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Users can train GenAI on data that covers every aspect of the supply chain, including inventory, logistics and demand. By analyzing the organization's information, GenAI can help improve supply chain management and resiliency.

Demand Forecasting

Organizations can use GenAI models on historical sales data, market trends and other factors to simulate potential supply-and-demand scenarios and improve their demand forecasting accuracy. Tracking demand patterns can help organizations mitigate disruption and avoid stocking issues.

Inventory Planning

GenAI that has been trained on key data such as stock levels, warehouse capacity and manufacturing time can suggest ways to optimize inventory processes, including recommending when to restock or reduce stock, which can help cut down on excess storage. Storing extra product costs companies more money, so reducing excess stock could cut down on costs. Raw materials and parts, WIP and Finished Goods inventories including location analysis for customers. Look at Winters double exponential smoothing algorithm for forecasting. On WIP, look at family assembly forecasting better than individual parts.

Customer and supplier communications automation

GenAI can automatically send out messages, so employees don't have to. Large language models and natural language processing can consume data from sources like market events that might affect suppliers and traffic delays involving specific shipments, then GenAI chatbots can notify suppliers about risk. GenAI chatbots can also handle some customer queries, like processing a return or tracking a delivery.

Ideally, there are automated workflows and you are adding automated communication alerts for planned life cycle events or immediate notifications on exceptions

Operations optimizations

GenAI can assess aspects of operations like supplier performance and manufacturing speed, then suggest ways to optimize procedures. These optimizations can also potentially save companies money, among other benefits. Think multi-factor vendor performance analysis on vendor certfication programs for critical parts and supplies:   vendor quality, price, delivery, variances, performance against program KPIs and SLAs

Logistics management

GenAI models with data such as historical weather patterns, traffic maps and fuel prices can identify routes for optimal travel and highlight potential upcoming disruptions as well as alternate routes if needed. Doing so can help shipping stay on schedule and improve customer service, since orders won't be delayed.

Automated updates that impact delivery schedule, quality, costs, availability etc are key to minimize disruptions in supply chains and maximize efficiency and resiliency. Gen AI can help identify alternate solutions GIVEN the specific grounded data, the delivery plans, the supplier context for well-trained models.

Sustainability and scalability

Training GenAI models on a company's current material use as well as market projections for renewable materials can give insight into how to make processes more sustainable while also considering cost-effectiveness and long-term scalability.

Like other areas, feedback on performance and forward planning for sustainability metrics and scalability capabilities can incorporate Gen AI models evaluating alternatives given the specific grounded data and context a well trained model needs to produce useful output. In some cases, the trained models can be calibrated to actual accurate data improving the model accuracy.

Analytics

As with all other GenAI supply chain use cases, caution is required when using the tech, as GenAI and the models that fuel it are still evolving. Current concerns include incorrect data and imperfect outputs, also known as AI hallucinations, which can prevent effective use.

Automated analytics can be done well using OKRs, related KPIs and SLIs for specific operations optimization use cases. Gen AI may or may not make a big contribution here. 

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Resilient supply chain can reduce impacts of business disruptions

In the context of manufacturing, for example, a factory can standardize the components it needs for the product it builds making it easier to source it from multiple suppliers. If that is a good idea for your manufacturing process then why not for your supply chain too? What if every one of your partners has the ability to share transactional data so that you are always up to date and have the ability to react swiftly to changes? What if everyone could join your supply chain consortium with ease and start transacting right away?

Hyperledger GRID for Supply Chains - Data Standards

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https://www.gs1us.org/content/dam/gs1us/documents/industries-insights/by-industry/food/guideline-toolkit/Foodservice-Manufacturer-Implementation-Checklist.pdf

2024 03 07 Jeff Pribich: Supply Chain Digital Twin - Hlf SC

https://www.youtube.com/watch?v=c0HS8L1HP5M

• Introduction to Supply Chain Digital Twins with Blockchain: Jeff Pribich discussed the concept of digital twins in supply chain and trade finance, showcasing a demo to highlight how blockchain technology can enhance transparency, efficiency, and real-time tracking of goods and assets. The session aimed to provide a foundation for future advancements in supply chain management.

• Application in Aircraft Engine Monitoring: The demo included an example where IoT devices on aircraft engines transmit real-time data on wear and tear to a blockchain system. This setup allows for a detailed understanding of equipment condition, aiding in predictive maintenance and operational optimization.

