faster execution can improve service level 400 basis points and increase gross margin 5.5 percent [1]. Companies with better planning and faster decision making are typically more predictable. Predictability delivers substantially higher ROE in the range of 2-4 percent depending on industry.
A greater collaboration between company and trading partners made possible by data and cloud helps ensure accurate forecasts and more on-time shipments.
[1] Source: KPMG analysis of company data, 2021
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How KPMG Supply Chain Services can help
KPMG offers a technology-enabled planning transformation journey supported by a proven six-layer operating model that ensures accurate segmentation analysis and includes a demand plan and a data assessment. We offer an AI portfolio, a set of algorithms for supply chains, from augmenting your workforce and optimizing costs to making inventory management more efficient and assisting regulatory compliance. Let KPMG guide, accelerate, and de-risk your supply chain with purpose-built assets and accelerators designed exclusively for supply chain operations.
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