Whether you know it or not, you are part of the creation of AI

Are you familiar with ChatGPT or have you used it already?

The use of artificial intelligence is everywhere, from online virtual assistants to systems that advise farmers when to sow and harvest their crops. It seems there is a new kid in town: a machine learning tool that can not only hold a human-like conversation with you, but admits its mistakes, corrects your assumptions, and maybe even writes articles? ChatGPT was launched by OpenAI, co-founded by Elon Musk, at the end of November 2022.

As the bot responds to comments and requests, it holds conversations in which it can ask follow-up questions and reject inappropriate requests. The number of test users has already exceeded 1 million in less than a month.

This article contains my impressions and highlights from my QA session with ChatGPT.

A “discussion” was held around supply chain trends in 2023, the evolution towards IBP and the role of the relationships team in it, and the rise of artificial intelligence in supply chain operations. Due to the chatBot's responsiveness and the continuity throughout the session, I'm calling it a discussion.

It was impressive how clear and knowledgeable the answers were to my questions. The answers were consistent, despite the fact that I approached the topic from different angles. The most important aspect of using an AI platform is asking the right questions, just as it is when providing guidance and/or leadership to an organization or individual.

No, it is not just an other search engine. As the algorithm connects with millions of resources, it selects the most relevant content, matches it with the ongoing dialogue, and provides the most appropriate answer. Moreover, it learns from this dialogue and enriches its content, so every dialogue makes the AI stronger and more knowledgeable.

Would it be possible for AI to take on a more emotion-centric approach?

There is no doubt about it.

Brain algorithms can be used to identify and overcome psychological trigger factors.

These interactive platforms provide the ideal learning environment for machine learning to gauge the most appropriate response, as in providing a coach to a team member.

Our mistakes serve as a learning opportunity. I can learn from my mistakes, and if I am lucky, I can learn from a few people around me who share their experiences with me. AI, however, learns from a million users' experiences, so you can imagine it won't repeat the same mistakes we do. The development trend points to quantum computing, ref. to the my earlier article:

Is it interesting to see a bit of my ChatGPT test QA?

Below is a "dialogue" you might find interesting:

Question: Hello ChatGPT, can you tell me what is needed for on-time delivery?

ChatGPT: There are several factors that can impact on-time delivery in a supply chain:

1.Accurate demand forecasting: Accurate demand forecasting is critical for ensuring on-time delivery, as it allows companies to plan and prepare for expected demand and adjust production and logistics accordingly.

2. Efficient production: Efficient production processes can help ensure that goods are produced on schedule and are ready for delivery when needed.

3. Reliable transportation: Reliable transportation is essential for on-time delivery, as delays or disruptions in transportation can impact the delivery schedule.

4. Strong relationships with suppliers: Strong relationships with suppliers can help ensure that raw materials and components are delivered on time and that there are no delays in the production process.

5. Good communication: Good communication and coordination among all parties involved in the supply chain is important for ensuring that everyone is aware of the delivery schedule and can plan accordingly.

Overall, on-time delivery requires careful planning, efficient processes, reliable transportation, and good communication and coordination. By addressing these factors, companies can improve their ability to deliver goods and services on schedule.

Question: What will be the most important trends for supply chain in 2023?

ChatGPT: It is difficult to predict exactly what the most important trends in supply chain will be in 2023, as many factors can influence the development of supply chains. However, based on current trends and developments, some potential areas that may be important for supply chains in 2023 include:

1.Sustainability: As mentioned earlier (the bot refers to a question I had asked earlier), sustainability is becoming an increasingly important consideration in supply chain management. Companies are focusing on reducing their environmental impact and addressing social and ethical issues in their supply chains. This may involve sourcing materials and products from environmentally and socially responsible suppliers, reducing waste and emissions, and improving working conditions in their supply chains.

2.Advanced technologies: The use of advanced technologies such as artificial intelligence, the Internet of Things (IoT), and blockchain is likely to continue to be an important trend in supply chain management. These technologies can help improve supply chain visibility, reduce costs, and increase efficiency by automating processes and enabling real-time tracking and communication.

3.Resilience: The COVID-19 pandemic has highlighted the importance of supply chain resilience, as disruptions to global supply chains have had significant impacts on businesses and consumers. In the future, companies may focus on building more resilient supply chains by diversifying their sources of raw materials and finished goods, developing contingency plans for potential disruptions, and improving communication and collaboration within their supply chains.