• Advantages of Blockchain in Supply Chains: Blockchain technology offers significant benefits to supply chains, including smart contracts for automated payments, cross-border transactions, and enhanced security and traceability. These features address the limitations of traditional, ledger-based systems by providing a more dynamic, transparent, and efficient framework.

• Digital Twin Implementation for Coffee Supply Chain: A specific case study of a coffee supply chain was presented, illustrating how digital twins and blockchain can manage complex logistics from sourcing rare coffee beans to delivery. The integration of IoT, AI, and blockchain facilitates real-time updates, risk management, and process optimization, demonstrating a non-linear, flexible approach to supply chain management.

• Challenges and Solutions in Real-Time Tracking: The session highlighted the challenges of maintaining product quality and meeting delivery schedules in adverse conditions. By leveraging digital twins and blockchain, companies can proactively address issues like weather delays or transportation disruptions. A real-world scenario was discussed where a coffee shipment faced various obstacles, showcasing how technology can provide solutions to ensure product integrity and timely delivery.

Potential Challenges

Supply Chain Impacts from Pandemic, US Government Errors

2020 - US Government delivers vaccine, funds to keep consumers buying

The Pandemic create massive challenges for supply chains that had not been seen since WW2

1. The great vaccine success from Drug companies and the US Gov in 2020 led to a stronger recovery
2. Fed very loose policies and purchases of Fed debt provided plenty of liquidity
3. The high Federal Unemployment benefits and PPP ( Paycheck Protection Program ) provided needed funds for consumers to buy when businesses closed

2021 - US Government creates recovery problems with massive deficit spending

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Supplier Survey on Opportunities

supply-chain-key-questions-9-Common-Questions-That-Keep-Manufacturing-Owners-Up-At-Night.pdf.   link 

supply-chain-key-questions-9-Common-Questions-That-Keep-Manufacturing-Owners-Up-At-Night.pdf. file

1. How can I create quotes when I don’t know our true labor and material costs?

2. Where can I get a full picture of my inventory, so I stop wasting time and money? ( over time ) - allocations, on order, over under stock

3. How can I avoid preventable mistakes?  automated alerts on actual order events out of tolerance with planned events ( MAD etc ) - handler policies

4. Why does order entry take so long, and my staff makes so many mistakes? - who enters, how, automated info / edits at POE Point of entry - availibility, shipping - BWI mount pgm

5. How can I eliminate machine bottlenecks and keep employees and jobs on schedule? - smart schedule manager - SSM - WC resources, capacity, flows, lead times planned vs actual variances - reprioritization impacts on all orders, demand and supply forecasts

6. How can I get the price right each and every time? - pricing estimator for job types, policy & priority-based, overflow capacity & supply costs, frozen vs budget vs actual costs ( fixed, variable ), customer sales & profit history etc

7. How can I avoid cost over-runs? - planned vs actual performance on job orders, stock orders, flow - cost - resource - supply - quality issue event alerts w MAD limits

8. How can we increase customer confidence and ship on time? - SSM plans shipments to schedule due dates, can expedite work, can change ship methods w customer policies in place

9. Which of my jobs are most profitable, and where am I losing money? - know variable vs fixed costs vs budget for all orders ( custom, stock ) with fixed and overhead cost allocations by period to see variances

Potential Challenges

Supply Chain Impacts from Pandemic, US Government Errors

2020 - US Government delivers vaccine, funds to keep consumers buying

The Pandemic create massive challenges for supply chains that had not been seen since WW2

1. The great vaccine success from Drug companies and the US Gov in 2020 led to a stronger recovery
2. Fed very loose policies and purchases of Fed debt provided plenty of liquidity
3. The high Federal Unemployment benefits and PPP ( Paycheck Protection Program ) provided needed funds for consumers to buy when businesses closed

2021 - US Government creates recovery problems with massive deficit spending

1. Open borders creates permanent increase in welfare spending on a massive scale increasing Federal deficits
2. US Gov continued unemployment payments creates worker shortage and driving inflation higher
3. Some state governments don't open COVID restrictions though infections rates drop after vaccinations exceed 65%
4. US Gov pushes for massive deficit spending. If passed will drive inflation higher creating more supply chain problems
5. US Gov offers more foreign aid driving deficits
6. US Gov reduces programs to expand domestic manufacturing increasing supply chain risk
7. US Gov reinstates regulations increasing business costs driving inflation
8. US Gov proposes massive tax increases by all world governments to slow offshoring increases given higher US tax rates proposed
9. Increased crime rates in all cities lead to supply chain disruptions with cases not prosecuted

