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SCM Research paper | Shreerang Datar

Supply Chain Management (SCHM 6210)
Spring 2016

RESEARCH PAPER

“ARTIFICIAL INTELLIGENCE IN SUPPLY CHAIN MANAGEMENT”

By Shreerang Datar (NUID 001649801)
04/14/2016

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SCM Research paper | Shreerang Datar

Table of Contents

1. Executive Summary……………………………………………………3
2. Introduction…………………………………………………………….4
3. Background…………………………………………………………….5
4. Findings………………………………………………………………...6
a. Artificial Intelligence Tools……………………………………..7
b. Business Examples…………………………………………….10
5. Future Trends and Challenges………………………………………...18
6. Conclusion……………………………………………………………19
7. Bibliography…………………………………………………………..20

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SCM Research paper | Shreerang Datar

Executive Summary:
Surpassing the limits of business intelligence, artificial intelligence (AI) focuses on developing an algorithmic approach in decision making. This technology has come so far that inculcating human competencies like logic, reasoning, simulation and analytical thinking in a machine seems to be in reach. In the field of Supply Chain Management this technology is placing a strong foot in achieving creative optimization and automation in different supply chain processes.
AI has found its applications in various SCM aspects which include Inventory management, Network design optimization, Logistics strategy formulation, demand forecasting, etc. It is designed to generate a step-wise mechanism for problem solving in which it defines the problem classifies it into various domains, formulates sub-problems, seeks for external information and develops solutions in a strategic way. For companies who are excessively dependent on employees to analyze business problems and give appropriate recommendations, AI systems can be as an alternative for many operational and in some cases tactical decision making. Strategic decision making is

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