AI, anyone? Joking aside, it feels like there’s an AI for everything these days. (There’s even a website for that: theresanaiforthat.com) However, the impact of AI on tail supply chain management is already massive. So, AI is here to stay, but what’s actually happening right now in this field? How is AI in Tail Supply Chain Management revolutionizing the way business operate? Let’s dive in (scroll down for real world AI examples in tail supply management).
Hunger for Data, Craving for Insights
Remember when everyone was talking about big data? Companies were obsessed with collecting and storing as much data as possible. But the problem was, they rarely knew what to do with it. That hunger for data often left them craving for actionable insights.
Now, AI seems to be the long-awaited solution. Those mountains of unused data are no longer gathering dust – they’re turning into goldmines of insights.
AI Meets Big Data
High-tech manufacturers operating globally, with thousands of suppliers and millions of parts, know all too well how overwhelming data can be. Managing it is tough; extracting useful insights? Even tougher.
At MAG45, we deal with millions of data points linked to the products and parts we supply. Analyzing this data to improve production quality has always been a challenge. But with AI, we’re tackling it head-on.
Example: AI in Risk Assessment
For instance, AI allows us to identify risks we couldn’t see before. Take local data—it’s often missing from the bigger picture. We work with this supplier in India. If there’s a flood in their area, you might only hear about it in the national news, and by then, it’s too late to get the items in time. AI, however, can monitor localized events in real time.
By defining the supplier’s location and linking it to relevant alerts, we receive instant notifications. It’s not rocket science, but it works perfectly. This allows us to react quickly, for example, by switching to an alternative supplier.
AI in Procurement
Another game-changing application is pricing. Adding pricing information into the equation, AI helps us track price fluctuations across regions or specific products. If we see a price spike for a tail item, we can adapt by switching to another supplier or renegotiating terms. This kind of data-driven agility simply wasn’t possible before.
With AI, we’re not just monitoring the world of our customers—we’re also keeping a close eye on the world around their tail supply chains.
Goodbye Manual Checks, Hello AI
Let’s look at a med-tech example from China. This company produces needles for hospital operating rooms, where quality is absolutely critical. For years, they relied on manual inspections—using human eyes and hands—to check each needle. Effective? Maybe. Efficient? Definitely not.
When they asked MAG45 if there was a better way, we used AI to help them. Now, needles are inspected using AI-powered image analysis. The result is faster, more reliable quality control that reduces errors and boosts efficiency. It’s a win-win.
AI: A Tail Supply Gamechanger
AI is more than just a buzzword – it’s transforming the way businesses manage their tail supply chains. From predicting risks to optimizing pricing and automating quality control, AI empowers companies to work smarter, faster, and more efficiently.
Are you curious about how AI can improve your tail supply chain? Book a free consultation with one of our specialists – we’d be happy to review your case and explore the possibilities.