4.Digital transformation: The use of digital technologies such as cloud computing, big data analytics, and e-commerce is likely to continue to be an important trend in supply chain management. These technologies can help companies improve efficiency, reduce costs, and increase customer satisfaction by enabling real-time tracking and communication, automating processes, and improving decision-making.

5.Collaboration: Collaboration and partnerships within and across supply chains are likely to be important trends in the future. Companies may focus on building strong relationships with suppliers, customers, and other stakeholders to improve efficiency, reduce costs, and increase innovation. This may involve the use of digital technologies such as blockchain and collaboration platforms to facilitate communication and coordination.

Even though the response is rather generic, the AI platform needs to be connected with more geopolitical considerations. Regarding the SCM trends for 2023, I recommend KPMG's latest publication: The supply chain trends shaking up 2023 - KPMG Global (home.kpmg)

Question: How does S&OP evolve into Integrated Business Planning?

ChatGPT: S&OP, or Sales and Operations Planning, is a process that involves the coordination of a company's sales, marketing, and operations functions to develop a comprehensive plan for the near-term future. This plan is typically focused on balancing demand and supply, aligning resources with business objectives, and improving coordination and communication across the organization.

Integrated Business Planning (IBP) is a more comprehensive and strategic version of S&OP that extends beyond the traditional focus on near-term planning and includes a longer-term, rolling horizon. IBP involves the integration of all functions within the organization, including sales, marketing, finance, operations, and human resources, in the planning process.

IBP typically builds on the foundation of S&OP by expanding the scope and time horizon of the planning process and incorporating more data and analysis. It also typically involves a more formalized and structured process, with clear roles and responsibilities, and may involve the use of advanced technologies such as artificial intelligence and machine learning to improve the accuracy and efficiency of the planning process.

To evolve from S&OP to IBP, a company may need to invest in new technologies, reorganize its planning processes and roles, and provide training and support to its employees to ensure that they are able to effectively participate in the IBP process. It is also important for the company to establish clear goals and objectives for its IBP process and to continuously review and refine the process to ensure that it is meeting the needs of the organization.

Question:?Why should we have IBP in our organization?

ChatGPT: Integrated Business Planning (IBP) is a comprehensive and strategic planning process that involves the integration of all functions within an organization, including sales, marketing, finance, operations, and human resources. IBP is designed to improve coordination and alignment across the organization and to enable more effective decision-making by providing a comprehensive and integrated view of the business.

There are several potential benefits to implementing IBP in an organization:

1.Improved coordination and alignment: By involving all functions in the planning process, IBP can help improve coordination and alignment across the organization and ensure that all departments are working towards common goals.

2.Better decision-making: IBP provides a comprehensive and integrated view of the business, which can help executives and other decision-makers make more informed and strategic decisions.

3.Increased efficiency: By streamlining and standardizing the planning process, IBP can help improve efficiency and reduce the time and resources needed for planning.

4.Enhanced visibility: IBP can provide better visibility into the business, allowing executives and other stakeholders to better understand the drivers of performance and identify areas for improvement.

5.Greater agility: IBP can help organizations respond more quickly to changes in the market or internal environment, enabling them to adapt and stay ahead of the competition.

Overall, implementing IBP can help organizations become more strategic, efficient, and agile, and can provide a strong foundation for long-term success.

Question: Shall we need supply chain planners in the future?

ChatGPT: Supply chain planners play a critical role in managing and optimizing the flow of goods and materials within a supply chain. They are responsible for developing and implementing plans for the procurement, production, and distribution of goods and services, and for ensuring that the supply chain is efficient, cost-effective, and aligned with the needs of the business.

It is likely that the role of supply chain planners will continue to be important in the future, as businesses continue to focus on optimizing their supply chains and improving efficiency. The use of advanced technologies such as artificial intelligence, the Internet of Things (IoT), and big data analytics is likely to increase in the coming years, and supply chain planners will need to be skilled in using these technologies to analyze data, make informed decisions, and develop and implement effective supply chain plans.

In addition, the increasing focus on sustainability in supply chain management will also likely create new opportunities for supply chain planners. Companies will need to work with their suppliers and other partners to reduce their environmental impact and address social and ethical issues in their supply chains, and supply chain planners will play a key role in developing and implementing strategies to achieve these goals.

Overall, the role of supply chain planners is likely to remain important in the future as businesses continue to focus on optimizing their supply chains and addressing sustainability concerns.

In which areas will AI replace the human workers?

ChatGPT: Artificial intelligence (AI) has the potential to automate many tasks that are currently performed by humans, and it is likely that AI will replace some human workers in certain areas in the future. However, it is important to note that AI is not designed to replace human workers across the board, but rather to augment and assist them in their work.

