On this week’s episode of Check Call, Sanjay Chopra, co-founder and CEO of Cognistx, joins host Mary O’Connell to break down the role AI plays in supply chains and the benefits of clean data for operational efficiency.
Key quotes from Chopra:
“AI works on the basis of data and what it can do really well is analyze the data. The better [the] data, the cleaner the data, the better the results AI can share with you. One area that it’s very helpful for trucking and logistics companies [is] with demand forecasting. How much will the customer need, when will they need it and what commodity will they need? If you have good historical data and know seasonality and demand, you can build good, accurate data models.”
“Using AI can also lead to better satisfaction. You can predict the revenue the driver will make, reduce the time spent away from family. There are lots of intangible benefits of doing this and doing it right. The labor utilization from a warehouse perspective needs to make sure that there are people there to unload the truck and work efficiently.”
“The first step we recommend is to do a data analysis or a data study. We go in and see the quality of the data that they have available. Do they have clean data? Have they been recording things properly from a historical perspective, from a revenue perspective, from a demand perspective? Once we analyze the data to have clean data available, that’s when we can start to use the model.”
“Put lots of business rules, put lots of data in the model and test the models to see what results we get. Validate those with the subject matter expert and deliver that moving forward.”
“If you don’t have the right address for a customer because they’ve moved, you build a reasonable plan but the driver shows up at the wrong address, tries to make a delivery, gets frustrated, now that delivery isn’t going to be on time, cascading down [it puts] all those other deliveries for that route in jeopardy.”
Got any pain points or things you wish were better in the supply chain and the world of transportation? Contact O’Connell to be on a future episode of Check Call.