We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • INDUSTRY PRESS ROOM
  • SUBMISSIONS
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
Home » Data trumps human biases in making business decisions, CSCMP EDGE panel says
Forward Thinking

Data trumps human biases in making business decisions, CSCMP EDGE panel says

September 26, 2017
Supply Chain Quarterly Staff
No Comments

Artificial intelligence (AI) can help organizations save money on supply chain costs and save time on employees' most repetitive tasks, but before they can apply AI, companies must first learn to trust the data that underlies the technology, according to a panel discussion held Tuesday at the CSCMP EDGE 2017 annual meeting in Atlanta.

A lot of companies already have the data they need to apply AI, but they're not using it well, and they're not trusting the results, said Abel Muniz, regional operations manager for the Americas at Panalpina Managed Solutions, during a session titled "The Artificial Intelligence-Based Supply Chain." For example, humans often pad estimates about transit times so they won't get blamed if a shipment is delayed. "Data doesn't have an ego or a bias," Muniz said. "So if the data says the last thousand shipments took 25 days," he continued, his company would base its decisions on that accurate date, not on a biased estimate. Data-based analysis can reveal surprising facts that had previously been obscured, Muniz said. "The biggest 'aha!' moment for a lot of our customers is seeing how fat they are on shipping estimates and inventory carrying costs."

Three ways to convince a company to trust the results of its AI project are to: tie the project to solving a specific problem at the firm, educate colleagues that AI is not the "Star Wars" product many people imagine, and prove that the project can produce a profitable business value, said Alejandra Dorronsoro, senior international logistics manager for GP Cellulose, a unit of Georgia Pacific.

Dorronsoro helped apply an AI system to a persistent problem at GP Cellulose, using the technology to create more accurate and reliable predictions of delivery dates for shipments to customers. The application also helped cut the time that employees had spent organizing and cleaning up databases, freeing them to focus on more creative tasks like developing strategies, managing relationships, and being innovative, she said.

  • Related Articles

    Trucking fleets seek new strategies in a turbulent age, CSCMP Edge panel says

    Redesign logistics networks every three to five years, panel says at CSCMP Edge

    Learning how to pivot is key to transforming your supply chain, CSCMP EDGE panel says

Recent Articles by Supply Chain Quarterly Staff

Freightos completes plan to go public on NASDAQ exchange, raises $80 million

Retailers lose visibility as they outsource last-mile delivery, FarEye says

WiseTech buys New Hampshire drayage and trucking visibility software firm for $230 million

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • Forecasts call for freight rate slumps in 2023

  • Projected U.S. recession in early 2023 will soften freight market

  • Inflation drops again as interest rate hikes hit home, NRF says

  • How to avoid the next crisis: A new approach to supply chain agility

  • Five levers to build a resilient supply chain

Featured Video

20221107korber large vs

Enhancing Customer Experience with Your Supply Chain Strategy

Viewer Contributed
With the rise of e-commerce, many businesses have had to transform their warehouses to handle online orders in addition to regularly scheduled inventory shipments. This means warehouses need more information than ever before to ensure they can meet customers' needs. As a result, companies need to select warehouse...

FEATURED WHITE PAPERS

  • Guide to Pallet Rack Safety

  • 3PLs: Complete Orders Faster with Flexible Automation

  • A shipper's guide to navigating post-pandemic holiday freight

  • THE NEW WAY TO WAREHOUSE: 4 Innovations in Automation & Robotics to Boost Warehouse Productivity

View More

Subscribe to Supply Chain Quarterly

Get Your Subscription
  • SUBSCRIBE
  • E-NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2023. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing