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According to a survey by Gartner, 87% of supply chain professionals invest in resilience. Agility and resilience are crucial due to the increasing customer demands and expectations. Supply chain operations combine technology and the human workforce. However, optimization is essential as it can reduce the excess effort that employees have to put in to manage a supply chain. With the use of Artificial Intelligence for IT Operations (AIOps), supply chain professionals can help create a system that improves customer service and assists in business growth.

AIOps in Supply Chain Operations

Most of the time, supply chain managers or professionals are focused on cost efficiency. While cost reduction remains important, it is vital to note that an automated and optimized supply chain is far more resilient when compared to the existing supply chain systems. The ideal supply chain should be both cost-effective and efficient. AIOps solutions can ensure such a supply chain.

Without AIOps optimization, several issues arise. Manual methods are not suitable for handling large volume of inventory data, inventory forecasting and management. When that happens, the entire supply chain will be affected. Such errors do not occur due to inefficiency but because the processes involved are too complex. Therefore, AIOps optimization is necessary.

Supply chain managers need to be aware of fluctuations in prices. However, awareness is not enough, and professionals need to adjust supply chain operations according to the changes. An optimized supply chain will adjust operations according to price fluctuations or even exchange rates if they are applicable. Another aspect of supply chain operations where AIOps is essential is the management of order deliveries. Large supply chain companies cannot just rely on their employees to track all deliveries. It will lead to chaos and will affect customer service adversely. When the supply chain is optimized, it will be able to regulate data related to deliveries automatically. It will reduce errors and downtime.

In supply chain operations, especially when demands are constantly increasing, AIOps is crucial. It can be implemented in various aspects and can significantly boost a business.

How can AIOps improve supply chain?

A basic supply chain requires proper scheduling, hassle-free production of goods, and display planning. Therefore, these are the first aspects that need optimization. Optimizing the logistics of a supply chain can positively affect the overall performance of the supply chain. It can also boost the rate of production. Certain supply chains may even be dealing with products that are built to order. In such cases, the optimization and automation of supply chains will lead to increased efficiency.

AIOps can help supply chain companies automate the tracking and analysis of customer data. It will enable them to understand the general responses and preferences and how to cater to those. Demand forecasting is another aspect when supply chains can benefit from AIOps. Professionals usually use machine learning to determine and track the factors that can affect customer demands. Relevant data can help provide an accurate forecast. Demand forecasting through AIOps is done on a scale that manual processes cannot tackle. One can also use it to optimize inventory or warehouse management. In the case of inventory management, the process is suitable for self-managed systems. On the other hand, warehouse management optimization is done by analyzing various sources, including the weather forecast.

Automation is key to impactful optimization. Earlier in supply chain management, human intervention was necessary. However, due to the advancement in technology, companies can automate several steps. When most parts of the supply chain are automated, the chances of error will reduce significantly. Automation also helps to decrease the costs and time taken by several business processes.

AIOps can also improve the security of supply chains. Businesses usually use Cyber Security and Compliance Services. AIOps can regulate compliance, maintain data privacy, and help strengthen the overall security. One can introduce constant monitoring to ensure that there is no glitch. AIOps can also be useful for maintaining access rights to various projects and data sets associated with the supply chain.

To run a successful supply chain, companies need to have reliable suppliers. However, this may not happen always, and a business may have to deal with a broken supply chain. If companies can implement AIOps in an ideal situation, they would filter all suppliers. With the necessary algorithms and machine learning, businesses would know which suppliers will meet the demands. AIOps solutions can analyze big data and use the insights to categorize suppliers. Suppliers are usually divided into categories based on their performance and credit score. This helps supply chain managers easily identify them and make the right choice. Internal evaluation is also important when it comes to categorizing suppliers. An accurate internal assessment based on available facts will make it easy for supply chain managers. They can choose suppliers who have a history of delivering products on time and in full capacity. However, the use of AIOps on such a large scale is yet to become widespread.

Many companies are not ready to implement AIOps in every aspect of the supply chain. But these companies need to invest in proper AIOps knowledge as it can significantly impact business future.


New processes and platforms allow businesses to create more collaborative space, improve customer interaction and provide better service. AIOps optimization of the supply chain can help drive data and bring more value to the business. Thus, companies dealing with supply chain management should consider AIOps as a solution to most issues.

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