Mixing AI and supply chain expertise to revolutionize Supply Chain Planning
Thanks to technological advances and artificial intelligence, it is now possible to obtain reliable forecasts for products with continuous sales as well as those with more occasional sales.
Artificial intelligence makes it possible to adopt a more probabilistic method. Here, we’re not interested in the quantity that will be consumed or sold.
Instead, each week, the algorithms look at the probability distribution and, based on historical data, the algorithms evaluate a probability for each value and deduce min and max limits.
In the context of inventory management, we try to cover ourselves against uncertainty rather than cover ourselves against a specific sale.
The idea is not to predict what will happen precisely (an impossible task) but rather to establish probabilities and limits to guide the user’s decision-making process. Flowlity’s calculations take into account past and future uncertainty and use this information to propose buffer stocks.
By adjusting inventory recommendations and continuously improving forecasts using AI, it is possible to achieve further inventory reduction and reduced risk of shortages with the same level of service.
Our results can be easily understood by users. Flowlity was not built to be a black box but to be a solution to help users make better decisions.
- is highly scalable
- takes into account significant relationships between products during the learning process
- calculates the probability of an event happening and its forecast value
- delivers intelligent safety-stock recommendations
- provides simple forecasts for products with little historical data
- provides daily to yearly forecasts
- uses Probabilistic Forecasting
Contact our supply chain experts