Jim's blockchain challenge list

1. Building consensus for a trust solution
   1. Understand what each party loses in a transparent, trusted network

2. Self managed consortiums

3. Scalable solutions
4. Costs of a shared trust solution over current solutions
5. Time frames to implement shared trust solutions
6. Personal data compliance
7. Regulations compliance ( KYC, FATCA, etc )

Consultants on Blockchain

Gartner on enterprise blockchain challenges

https://www.gartner.com/smarterwithgartner/top-10-mistakes-in-enterprise-blockchain-projects/

1. Misunderstanding or misusing blockchain technology
2. Assuming that current technology is ready for production use
3. Confusing a limited, foundation-level protocol with a complete business solution
4. Viewing blockchain technology purely as a database or storage mechanism
5. Assuming interoperability among platforms that don’t exist yet
6. Assuming that smart contract technology is a solved problem
Ignoring governance issues for a peer-to-peer distributed network
8. Increased crime rates in all cities lead to supply chain disruptions with cases not prosecuted

Jim's blockchain challenge list

1. Building consensus for a trust solution
   1. Understand what each party loses in a transparent, trusted network

2. Self managed consortiums

3. Scalable solutions
4. Costs of a shared trust solution over current solutions
5. Time frames to implement shared trust solutions
6. Personal data compliance
7. Regulations compliance ( KYC, FATCA, etc )

Consultants on Blockchain

Gartner on enterprise blockchain challenges

https://www.gartner.com/smarterwithgartner/top-10-mistakes-in-enterprise-blockchain-projects/

1. Misunderstanding or misusing blockchain technology
2. Assuming that current technology is ready for production use
3. Confusing a limited, foundation-level protocol with a complete business solution
4. Viewing blockchain technology purely as a database or storage mechanism
5. Assuming interoperability among platforms that don’t exist yet
6. Assuming that smart contract technology is a solved problem
7. Ignoring governance issues for a peer-to-peer distributed network

Managing ESG Risk in Supply Chains

https://www.linkedin.com/posts/andreafrosinini_bringing-esg-accountability-to-global-supply-ugcPost-7242055154231857153-p-6H/?utm_source=share&utm_medium=member_desktop

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After tracing each supply chain from end to end, the company should assess trade flows as well as the countries and suppliers involved. It will then be able to identify the potential ESG risks that form the basis on which it can calculate risk scores.

Scoring ESG risks at each step

Once companies understand their supply chains and material flows, they will be able to assess the ESG risks they face in their own facilities—such as factories, distribution centers, and warehouses—as well as the often larger risks present in the many levels of their supply chains. Each score they assign will be specific to the category and country in which it could occur, the nature of the risk, and the supply chain tier. These scores are essential to help companies better manage the likelihood of violations

ESG Planning Steps

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ESG Factors to Manage

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Candidate Solutions

Hyperledger Trade Finance and Supply Chain Group

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TradeLens Opportunity 

Global trade is burdened by paper-based processes. Information is held in various formats across dozens of service providers along the supply chain, requiring complex, cumbersome, and costly peer-to-peer messaging.

TradeLens Solution

TradeLens Core is the sole applciation currently offered within the Marketplace.

The foundation of TradeLens is its global supply-chain ecosystem made up of shippers, freight forwarders, ports and terminals, ocean carriers, intermodal operators, government authorities, customs brokers and more.

Existing solutions are integrated via OpenAPI specs

Network Activities

1. on board participants ( join TradeLens )
2. setup partner relationships
3. setup subscriptions for an organization, port, country, province, terminal
4. shippers publish shipping events thru the Events Publisher API
5. subscribers can receive shipping events thru the Events Subscription API
6. documents are shared as needed securely with proper access controls for the standard document set ( https://docs.tradelens.com/documents/document_sharing/ )
7. the events allow an automated workflow across the network for the documents

TradeLens Impacts

TradeLens is already handling more than 700 million events and 6 million documents a year, expediting decision-making and lowering the administrative frictions in trade.

TradeLens integrates different participant types in the supply chain

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