There are a number of areas in which AI may be able to automate certain tasks, potentially replacing some human workers. These areas may include:

1.Data entry and processing: AI can be used to automate tasks such as data entry and processing, which can be time-consuming and error-prone for humans.

2.Customer service: AI-powered chatbots and other technologies can be used to handle customer inquiries and complaints, potentially replacing some customer service representatives.

3.Manufacturing: AI can be used to automate certain tasks in manufacturing, such as quality control and assembly.

4.Supply chain management: AI can be used to optimize and automate certain tasks in the supply chain, such as forecasting demand and scheduling production.

It is important to note that while AI may be able to automate certain tasks in these areas, it is unlikely to replace human workers entirely. Instead, it is likely that AI will augment the work of human workers, enabling them to focus on more complex and value-added tasks.

Overall, it is difficult to predict exactly how AI will impact the workforce in the future, but it is likely that it will play a significant role in automating certain tasks and augmenting the work of human workers.

Question:?Earlier, you said supply chain planners will remain important, but now you say AI can automate it. Isn`t this conflicting?

ChatGPT: I apologize for any confusion. While it is true that artificial intelligence (AI) has the potential to automate certain tasks in supply chain management, it is unlikely to replace supply chain planners entirely. Instead, AI is more likely to augment the work of supply chain planners and enable them to focus on more complex and value-added tasks.

For example, AI can be used to automate tasks such as data entry and processing, demand forecasting, and scheduling production. This can help supply chain planners be more efficient and effective in their work, and allow them to focus on more strategic and analytical tasks.

At the same time, however, supply chain planners will still be needed to oversee the work of AI and ensure that it is aligned with the overall goals and objectives of the organization. They will also be responsible for developing and implementing strategies to optimize the supply chain, working with suppliers and other partners, and addressing any issues or challenges that may arise.

Overall, while AI may be able to automate certain tasks in supply chain management, it is unlikely to replace the role of supply chain planners entirely. Instead, it is likely to augment their work and enable them to focus on more complex and value-added tasks.

Question: What kind of more complex and value-added tasks?

ChatGPT: There are many complex and value-added tasks that supply chain planners may focus on in the future, as artificial intelligence (AI) and other technologies automate certain tasks in supply chain management. Some examples of these tasks may include:

1.Strategic planning: Supply chain planners may focus on developing and implementing long-term strategies to optimize the supply chain and achieve the company's goals. This may involve analyzing data, developing and testing new ideas, and working with suppliers and other partners to implement new initiatives.

2.Innovation: Supply chain planners may focus on identifying and implementing innovative solutions to improve the efficiency and effectiveness of the supply chain. This may involve exploring new technologies and approaches, such as the use of blockchain, IoT, and advanced analytics.

3.Collaboration: Supply chain planners may focus on building strong relationships with suppliers and other partners and developing collaborative strategies to optimize the supply chain. This may involve working with suppliers to improve the flow of goods and materials, or collaborating with customers to better understand their needs and expectations.

4.Sustainability: Supply chain planners may focus on addressing sustainability issues in the supply chain, such as reducing waste and emissions, improving working conditions, and sourcing materials and products from environmentally and socially responsible suppliers.

Overall, as AI and other technologies automate certain tasks in supply chain management, supply chain planners will be able to focus on more complex and value-added tasks that require a higher level of expertise and strategic thinking. These tasks will help drive innovation and optimization in the supply chain and enable the company to achieve its long-term goals.

What next – AI bloggers?

Can a bot like ChatGPT write an article like this with advanced language skills? According to the Guardian, it's highly likely. A report on the bot's launch said: "Professors, programmers, and journalists may all have no jobs within a few years."

A UK newspaper, The Guardian, published a blog written by one of ChatGPT's forerunners, a robot named GPT-3, back in 2020. The bot declared humans were not at risk from AI, which may be cold comfort to professional writers.

I asked this question to the ChatGPT.

He/she/it offered to provide a summary of our discussion, rather than an article !

Whether you know it or not, you are part of the creation of AI

It is well known that we serve as a data source for AI databases.

We are now part of the development team evaluating the quality of the responses and sometimes providing suggestions for more accurate results on the interactive platforms.

It may seem scary at first, but it is inevitable to grow and we must be mindful of how we position ourselves as businesses, employees, parents, and individuals.

In what ways have you already experienced the AI platforms and what conclusions have you drawn from them?        

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