The Artificial intelligence can be explained as the property of the of the computer systems that can perform tasks normally similar to the human intelligence such as the visual perceptions, decision making processes , speech recognitions and others without any human supervision. This is one of the most advanced technology that have been developed in the past few years and it uses majority of technologies that are been developed like the machine learning, deep learning, networking and others (Russell & Norvig, 2016). The technology of the artificial intelligence is one of the major technology that can be used in almost any filed in order to improve the quality of the results. In the field of the logistics the artificial intelligence plays a huge role in the process of maintaining the storage centres and distribution of the goods. One of the major use of the AI comes in the process of harnessing of data in the supply chain management. It helps in analysing and identifying the patterns and providing best links to the supply chain manager.
The article is about how the artificial intelligence is changing the logistics, warehouse management and supply chain management processes (Nilsson, 2014). Further the paper describes how the artificial intelligence is helping in the process of storing the data in an automated manner. This paper also discusses about the ethical issues that are related to the use of the AI how it affects the employees and the customers of the organisation. Advantage and disadvantages of using the AI is also an important part of the paper.
Artificial intelligence based applications that are beneficial in the procurement of the logistic business are as follows: –
Three software based applications that can be used by the organization to expand in coming five years are as follows: –
SAP: SAP is a form of AI that is used by organizations for turning database in Useful Intel. HANA can be described as a cloud platform of SAP which can be used by organizations in order to manage various databases of data that have been collected by the organization. It ingests and replicates the structured data like customer data or transaction of sales from various relational databases, applications and various other sources. This platform can be utilized in order to run on-premise via the server of a company or with the help of cloud. HANA makes use of the data that has been collected from various access points all over the business like desktop computers, mobiles, sensors, financial transactions as well as equipment’s used at the production plants. If the sales staff of an organization uses smart phones or tablets of the company in order to record the orders placed by customers and purchases made by them. Data received from these transactions can be utilized for analysing and understanding the irregularities in the activities as well as spot the trends.
Various anticipated benefits of utilizing the machine learning platforms for the business intelligence include reduction some cost incurred in infrastructure, and efficiency of operations. Logistics organizations have a huge amount of data and storage of this data includes high cost incurred in it. SAP would help the organization in saving a lump sum amount of revenue in coming five years. SAP would help the organization to improve relations among the stakeholders by meeting their requirements. SAP can also be used in order to carry out all the activities smoothly. It can also help the HR department to function properly especially in the activities like hiring, firing, demoting, promoting and many more (Azar & Zhu, 2015). It helps the HR to keep a track of the functions performed by different employees, the track of performances is easy to maintain and view.
One of the major disadvantages of purchasing as well as implementing SAP is that it requires high cost to be incurred. In this organization provided in the case study it is newly formed and could not invest so much in order to implement SAP. One more disadvantage of implementing SAP is the complexity that exists in the software. The implementation is carried out step by step, and the entire process might take years to complete. Complexity of data model is one of the challenges faced by SAP implementation (Azar & Zhu, 2015). SAP makes analysing raw data difficult. This creates an ethical issue of whether or not SAP should be implemented (Wenger, 2014).
Using generic electric can boost performances of various equipment’s. It can also help in predicting when maintenance is required for cars, devices, trucks as well as drilling machines. Along with this it also schedules the repairs of the equipment’s. Various commercial trucks can fit sensors to it which would help in analysing lights, brakes as well as engines. This would as a result help in adding value to the services of maintenance. This also helps in minimizing downtimes as well as schedule the time according to maintenance required by the equipment. The schedule is set according to the trip covered by the vehicle. Generic electric also helps in reducing the operational cost.
Generic electric has numerous disadvantages and it also faces various challenges. Some disadvantages of generic electric are that it requires more cost incurred in the process of installing sensors (Nilsson, 2014). This results in a dilemma that weather it should make use of generic electric or not because the implementation requires heavy out flow of cash and not implementing it would slow down the overall process (Nilsson, 2014). The implementation of generic electric would help the organization in the case study in various ways especially in the long run but the main challenge that would be faced by the organization is that, they need to invest a lump sum of amount while purchasing and implementing it. Along with this they also require trained professional who would know to use the equipment’s effectively.
The advantages of utilizing Siemens are that it would help the organization in the case study to improve the overall performance of the machineries used by the organization. They also help in detecting the issues in the equipments and make them repair for further use.
Disadvantages and challenges
Various disadvantages of Siemen include the high cost incurred included in its implementation. This as a result creates a dilemma regarding the fact that weather the organization should implement it. Siemen would definitely help the organization in its upcoming five years but it would require them to invest more amount that first in order to purchase an implement them.
Conclusion
From the above discussion, it can be concluded that the Artificial Intelligence has been acting as one of the major technologically advanced technology that can be used for increasing the efficiency of the process. It is also seen that the implementation of the application that are based on the artificial intelligence has been acting as a reason for better implementation of the functioning technique and the business management is completed with higher efficiency. The implementation of the application can be acting as a monitoring and controlling prospect that helps in understanding the value of the business. This report has also provided the applications that can be implemented in better management of the logistic company with over 200 employees. The use of the artificial intelligence the machines can learn from the various and previous data and prepare a better risk management plans for the processes like the warehouse, supply and other methods related to the logistics. The technology of the artificial intelligence is one of the major technology that can be used in almost any filed in order to improve the quality of the results. In the field of the logistics the artificial intelligence plays a huge role in the process of maintaining the storage centres and distribution of the goods
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