The Next BIG Thing in SCM - AI @ CSCMP Barcelona
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Hi held this presentation May 19th in Barcelona at the annual conference from CSCMP.org. I share IBM's journey in supply chain from transparency to analytics to cognitive.
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The Next BIG Thing in SCM - AI @ CSCMP Barcelona
- 1. The next BIG thing in Supply Chain and Manufacturing - Artificial Intelligence?! Thorsten Schröer Director & Industry Leader IBM Watson IoT @ThorSchroeer Thorsten Schroeer CSCMP SUPPLY CHAIN LEADERSHIP FORUM EUROPEAN CONFERENCE 2017 Barcelona, Spain May 19th, 2017
- 3. 3 >1890 Tabulating 1960 Programmable >2010 Cognitive
- 4. >80% of all data is dark and not used at all 20172013 2020
- 5. IBM, Google, Facebook, Amazon und Co tun sich zusammen
- 8. 8
- 9. 9 AI / Watson in IBM’s Supply Chain Operations
- 10. ©2016 IBM Corporation 10 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 1 5 9 13 17 21 25 29’60 ’90 ~$2B Hardware and Systems Management A hardware company through 1990 … the emergence of Services Database and Middleware Services (including Maintenance) IBM Revenue Mix IBM Revenue
- 11. ©2016 IBM Corporation 11 Hardware-Software-Services company…a dramatic transformation 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 1 5 9 13 17 21 25 29 IBM Revenue Mix Services Financing Hardware and Systems Management Middleware Analytics Platforms Cloud IaaS/PaaS Security Software “Platforms” ’60 ’90’60 ’90 ’00 ’10 ’14
- 12. ©2016 IBM Corporation 12 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 311 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 1 5 9 13 17 21 25 29 We are becoming a Cognitive Solutions & Cloud Platform company IBM Revenue Mix ’60 ’90 ’00 ’10 ’14 Cognitive Solutions Services Cloud Platform Middleware Analytics Platforms Cloud IaaS/PaaS Security Financing Hardware and Systems Management
- 13. IBM Supply chain has been also……. Printers Retail StoreSemiconductor System x PC & LaptopHarddisk
- 14. …and is now…. Mainframe / Z Storage Disk Tape Library +15k People Software Power
- 15. 15 IBM Supply Chain Global Systems & Solutions Fulfillment Network
- 16. Solution Centers Guadalajara Poughkeepsie Vac, Hungary Singapore Global Systems & Solutions Fulfillment Network Manufacturing locations 2015 Revenue Supported: $81.7B 18K+ suppliers connected online $7B in procurement saving annually 100% Purchase Orders electronic >96% of Invoices electronic Over 3.9M visits to eTools
- 17. Globally Integrated Enterprise 2005 onwards Transparent Supply Chain up to 2015 Cognitive Supply Chain >2015 § Enterprise efficiencies § Streamlined Global processes § Information sharing § Advanced Analytics, Optimization, Data Management § Supply Chain Transparancy § Network Orchestration, Trusted Transactions § Cognitive / Learning § Agile / Resilient/Mobile § Data Driven /Digitally Executed
- 18. We have deployed over 30 supply chain analytics solutions with $100M+/year in benefits.
- 21. 21 Part# 50W3214 QTY 100 pieces Status: damaged Part# 48Y5324 QTY 500 pieces Status: usable but delayed Super-Taifun Meranti Quelle: dpa / 15.09.2016
- 22. © 2016 IBM Corporation 22 1 Identify & Alert 2Analyze & Understand 3 Interact & Resolve 4 Learn
- 23. off-load customer orders Run manual process work-arounds chase supply shape demand pull additional parts stop shipments adjust mfg capacity adjust test times prioritize customer orders pre-build orders alert CF on late deliveries substitute parts start unfirm orders / parallel assets switch shipping lane expedite inbound logistics adjust forecast install 3rd shift 23
- 24. 24 ALL EXPERIENCE IN ONE ROOM – our original plan but we course corrected © 2016 IBM Corporation
- 25. 25
- 26. 26 SITUATIONAL AGILE TEAMS - DEMOCRATIZED EXPERTISE © 2016 IBM Corporation
- 27. Pulse Points in our Supply Chain DEMAND / FORECAST SUPPLY / INVENTORY ORDERS ServiceabilityServiceability Multi Tier Critical Parts Uncovered Supply Hub Health Delivery Progression SC Risk Quality Early Warning 27
- 29. Watson Supply Chain - Training
- 33. Hands Off – Eyes On
- 34. IBM Supply Chain’s Cognitive Journey… Cognitive Butler Cognitive Moderator Cognitive Advisor take minutes locate, suggest, and invite available experts Identify similar scenarios Provide relevant information Run cognitive playbooks Dynamic, personalized, real-time Supply Chain Expert on hand Provide Options
- 35. 35© 2016 IBM Corporation We teach Watson Supply Chain. Test OperationDemand Planning Supply Order Mgmt Quality
- 36. #CognitiveSupplyChain Augmenting Supply Chain Decisions Supply Chain Professionals We teach Watson. We program Advisory. Operation Center Alerts Resolution Room We use IBM’s Cognitive Data Lake We utilize Enterprise Data Sources. 36 © 2016 IBM Corporation We gain insights from IoT. We upload Data into Watson Analytics. We analyze data recorded in Blockchains Watson Q&A
- 41. Visual Inspection – Image Analytics Blistering Defect of Paint LCD Panel Inspection Mobile phone chassis inspection
- 42. Acoustic & Noise Analytics
- 44. The next BIG thing in Supply Chain and Manufacturing - Artificial Intelligence?! Thorsten Schröer Director & Industry Leader IBM Watson IoT @ThorSchroeer Thorsten Schroeer CSCMP SUPPLY CHAIN LEADERSHIP FORUM EUROPEAN CONFERENCE 2017 Barcelona, Spain May 19th, 2017