DIGITALISATION
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With the help of IBM Watson ’ s cognitive intelligence BASF and IBM first built a proof of concept ( PoC ) to evaluate how AI and machine learning could be utilised to build a more powerful Replenishment Advisor tool . Following the evaluation , IBM Watson and BASF designed a model based on transactional order data and future orders from the company ’ s ERP system as well as sales pattern reports , volume strategy , inventory levels and shipping times . Using open-source machine learning , a custom solution was built to predict future replenishment requirements .
After completing just 10 training cycles , the software provided accurate , early warnings for stock replenishment and the optimal time for minimal disruption .
“ IBM Cloud and Watson AI services gave us access to a wide range of machine learning models with IBM experience built in , right out of the box ,” says Dr . Bernd Lohe , Director Supply Chain Operational Excellence & Digitization at BASF Nutrition & Health .
NOVEMBER 2019