ChatGPT might not transform the supply chain, but AI products this year might
January 2023 by Oliver Chapman, CEO of supply chain specialists OCI
Oliver Chapman, CEO of supply chain specialists OCI, comments on how AI can help transform the supply chain in the very near future.
"’Knowledge itself is power,’ or so said Francis Bacon, but knowledge on the supply chain can give organisations the power to create a more stable business," says Oliver Chapman, CEO of the UK’s No1 fastest growing company OCI.
Mr Chapman adds:
"The crises of the last two or three years have highlighted how a robust supply chain is vital for both an organisation and the wider economy. And that means organisations need a thorough and up-to-date understanding of their supply chain and its vulnerabilities with detailed information, not only on direct suppliers, but suppliers to suppliers and down the supply chain.
"ChatGPT is of limited relevance because it pulls information from a database that is unlikely to cover a particular supply chain and lacks real-time or up-to-date information.
"But the AI system and the data behind it, that powers ChapGPT or a similar AI system, could be trained to produce reports based on data collected by an organisation on its supply chain.
"The real breakthrough will occur, however, when an AI system of comparable report writing capabilities to GPT3 or GPT4 (expected to be released later this year) contains up-to-date information - ideally updated in real-time or, failing that, every few hours.
"A chat AI system could then immediately produce insights highlighting emerging vulnerabilities.
"AI in the supply chain enables parties to be more reactive to events that occur worldwide, such as strikes, adverse weather conditions or a fire in a factory.
"The AI can be trained to report on a series of scenarios and respond dynamically accordingly.
"In a world of more complex, competitive and potentially shorter trade cycles, it’s more important than ever for rapid responses to ensure the delivery and continuity of the supply chain, and AI can give organisations a significant competitive advantage.
"ChapGPT may not hold the answers to this particular supply chain challenge, but it does provide a feel for what AI is capable of. AI tools that can support the understanding of supply chain dynamics in a complex world with ever-changing conditions may well be available in the near future and quite possibly later this year."
*According to the recent FT 1000 fastest-growing companies, OCI is the No.1 fastest-growing company in the UK, and the 3rd fastest-growing company in Europe.
The FT 1000 is the result of a joint initiative by the Financial Times and Statista, which conducted months of research, public calls for participation, intensive database research, and directly contacted tens of thousands of companies. In the end, it identified outstanding companies among millions of European enterprises.